What Do Top Car Insurance Companies Think of Increased Car-Sharing?
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Car-sharing has increased dramatically in the past year, especially in Denver where it has doubled, according to The Denver Post. Bruce Finley’s article “More Denver residents embrace car-sharing” says that the nationwide increase was about 16%. For a monthly or even just an hourly fee, one of 27 car-sharing companies around the U.S. covers the cost of car insurance, gas, and all maintenance. There are currently more than 500,000 people registered to use the close to 8,000 vehicles available for car-sharing from these companies.
Monthly fees are usually around $10 per month and hourly fees range depending upon the city. In Denver you’ll pay anywhere from $4.50 to $6 per hour. This can save you a lot of money when you only need to use a car once in awhile for some errands or special trips. Top car insurance companies may not be thrilled with this increased car-sharing though. With the exception of those companies getting the insurance contracts for the car-sharing companies, insurers may be losing out on members who are getting rid of their cars to save money on insurance, gas, and maintenance costs by car-sharing.
While some car-sharing members are doing it to save money, many are trying to go green or just have some fun changing life up a little bit. One person quoted in the article just wanted to see if they could do it, while another uses it as a way to get more connected to the city through increased walking to the shared cars. As more people become interested in car-sharing though, it could become harder to get a car when you need it. Keeping up with demand for cars is important, but car-sharing companies have to make sure that they can cover their bills on a long term basis and the increase isn’t temporary. Car insurance companies like Donegal Insurance shouldn’t have to worry too much about losing customers because there are plenty of people not willing to be that flexible when it comes to their cars. The majority of people want their car available whenever and wherever they need it and are willing to pay for that luxury.
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