Ballpark or ballpark? How about Actual?

So Allstate has a commercial where the guy points to a hot dog vendor and says that when you buy a hot dog, the vendor doesn't ask your name and social security number so why should your car insurance company? Ok, I can agree with that. Or, maybe not so much.

The problem with this ad is that it implies that a hot dog vendor is like an insurance company. But, that is not true! You see, if you walk up and want a hot dog, you will pay a certain amount; if I walk up and buy a hot dog, well, I will pay the same amount as you did. Now, think about insurance. If you go to buy insurance, you will pay some amount. If I buy insurance, wait... my price is different. What? Oh yeah, insurance is based on other factors than just what kind. I mean, yeah, there is difference between the hot dogs we could each order, but if we both get a chili dog or both get a hot dog with mustard, either way, as long as we pick the same type of dog, our price is the same. But if we both pick PL/PD, living in the same place, our prices will be different merely because you might be older than me or you could have more speeding tickets than me.

So comparing auto insurance with a hot dog is kinda misleading. Now, if Allstate really wanted to appeal to a wide customer base, they would NOT adjust prices based on age or other subjective measures. Instead, the guy talks about calling Allstate and getting a ballpark quote without giving your name and afterwards, you give your info, and they will give you their actual quote. Why don't they just give you a friggin' quote without your information? Oh wait, they don't want to do that. They don't want to be like the hot dog vendor. They want to give "specific" quotes. Yeah, that is crap cause they base it on age or color of the vehicle and some other random criteria. Nope. Be a hot dog vendor. Give me a quote that doesn't have to apply to just me.

Now, I will put one disclaimer here. It is okay to adjust premiums based on something non-subjective. Two good examples are accident history and the fair market value of the vehicle itself. So, if you caused 2 accidents already, your premiums should be higher and there will be proof of the accidents. An example of the second type is a 1985 Volvo and there is no way that vehicle will be worth as much as a 2007 Mustang, both of whose prices can be found in like Kelly Blue Book. Something like age? No, never should be included. I know a few middle-age or elderly people who have been a part of more recent accidents than a teenager driving for a few years. Besides, how often does an old person get a license when they are blind? Or, how often does an old person DRIVE through a bloody store window rather than walk in the front door? Yet they are the ones that get the "maturity discount" or "experienced driver discount." That is crap.

So yeah, guess Allstate still hasn't quite got it right. Little tweaking needed to make their ads slightly true.