[JJMcJ]

They are not taking on more liability.

The insurance company now has no responsibility to repair the insured vehicle so they have less responsibility.

I suspect Collision insurance is very profitable compared to liability.

[lotsofpulp]

pja made the claim that in some instances, collision/comprehensive + liability can be cheaper than just liability alone.

I expressed surprise that collision/comprehensive + liability can be cheaper than just liability alone, since, on the face of it, the insurance company seems exposed to more losses due to possibly having to pay the insured for their car damages.

In my comment, I wrote liability referring to the insurer’s liability for paying to fix/replace the insurer’s car, not liability as in auto liability insurance where the insurance company pays others for damage you cause to them.

[JJMcJ]

Possibly willing to buy collision is a proxy for a generally prudent driver.

Also, skipping collision happens most often when driving a really cheap car, which can be a marker for a bad driver.

Actuaries actually have numbers for this things, but I am just speculating.

[throwaway0a5e]

> Possibly willing to buy collision is a proxy for a generally prudent driver.

It's a proxy for not being able to afford to fix or replace your car at the drop of a hat.

>Also, skipping collision happens most often when driving a really cheap car, which can be a marker for a bad driver.

Once again, just a proxy for money.