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By Andy (anonymous) | Posted April 09, 2007 at 11:32:05
Great article on a topic that really needs consideration. One item it doesn't touch on however would be the application of this logic to other fixed costs of driving. We purposely chose to live in downtown Hamilton in part to reduce our "need" to drive. For that choice we pay insurance rates far beyond those in the commuter belts whose residents rack up miles and "have to" drive everywhere. Distances driven are one factor that don't seem to factor into the setting of rates. Folks who drive 5000 km a year should pay 20% of what those doing 25,000 km annually do. Ask your broker why this isn't the case the next time you renew.
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