Cedric E. Stephens, Contributor 
QUESTION: I would like to know the names of the five best motor insurance companies in Jamaica. I am a young person who will be buying a car soon. I am not only interested in price. Customer service is very important to me. I have been phoning around to get information. The insurance industry is eager to seek new clients. They tend to leave you on your own after the sale has been made.
bailey_donna50@hotmail.com
ANSWER: You had me searching for my bible! Why? The first thing that popped into my head after reading your mail is that you are very smart. Your question is deceptively simple. Yet, the pearls of wisdom it contains have eluded persons three times your age. My search led inevitably, to the book of Matthew. Then, the penny dropped. Things that are hidden from 'the wise and prudent' (a.k.a. the old) have been revealed 'unto babes', like you!
Who are the best five motor insurers in the island? If I tried to answer this question, I would be setting myself up as a judge, not an advisor. Unlike a judge in a beauty contest, however, I would sit in splendid isolation. The selection process would comprise my views, prejudices and shortcomings and would not be balanced by the opinions and insights of others. The results could lead to all sorts of questions about my motives and independence. For this reason, my policy has always been to provide information or solve problems without calling insurers' names. At any rate, naming my top five would be a complete waste of time. Consumers, to some degree, have made their selections already. Who am I to question the collective wisdom of the market?
The table above lists the top five motor insurers by market share, for 2001, according to information compiled by the Jamaica Association of General Insurance Companies. Market share is defined as the motor premiums paid by consumers to each company.
The list does not tell the full story. Companies are very finicky when it comes to motor insurance. Some insurers go after market share. They will write any type of risk to meet consumers' needs and try to make a buck. Others are more selective. They are interested in providing coverage for certain groups. The groups are defined by gender, age, occupation, vehicle type and driving experience, to name a few. Another category of insurers is even pickier. They limit the amount of motor insurance they write to an absolute minimum. Because an insurer's name is not among the 'top five' does not mean it is a bad company.
Financial strength, operating philosophy (as opposed to advertising promises), claims payment practices, staff quality and attitudes, customer service, word-of-mouth reputation, coverage and price are important factors in selecting an insurer. One of the lessons of Enron, WorldCom and others, is that one needs to look beyond numbers to get an accurate picture.
Here are two specific things you can do to get a good fit between prospective insurers and you. There are 13 companies that write motor insurance in Jamaica. Choose six. Visit their websites. Try to get a feel. Is the site designed with you in mind or, is it the same, boring old same old? Has the company paid attention to any of the factors that I have identified in its web content? Does it provide useful information for first-time buyers like you or is it filled with insurance jargon? Does management seem tech-savvy? Do they offer on-line quotes, account enquiry and other extras to meet the needs of your generation?
Old-fashioned methods can be equally effective. Contact three persons whose judgment you trust. Find out about their experiences with motor insurance. Try to guide their answers by focusing on the criteria that I outlined. Ask them which companies to contact and which to avoid. If you end up with a company that is not among my top five, do not be surprised. The market is not infallible. From time to time, it corrects its mistakes.
Cedric E. Stephens is an advisor on risks and insurance. If you need free advice write to the Financial Editor or contact Mr. Stephens directly at aegis@cwjamaica.com
