Car Insurance Rates?

[Skillet]

Should the rates of car insurance be standardized, where everyone pays the same until in an accident? Or should teenagers pay more because they are new drivers?



In Alberta, because I am 17, I pay around $500/year more than someone else, just because of my age.

In Alberta, males also have to pay more for insurance than females.



Is this right?

 

[Nebulous's iconNebulous]

Here, guys have to pay more for insurance than girls. Teenagers pay more too. So if you are a guy and a teenager, that is a bad mix.

Here when you hit age 25 it drops a little bit. I was paying $80 a month for mine, now I pay $50.

I think its stupid that its illegal to not have insurance though.

 

[Skillet]

I think it's smart. Prevents people from not getting it, and just claiming bankruptcy or something similar. What if they get in an accident, and hurt someone. That person will need money somehow to recover.



But I don't feel I should pay more than other people until I get in an accident. I'm a safe driver, and shouldn't have age as a discrimination.

 

[Nebulous's iconNebulous]

They look at statistics instead of the individual. I guess its easier for them that way.

 

[Skillet]

It's not right. I'm paying around $120/month. I'd be paying $70 if I was 10 years older.

 

[sistafren]

The reason teenage males pay more for auto insurance is because statistically they have more accidents. I work for a large auto insurance company and of the mva's I handle for young drivers, there are more that are the young males fault than females. All men seem to tailgate more than female drivers also.



When determining the premium for a person the auto insurer will look at the persons age, sex, driving records, credit rating, and other factors such as where they live and the weather where they live. Not necessarily in that order. All these factors are fed into a program that somehow figures out a premium. It has to do with all these formulas and stuff. So if you have a speeding ticket or an at fault accident on your record, expect to pay more. They also take into consideration the type of vehicle you drive. If a teenage male is driving a V8 Mustang, he will be paying and arm and leg for insurance. LOL