4 ms·

A buddy close to underwriting heaves giant sighs and mutters darkly when anyone in his book of individual policies wants to insure one because yes.

reducesuffering 3y ago
Is that because after barely scraping by $80k or an $800/mth payment, they freak out why there’s another $300/mth?
- guhidalg 3y ago
  Well at least the first two are paying for an asset, whereas the insurance payments are paying for something nebulous that you may or may not need. The ideal insurance premium is $0/month.
seattle_spring 3y ago
Er... I own one and it is maybe 10% more to insure than my previous Subaru.
- gnicholas 3y ago
  How is that possible, just given the sheer cost difference? Or is most of your insurance policy covering liability (for if you hit other people), as opposed to the risk of damage to your own car?
  - deleted 3y ago
    [deleted]
  - jinushaun 3y ago
    It’s true. They are surprisingly cheap to insure. The current theory is that they are new and insurance companies don’t have enough data yet. Everyone expects rates to skyrocket as more $40k repair bills come in.
    - seattle_spring 3y ago
      I kind of doubt rates will go up like that. It's not like BMWs, Audis, etc are much cheaper to repair (by "authorized repair shops" at least), and those similarly are not wildly more expensive to insure.
  - Retric 3y ago
    Because the cost of your vehicle is a small fraction of their total liability. Suppose your insurance cost is 100$/month for a Subaru and 110$ for a R1T but only 90$/month for liability + personal injury. Now your total bill increased by 10% while they are charging you 2x to insure the vehicle itself. They may also be getting this calculation wrong, but it’s unlikely to change that much.
  - vel0city 3y ago
    For a while my new EV was less to insure than my older ICE both with full coverage and same driver listings. This last renewal the EV is now slightly more, by like $50/6mo

reducesuffering 3y ago

Is that because after barely scraping by $80k or an $800/mth payment, they freak out why there’s another $300/mth?

guhidalg 3y ago
Well at least the first two are paying for an asset, whereas the insurance payments are paying for something nebulous that you may or may not need. The ideal insurance premium is $0/month.

seattle_spring 3y ago

Er... I own one and it is maybe 10% more to insure than my previous Subaru.

gnicholas 3y ago
How is that possible, just given the sheer cost difference? Or is most of your insurance policy covering liability (for if you hit other people), as opposed to the risk of damage to your own car?
- deleted 3y ago
  [deleted]
- jinushaun 3y ago
  It’s true. They are surprisingly cheap to insure. The current theory is that they are new and insurance companies don’t have enough data yet. Everyone expects rates to skyrocket as more $40k repair bills come in.
  - seattle_spring 3y ago
    I kind of doubt rates will go up like that. It's not like BMWs, Audis, etc are much cheaper to repair (by "authorized repair shops" at least), and those similarly are not wildly more expensive to insure.
- Retric 3y ago
  Because the cost of your vehicle is a small fraction of their total liability. Suppose your insurance cost is 100$/month for a Subaru and 110$ for a R1T but only 90$/month for liability + personal injury. Now your total bill increased by 10% while they are charging you 2x to insure the vehicle itself. They may also be getting this calculation wrong, but it’s unlikely to change that much.
- vel0city 3y ago
  For a while my new EV was less to insure than my older ICE both with full coverage and same driver listings. This last renewal the EV is now slightly more, by like $50/6mo