Gloria Camargo
Two million drivers in Colombia are going to have to pay a lot of money to insure their vehicles. Across the country, the cost of comprehensive insurance has increased, which means that those who decide to purchase it will have to shell out significantly more money. The increase in the prices of all risk insurance has not been applied uniformly, since it depends on the type of vehicle, the driver and other factors. Therefore, some people are paying more than double what they did some time ago.
The rise in the cost of all-risk insurance is one more concern for an automotive sector that is already in crisis. The high price of vehicles and the cost of gasoline have decreased the number of people who are buying vehicles, and the increase in the cost of comprehensive insurance only makes the situation more difficult.
According to Oliverio García, president of Andemos, the union that brings together the automotive sector, the situation is not going to improve anytime soon. The factors that are affecting the cost of policies are not going away, which means that all-risk insurance will remain expensive for an indeterminate period of time.
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Among the factors that are increasing the price of the policies are annual inflation, the high accident rate in the country, the increase in the value of spare parts and the increase in the price of the dollar, since many parts are imported in that currency. .
Although insurance policies are important to cover accidents, thefts, and other problems that may arise, not all drivers in Colombia purchase them. Only 16% of the 16 million cars in the country have comprehensive insurance, which means that some 2,560,000 vehicles are insured.
The solution to this problem is in the hands of the drivers, according to García. If the accident rate on the roads decreases, the costs of the policies could also decrease. However, in recent years, the situation in this area has not been encouraging.
The high price of all-risk insurance adds to other difficulties faced by drivers in Colombia. The prices of new and used vehicles have increased, making it more difficult to buy one. In addition, interest rates have risen, which has discouraged many people from purchasing auto loans.