Alta4ever

cheap does not make a plocy crap, lack of insured perils does, but we are compairing price not insured perils, they are the control in the reports.

obviously you have never been a broker.

BTW this study was one that was actually done right the mean was taken on the lowest quotes of the sample not on ll the quotes, it takes into account consumer habit. This what you get when a group that understands the industry does a report, they understand what data is valid and invalad.

you do realise that 7% increase on madatory coverage amounts to a 1 to 10 dollars. We also had had no increases in it since the grid rates were brought in and when they came in the rates had been rolled back 12%.

mean does not work for that, people buy the cheapest policy always. Depending on the market segement the client falls into will depend on who gives them the cheap policy, some companies are more compeditive on high value vehilces and good drivers but poor on low value or substandard risks. They the companies taylor their rates to attraci the market segement their business plan is geared to. People will automatically gravitate to the company that offers them the best rate for the segment that they fall into.

personally my rates have changed 20% in the last five years but more of that has to do with buying different vehilces, my manditory coverage has only changed 7%.

Each company has market segments that they actively pursue. What axa is looking to underwrite for auot policies is vastley different then the type of client kingsway is.

Actually it cannot go up 40% in one year because a regulatory board has to approve all auto rate increases in Alberta, in fact the companies just filed a rate drop here.

you did not give me the mean of policies purchased you gave me the mean of the policies quoted. Again I ask you with 30 identical policies quoted, as a consumer which policy do you buy the one in the middle, the average or the lowest. Not a one of your links takes into account the purchasing habits of consumers. The client always wants the best policy for the lowest price.

So why do you not understand that the medians are invalid numbers to use as are the highest quotes, its not just about statistics its also about consumer habits, and I have yet to see a consumer that always pays the mean on three identical products.

it does not reflect actual policy averages it reflects quote averages, which as demonstrated is flawed data.

I forgot to mention your report relefts the quote averages not the actually average policy. If you also take into account that the client shops 3 brokerages, and of the 3 brokerages they all have 1 common company that return the same quote, and two unique ones it also throws out the quote average. 1000, 1000, 1000, 1200, 1100, 900, 1300, 1250, 950 average equals 1077 if you just average the 7 different companies 1000, 1200, 1100, 900, 1300, 1250, 950 the average equals 1100

Those are not mean numbers. For it to be valid the umbers that should be averaged are on the policies purchased not the quotes given. You do not buy a policy based on the quote average, you buy the policy with the lowest number. eg. Person one quotes 1232, 1454, 1328, 1562, 1384 policy bought $1232 quote average 1392 person two quotes 1565, 1425, 1695, 1750, 1850 policy perchased $1425 quote average 1657 person three quotes 800, 1250, 921, 1000, 898 policy purchased $800 quote average 974 (rounded to the whole) the average dollars actually paid 1152 the average of all the quotes 1341 (rounded to the whole) Which of the two numbers more accuately reflects what the consumer is actually purchasing? its the 1152.

Don't know why you would care, but it is a fact, private insurers offer a deductable buy down as well in Manitoba.

One thing that I do know where government run rates are cheaper was on drivers under 25, but I have not seen any reports since Albeta introduced a parallel grid rating system. It may or may not be the case now.

The data used in this report is derived from the 2003 report that Dobbin posted which I have already debunked.

Alberta wins case to cap whiplash claims http://www.calgaryherald.com/news/Alberta+...0105/story.html Now this is only for minor whiplash, if it whiplash that results in permanent damage it is not capped.

More problems no data set displayed no definitions what is an average size city. Two different sized data sets are compaired The Association utilized 2,973,980 auto insurance rate quotes covering 357 communities in Ontario plus the 803,017 quotes from 219 communities in Alberta and British Columbia. Again they are using quotes not the average of inforce policies. People in private insurance tend to shop around (multiple quotes from the same companies) and buy the lowest policy they find.

The first problem with this so far 2.2 Alberta instated a cap on a specfit injury claim soft tissue whip lash not all injury claims which it infers.

You are not reading do you know what a median is? People do not pay the median price out of a list they pay the lowest. The report was also based on received quotes not policy totals from in force policies. Those quotes also do not take into account policy discounts that an experiance broker will also find. Of course you can't compair did coverages and different vehicles the vaible have to stay the same, I did have a problem with that did I? The biggest fault is that you cannot compair a median price from 30 companies because you will have a wide range of numbers for instance eg. 143, 286, 500, 800, 2000 the median is 800 but the average is 585. Now you also have to take into account consumer habbits, and I offered those same five numbers to you all represent the same coverage on the same car which would you rather pay, would you pay the median?

Yes but you buy your basic coverage from MPI, then do the deducible buy down through a private insurance company.

Yes you have to buy down your deducible in Manitoba typically you get this through a private insurance company.

I did, and their methodology is to defer to the one report that Dobbin listed.

You do realise that they picked the nedian rate to do all these surveys not the lowest or the average, thos fact flaws the whole document, as each senarior listed in that report of dobbins will have a very low rate to a very high rate and the median rate is the midlle number in an arranged group, it does not take into account what they actual average is. This also does not reflect any of the prices actually paid on in force policies. Just theoretical numbers, and as a consumer are you going to take the middle price or the lowest price. That study is fundementally flawed.

Again nothing on how their information was derived, what methodology they used. Just conclusions, that can't be verified.