Insurance is a fine concept. You gamble a (relatively) small sum, and should you need to claim, your gamble pays off because the insurance company buys you a new washing machine, or whatever. The down side is that you become a worse risk and thus need to stake more the following year for the same possible return. Conversely, if you pay your premiums to the insurance company year after year without claiming, you should expect that these premiums will continue to reduce, because you are paying for your peace of mind, and the insurance company is paying absolutely nothing. They are accepting a risk, but your record has shown that you are not a significant risk. What actually happens, of course, is that if you claim, your premiums go up and if you do not claim, your premiums go up. The only party guaranteed to win is the insurance company, and the only one guaranteed to lose is you. You can give yourself the illusion of getting one over on the insurance company by registering a few dodgy claims, so in the short term you may win. In the slightly longer term, however, the insurance company simply increases its premiums across the board so that everyone, including you but excepting themselves, pays for your fraud. A certain famous British insurance company was an exception at one time; a handful of individuals were personally responsible for the liabilities of the underwriters that they themselves underwrote. If sufficient claims were made against them, they stood to lose their investment, along with whatever collateral they used to back it. As they had already made huge sums out of the premiums of people who did not claim, the balance was still well in their favour. Recently, however, this company has altered the rules so that they still take the money in the form of premiums, but they no longer have to cough up in the event of a claim. All this may not be quite so bad in cases where insurance is taken out voluntarily, but motor insurance is a legal requirement and the notion of a no claims discount is nowhere near as good as it sounds. Premiums still continue to rise even though the insurer has incurred no expense other than three sheets of A4 paper and the charges on a toll-free telephone number. There is absolutely no way on this earth that an insurance company can fail to make its principals a vast amount of money for virtually no effort whatsoever. If there is an insurance professional out there, please explain to me in what way I am wrong.