LEGISLATION AND REGULATION Each state has its own insurance laws and government regulators. Each sets a minimum level of coverage residents must carry, determines if and when insurance companies can raise rates and proposes new laws regarding fraud and more. Insurance departments in some states have prohibited certain factors from being used to price insurance — notably gender, …
PEOPLES DRIVING BEHAVIOR Americans are increasingly distracted by phones and other devices behind the wheel. This and other reckless behaviors (like aggressive driving and DUI) increase risk — and therefore rates — for everyone. Even with fewer people on the road and fewer miles traveled, major accidents are on the rise. The fatality rate from …
THE ECONOMY Insurance is all about risk. Car insurance pricing takes into account individual risks associated with drivers and their vehicles, but broader environmental, government and economic factors also play a role. Supply chain issues as a result of the COVID-19 pandemic have skyrocketed the cost of new and used vehicles. In 2021, there was …
When risks change, rates change Insurance is all about risk. Car insurance pricing takes into account individual risks associated with drivers and their vehicles, but broader environmental, government and economic factors also play a role. POPULATION AND CRIME The U.S. population is up more than 8% since 2010, and top metro areas are growing even …
After a drop of 3.9% in 2020, they were up in 2021 Source: The Zebra.com
Weather, weather everywhere Wildfires, flooding, hurricanes, hail storms — catastrophes like these cause widespread property damage and an onslaught of insurance claims. Insurance companies raise rates to account for these losses. In 2021, wildfires and tornadoes were up, and while there were fewer hurricanes and tropical storms than in 2020, it was still considered a …
What is the state of auto insurance in 2022, part 3? Read More »
More miles means more accidents After reduced travel in 2020 due to the COVID-19 pandemic, people are starting to hit the road again — leading to more accidents and more insurance claims. The Federal Highway Administration shows that vehicle miles traveled in the first half of 2021 increased by 173.1 billion miles or about 13% …
What is the state of auto insurance in 2022, part 2? Read More »
Back up, after going down last year The average car insurance rate rose 3% from 2020 to 2021. Rates actually fell in 2020 for the first time since 2013. Because of that drop, the increase in 2021 still leaves rates down 1% from 2019 rates Other than the dip last year and in 2013, rates …
#6 Toyota Camry $1,826/yr (7.3% of MSRP) *Using 2021 models for the most popular vehicles in the U.S. by annual sales. See full report for all vehicle rates.
#5 Honda CR-V $1,500/yr (5.3% MSRP) *Using 2021 models for the most popular vehicles in the U.S. by annual sales. See full report for all vehicle rates.
