What makes car insurance expensive?
What factors go into making car insurance expensive
Car insurance is one of the most expensive things you can buy. The price of car insurance is quite high for Indonesians, with a monthly premium that can reach up to Rp 9 million (US$1,100). That’s why you need to be very cautious when finding a good deal.
As a result, many people don’t even bother trying to get their licenses renewed. In the end, this can lead to a huge financial burden and make life more difficult.
In order to save on car insurance premiums, here are some tips:
• Always check multiple quotes before signing a contract
• Look for discounts in your area that offer discounts for certain types of vehicles or drivers (such as students)
• Check if there are discounts through your bank (such as on current accounts)
For more information about car insurance in Indonesia please visit Roojai.id
How to save money on your car insurance premiums
The most common question we get from our readers is how much car insurance is actually expensive in Indonesia.
In fact, several of our authors wrote that they can’t even afford to buy a car in Indonesia, so they just buy insurance.
The answer to this question depends on the type of car you drive and the make and model. If you own a small sedan or hatchback, then probably the cheapest deal on auto insurance is still car insurance. But if your vehicle has more bells and whistles, then perhaps the cheapest deal is still not a good deal. In general, places like Aceh will get you better deals than Jakarta.
A good way to save on your monthly premium is by shopping for a better deal and comparing quotes from different providers. You should also consider, vehicle type, location, age and experience.
Why it’s important to have car insurance
This quick article is meant to be a brief introduction into the insurance business. To understand the real cost of car insurance, it might be helpful for you to know what different types of car insurance are available and how they differ.
In Indonesia, whether you are a motorist or simply a consumer of cars, there are two types of insurance: liability (for damages) and personal injury (for bodily injuries). The cost of this type of insurance can vary depending on your income. Personal injury is usually more expensive than liability. However, personal injury coverage is cheaper than liability. For example, if you have a car accident that leads to bodily injuries and are unable to pay the medical bills, you will probably have to pay higher out-of-pocket expenses because you may not have enough funds to cover all medical bills.
The basic difference between various types of car insurance in Indonesia is that there are three different types of insurance for motor vehicles (such as cars), one for motorcycles (such as scooters), and one for buses, trains and airplanes (such as airliners).
In general, the type of insurance you get depends on your situation. If you own a car that is covered by liability only or are just a consumer of cars who rarely use it but occasionally rely on it for personal transportation (such as if you rent an apartment), then no additional costs should be required for liability only coverage. The same rule applies when it comes to motorcycle riders who rarely use their bikes but often rely on them for transportation purposes – they should get personal injury coverage instead (or at least adequate coverage). If your vehicle has damage caused by an accident with an automobile or other vehicle, then these vehicles would require higher levels of coverage than those that do not have such accidents.
In case your vehicle has been involved in an accident with another vehicle while on the road or while parked at home – this would require higher levels of liability coverage than regular automobiles. In case it has been hit by a train/buses/planes/a ship/trucks driven by others – this would require bus-only policies that cover all private vehicles while being operated by others while they are in motion. This includes motorcycles and commercial trucks registered under government official number plates. In case your vehicle has been involved in an accident with another person – this would require higher levels of liability coverage than regular automobiles.
The different types of coverage available
If you are reading this, chances are that you have a car. You probably drive it a lot. And if you didn’t, it’s probably because you live in a country where the government forces people to buy insurance for their cars. And when you buy insurance for your car, there’s something called “catastrophic coverage.” This means that if your car is damaged beyond repair, or if you die in an accident, your insurer pays out all of the costs to repair/replace or maintain your vehicle.
This is a very good thing. The US has had this kind of insurance since at least the 1920s, and it is well known as something of an unspoken rule without which businesses wouldn’t exist — that after something happens, everyone ends up paying for it anyway (except the one who caused it). There are interesting questions about why we have this kind of coverage in the first place and what its purpose is: how much do insurers want to make from covering things? How much do they really need to make? What kind of coverage would make them happy?
One way to answer these questions is through cost-benefit analysis: compare different types of policies/prices and see which one gives the most bang for your buck (take an investment approach: compare per-use costs). Another way is through cost-effectiveness analysis: look at how much money insurers actually spend on their business and see what they could be spending instead (again, take an investment approach here).
But here I will focus on the other question: what makes car insurance expensive? Let me start by outlining the three main ways that cars get insured in our country:
1) At least theoretically driven into a ditch by some idiot driver
2) Colliding with another vehicle carrying five or six people
3) Colliding with a tree while driving over 10 mph out of town at night
I don’t know how many times I’ve sat next to someone driving over 10 mph on US roadways and they tell me they don’t think they’re speeding. That’s because they’re not insured against dying in a motor vehicle accident! They’re not insured at all! They’re going to die anyway, no matter what! I’m sorry but I don’t care if you think you’re driving too slow! If we want people killed on our roads by careless drivers we should educate them about speed limits and offer them collision coverage so that accidents don
Make sure you are in the Know
If you are a car owner in Indonesia, you might want to take some time to learn more about car insurance. Not all consumers understand how insurance works and can be complicated. If you want to make sure your auto insurance is cheap and easy for you, read this article on the topic.