What If Car Insurance Were Like Health Insurance?

It is a beautiful day. You are walking down the road and picking up a nail in your tire. A few miles later your tire is running low, so you stop in a local garage and plug it in for 10 bucks. They suggest that you buy new tires before next winter.

It has been 3 months since your last oil change. Since it’s a good day, you pull in a lube stop and spend $ 50 on an oil change.

The day is really great, you fill your tank and take a long ride in the country.

The way you notice that your brake pedal is low, so the plan to apply the brakes in the near future is another $ 75 before the rotors are damaged.

What is missing from this equation? You did not consider asking your car insurance to cover the expenses.

Now what if car insurance was like health insurance?

Imagine new laws every time you need every gas station to submit an insurance claim at the pump. But the good news – you no longer need to pay up front. Tire, gasoline and oil changes are now covered under your car insurance.

Under the new rules, gas stations have to wait for 30 to 60 days to receive payment. Of course, the office clerk who submits the claim wants his salary weekly. The person who reviews the claim also does so. The insurance office has expenses for postage, utilities, and rent, not to mention that they expect to make a profit. Some claims will be denied or lost, so the gas station will naturally charge everyone a little extra to cover the damage.

Do you think gas will cost more or less? Will it really cost more or less to provide the same service?

Suddenly your $ 800 for petrol and maintenance has blossomed twice – or more.

The station owner is angry because he has to seek more assistance, wait to get paid, and deal with unnecessary suffering.

At least to start with you (customers) are happy – until you get your insurance bill, which is an increase of $ 1600 to cover the new services.

But by the time you receive the bill you are addicted to free gas. Hmm, maybe if you just drive more you will make up for the premium increase. You’ll get new tires more often than your insurance allows. And yes, you want the best – no one will do it off-brand.

This scenario has actually happened with health insurance. And thus the spiral is higher and higher premium. Does this make any sense?

It is not a genius to see that when everything is “free” the “need” is endless. Of course, nothing is free, it only seems so. You are still paying through a third party. And if you’ve paid in advance, you want the best – and you don’t want to pay an extra dollar for it.

Of course, your insurance has to take into account their shareholders, and make a profit, even if it is against your best interest. Soon only normal oil and knock-off tires will be covered, not to mention less-tested gasoline. All of this is double the price you pay.

Do you want to go back to the good old days, don’t you?

Copyright 2010 Cynthia J. Koelker, MD