As others have said, car insurance pricing is very dynamic these days. Part of my work in the late ‘90s involved car insurance, albeit as part of a wider portfolio of insurance for a specific customer group. We had a Rating Guide in a lever arch file and every few months, a new set of pages (rates) would arrive if the insurer needed to amend the rates - pretty much back of a fag packet stuff, where I’d follow a flow chart in the guide and manually work out a premium on a scrap of paper!
Nowadays, the main car insurance providers will be tweaking their pricing and acceptance criteria almost in real times. It probably does feel a bit ‘finger in the air’, but there’s a lot (probably too much!) science and data to it. In theory, an increasing frequency of ‘cash for crash’ type staged accidents in a given location could increase the quoted premiums for everybody in that locality, even if they are free of claims. It’s all about probability.
Last edited by: Mr Moo on Thu 28 May 20 at 20:40
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