RightSaidFred wrote on Mar 8
th, 2018 at 5:47pm:
Bias_2012 wrote on Oct 15
th, 2017 at 1:54pm:
So you think the government should regulate profit of a private operator ?
CTP is a pretty static product just go with the cheapest.
They are private operators raking in
compulsory premiums, and as such, they are not operating in a competitive market outside of their own group of six licensed greenslip insurers
In principle, compulsory insurance should be non-profit, because all sentiments of market induced influence and competition are expelled by the act of making the insurance compulsory. The companies could recover salaries, wages and expenses, but no profits. Making profits from compulsory premiums is not normal business, it's theft
If it wasn't compulsory, I'd have no objection to profit making, true competition deserves a profit
That said, my main gripe is they steal all your money if you never make a claim in your entire motoring life up until you hand your drivers license in. If you never make a claim, you should be entitled to get all that money back with interest minus administering costs. The promise the companies make to you to pay up in the event of an accident is intangible, but if you never make a claim, they get to keep your very tangible $27,000
If you think they should keep that money
if you never make a claim, why would you think they should keep it?
Try to imagine you've reached the end of your motoring life and you've never made a claim