The highs and lows of insurance

I received my car insurance recently and I started to wonder how complex it is for the insurance companies to make judgment about their clients based on age and record of driving. And it is not just the car insurance but any kind of insurance can be involved in this calculation. Car insurance is based on your driving record and the age, for example if you have a perfect driving record and you are in the mid fifties, your insurance will go down but here is the dilemma, since at this age, most of the people who have kids add their teenage kids to their insurance since the kids start driving around that time when their parents are in the fifties and even if your own insurance goes down ,due to the addition of your kids, the insurance shoots through the roof, since teenagers are new to driving and they can easily be involved in more accidents then the more matured ones.

In the case of health insurance, initially your premium does not increase much since you are young and healthy so you may not use health visits but once you get old, you develop some diseases and constantly need health care which drastically increase your insurance premium, completely opposite to the car insurance premium. Something happens with life insurance as your initial premium is less and it goes up as you get older. Home insurance depends upon how much your home is worth and the location where you live, if it is high crime area, your insurance will be high and vice versa. So just like life has its up and down times so does the insurance premium you pay.