I'm surprised someone other than the big-3 came up with this idea.

 

its a great idea except for the careless drivers.

 

Would this concept work in NJ or Cali? Insurance companies rape their customers for every penny they have in those states. Or so I've been told.

Also, I don't think the car companies would like paying insurance for people under 20. I could see that a program like this would be very restrictive as to where the only people who can qualify for it are white females that are 50 years old with no tickets for 20 years and with a 6 figure salary. And they can't use the policy on a Vette, GTO, Cobalt SS, Grand Prix GTP, CTS, STS, or any car that is remotely fast.

 

Cali's not as bad as it used to be. I don't even believe it's in the top 5 states anymore.

Now, Hawaii.....

 

Good idea, but I wonder how it will work in practice. The small print must take up as much paper as Moby Dick. They said they base it on the car and not the person, but I don't believe that. If so, kids and people with crappy driving records will flock to VW dealerships, where the car payments on a base Jetta could quite possibly be less than what they're paying for just insurance somewhere else.

Other questions: will they research your record? Can your family drive the car? How long do they pay the insurance? What are the deductibles? What happens if you make a major claim? What happens if you get a careless/DUI charge one month after you get the car?

 

That is an AWESOME idea. I know a lot of young people can't afford a new car simply becuase of the insurance. When I was getting quotes for a 2002 Z28 when I was 18, I actually had several places give me a $600+/month figure. The lowest I could find was $425/month. Had insurance been offered with the car as an incentive rather than cash back and 0% I probably would have bought it. Its rediculous that when you get a new car at my age, insurance will often be the same or more than the payments of the car itself. It turns a $30K car into a $60K car, and they wonder why young people don't buy new cars anymore. The only way to get by it is to 'buck the system' somewhat and get the car in your parents name.

 

You wont see that on a new camaro, cuz chevy would loose money on all those 18 year olds who can now afford the car than wreck it.

 

The insurance is through nationwide insurance and as long as you have a valid drivers lic. and live in IL or WI you are eligible. Nationwide insurance has all the details on coverages and deductibles. You will get full coverage for 1 year. From what I am told the insurance exceeds Illinois minimum requirements.

Great idea because we can't give away Beetles and the MKV Golf will be here late 05 or early 06.

 

Oh good. Lets further remove drivers from responsibility for their actions.

 

This is kind of off topic, but not really. I think insurance companies RAPE people no matter where they live. It is simply insane the amount of money you pay for their "service."

My proposal is like a serious driving test. How you can handle vehicles at speed, cornering, etc. If you pass the test with a certain score, you get a different colored license plate, and different colored license... that part may not really work cause many families have different drivers of different skill levels, but that's just a technicality...

Anyway, by passing the test at a certain level allows you more freedom on the road--i.e. +10 mph on posted speed limits, +20 mph, +30 mph. Insurance rates might also be dropped instead by passing these tests, because they realize that your driving skills are superior to others.

I don't know... it just seemed logical to me, and a way to reduce insurance/drive like I want to...

 

This promo will likely not be around long. There's either smallprint out the wazoo or someone went braindead when they thought this up...

"Full Coverage"... hope they don't advertise it as that. Unless the policy will be for $10 million liability, it won't pass for full coverage. $100,000/$300,000 won't go that far these days as for insulating a covered party.

Insurance for a year... not much of an inducement when those that have an issue with insurance rates will need a longer loan or lease than 12 months... talk about a "balloon payment" style deal. For those that get good rates on insurance already? What's in it for them other than less than good?

A low risk driver would be shafted on a deal like this. This is throwing out the roach bait. The high riskers will come out of the woodwork and be denied for shaky credit.

I can't see a deal like this working on any front. I suppose it better than buying birthday cakes and throwing parties for the steel that they can't move. I don't think this will move any dead iron as anyone able to understand simple math should understand you finance a one year insurance for the total length of the loan, AND have to pay insurance after 12 months. No charge is "no additional charge"... Nothing is free if you pay to receive it. It's a buydown in lieu of rebate. The folks they draw with this won't be who they want to sell to..