Insurance fraud

Oh joy. Time to renew my car insurance for another year.

I'm a big believer in holding as little insurance as possible. Once you've paid off your mortgage, life insurance is a complete waste of money -- mathematically speaking, it can't be a good deal for the average buyer, because if it was the insurers would be unable to stay in business. The same goes double for the extended warranties that retailers try to force on you every time you make a purchase. The very fact that they seem almost keener to sell you the warranty than the underlying product has to tell you something, and that something is that it's a great deal for them, which means that it can't be a good deal for you. (I was once offered an extended warranty on a small electrical item that cost less than £10 to buy!)

Anyway, the car....I have been dealing for ten years or so with an agency that operates across the UK. They have already sent me two e-mails reminding me that my policy is due for renewal this month. But of course, they haven't actually shown me a quote yet. As usual, they'll do that as close as possible to the renewal date, in the hope that I won't have enough time or energy to check with other providers. I've also been pestered already by several other companies who have managed to find out when my insurance is due for renewal. Then there are the innumerable price comparison websites, one of which I will probably consult, despite the gruesome certainty that once I provide them my details, they'll be all over me like a cheap suit for the rest of my days.

There can't be any product that's sold more aggressively than insurance, yet to hear the companies tell it, they're all losing money hand over fist. It makes you wonder why they work so hard to attract your business, if it's going to cost them money. So is insurance more profitable than the companies are prepared to admit, or are insurance people stupid? I suspect the answer to both questions is "yes".

Update: within an hour of using a comparison site, I received FIVE e-mails trying to bounce me into a quick decision. No intrusive phone calls yet, but give it time...