Insurance rip off.

[J.Lo]

Just insured a £200.000 house a £12.000 car and got change from £330.00, also insured a £12000 caravan cost £380, WHY J.Lo

 

[Damian]

Because it is not easy to steal a house, and repairs on a car are generally cheaper than repairs to caravans, which if involved in a RTA are generally written off.

 

[bigbilly]

All insurance companies although making vast profits calculate their premiums based on the claims history of the particular item involved. This can change based on lots of issues like location, age of owner and owners previos history etc., etc.

Caravans, to me, seem totally disproportional in cost to repair to other things like homes and cars. I've noticed it on my Bessacrr with a few of the stated costs of warranty work e.g small coffee table & (15" X 5")

 

[geofthecyclist]

I work in Insurance - admittedly not dealing with caravan insurance and have to say that insurance in general works on very fine margins of only a few%.

Dont forget that in addition to the everyday damage and theft risk - which on a largely hand built aluminium box which is expensively fitted out, there are also potential injury or third party damage risks. People sue at the drop of a hat and it takes a lot of premiums to deal with a hefty injury claim. There may not be as many arising from caravans as the sector I work in, but each claim will be hugely expensive.

When you get a "catastrophe" claims such as a flood - of which there is an increasing number, the relatively few insurers involved with caravans are guaranteed to be covering many of the vans which will each be either a write off or costly to repair.

I dont expect many people to feel sorry for insurers but take it from me that the days of "massive" profits are long gone. Pretty much the only way to make a profitable book is to make a few% on large numbers by trimming your costs all the way along the chain.