Bignate603
Lifer
- Sep 5, 2000
- 13,897
- 1
- 0
so you think insurance companies are leaving money on the table?
investing $2500 in a $2000 car does not make any financial sense, period. you will not get any of that $2500 investment back when it comes time to sell.
There is value in knowing the history of a car which the insurance company doesn't care about. For instance, if you own an older car with a low resale that is in good condition it could mean that it would be worth it to spend more on it than the replacement cost. It's worth it because when you run into that expensive problem you know that everything else on the car is ok and won't fail soon. If you turned around and bought the exact same vehicle from someone else you have no idea what could be wrong with the car.
A known problem is less risky (and probably less expensive) than possible unknown problems.
