Passed my test & bought my first car, But!

[Phili Buster]

One other thing you will find about the algorithms that they use is if, for example, your car is parked and someone runs into it, admits it is their fault and their insurance stumps up for all the costs so your insurance company is not out of pocket in any way.

 

At next renewal, your no claims will not have reduced at all but the premium will have gone up. The reason is that having been involved in an accident you are statistically more likely to be involved in another one even though you were in no way at fault.

 

And don't forget, you must inform the insurance company that you have been involved in an accident even though you were no way to blame. Failure to inform them may well invalidate your insurance.

[Cyclone]

The cars value isn't much to do with the insurance but consider the event of it stolen or written off by driver which is two thirds of the likely possible outcomes it should play more part than it does.

No, it really shouldn't. The cost of paying out £500 for your banger is irrelevant when compared to the millions you could cost the insurance company for medical expenses of an injured 3rd party.

 

Believe me, people wouldn't lie on insurance if it was fairly priced. But it isn't. Tell me how many young drivers can afford literally thousands/year for insurance. I can agree they can be more at risk of being involved in an accident but there is playing fair and being just ridiculous.

 

What does "fair" mean? You've arbitrarily decided that it's unfair, but what you really mean is that it's not cheap. Insurance companies aren't making loads of money, they struggle to turn a profit in fact, so they're clearly not pricing things unfairly.