Tips on choosing a car insurance

Car Insurance

In this connection should also be questioned, whether the insurance company is doing reinsurance on a first-class reinsurance security. This can be seen from its annual report. It is important to note, because if the company is not in the back-up by reinsurance, the company is likely to be speculative in receiving the premiums. The problem is how much the cost of expenses incurred by insurance companies in operation. If it is greater than the cost of entry, then obviously the company is not efficient. If it's not efficient, so the edges will incur a loss. And, if ongoing losses, the insurance company certainly is not good.

In this connection could also be price premiums. Compare the price of insurance premiums the same with other insurance. Where the quality is really good. Currently, the government has set one measure of insurance (not the only one) is through mekanime RBC (Risk Base Caital). If the number is large RBC, this means the company is valued in good condition. But we should not be fixated solely with RBC numbers. Therefore, large companies can also occur which are conducting a major expansion such as opening more branches, then his numbers will surely RBC small.

Conversely, there is a small insurance company but never to expand, the number of RBC was probably much greater. Thus, RBC numbers can not be used as the only measure, whether the insurance company is healthy or not. In this case who is also noteworthy is the performance of the company within two or three years. How big profits every year, how much gross premiums they receive each year, how much additional capital and assets every year. And, equally important is how the company's management behavior over the years. Is there a management company for this broken promise? Has this company experienced in default management and so forth.