Compare car insurance rates in USA

Myanmar’s economy grew at the fastest rate between 2008 and 2016 (about 7 percent) even though low-income earners struggle to find better jobs than they used to. This doesn’t seem very different from the world with which our economy seemed to fit.

“Despite efforts by wealthy nations to develop economies that are truly inclusive, when income gaps widen as they did in Europe and the United States, countries like Myanmar have little chance of overcoming their top-down tendencies of inequality” says David Bergstein, founder of Myanmar Matters.

The higher the income, the higher the price of car insurance.

The contrast between the rich and the poor in Myanmar doesn’t lend itself to many similarities with USA. A standard Mazda 3 sedan averages about $37,600; you will pay as much as $4,000 to insure it. A similar car in USA has an average price of $35,000. The price goes up for every significant increase in income.

But, over time, your insurance premium can really jump! I was shocked by the $1,800 premium when my accident happened, and I’m fairly confident that I am much younger than my peer group. This is also a high car insurance rate for a car that requires little maintenance, and is reasonably sound. In the US, insurance rates tend to be proportional to driving style; there is no strong relationship to income.

Despite a few short years of stability, Myanmar’s economy is at risk of economic upheaval. Myanmar had been hampered by slow growth, corruption, mismanagement, and increasing price of food and fuel as well as armed conflict with the country’s now-former military government. Despite this, Myanmar has been relatively successful, and despite signs of US intervention, economic growth is continuing to rise by 5 percent.

But, like most developing countries, it’s getting increasingly difficult to provide for the basic necessities of life with just a $10 per month salary. Even for those with higher incomes, there are low standards of living that need to be satisfied. Myanmar needs to greatly raise the level of public education to be able to reach that potential. For many, prospects are dim when it comes to health care.

Now, there is only one known causal factor for the capital and interest rate spikes, and in the end, it is completely up to individuals in that particular country to decide what to do.

“The higher the income, the higher the price of car insurance,” says Bergstein. In this way, car insurance premiums don’t really “rise by monetary amount”. The rates go up for everyone. They also tend to rise because of big events that happen, and even though a car accident might have happened on a Friday night, there are likely to be many negative implications for the long-term drivers of the car.

Thailand, Hong Kong, Japan, Singapore, and many more countries all have lower car insurance rates. Many of these countries are experiencing a period of economic growth (within the range of the lowest income countries in the world), which makes the explanation of why their premiums remain low even in these economically stable countries fascinating.

Any professional driver has to pay dearly to insure their car. That’s the way that the insurance business works. But, the extremely poor in our society have even more to worry about than our own for car insurance. Without insurance, even the poorest of the poor are at risk of serious injury or death, says Bergstein.

In the USA, insurance is free, so even those who can’t afford the premium can own their own car. In the developing world, automobile crashes are seen as a punishment. Since most countries in the world deal with extreme poor public health, everyone in the country is poorer, but individuals who have money are very likely to come into contact with a vehicle, which is a rather risky thing.

Everyone is at risk if we drive today. Not just the rich, either.

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