According to Dale Porfilio, the chief insurance officer at the Insurance Information Institute, the trade group, many companies still need to raise prices to make up for those bad years. Last year, insurers raised auto premiums by 14 percent, the biggest increase in over 15 years. Mr. Porfi...
American motorists are spending less on fuel than a year ago, but any savings are likely being gobbled up by soaring car insurance premiums. Although prices at the pump in December were nearly 2% lower than a year ago, auto insurance rates jumped 20% over the same period, Labor Departmentd...
Inflation: No surprise here—when the cost of goods and services increases, it can even impact your car insurance. “It might feel random, but insurance companies may increase prices for inflation adjustments, or if the company as a whole is seeing higher claims rates than they expected across...
How do disasters potentially impact insurance costs? After a major catastrophe such as a hurricane, tornado or wildfire, construction costs may rise suddenly because the price of building materials and shortage of construction workers increase due to the widespread demand, according to Worters. "This...
Vehicle safety can also affect your insurance prices. Cars that do well on safety tests, like the Insurance Institute for Highway Safety test, have lower insurance premiums. Look up the safety ratings the next time you’re shopping for a car—or ask your insurance agent how your car’s rat...
Suppose an insurance policy didn't have a deductible. The cost of every minor claim, regardless of the amount, would be the insurer's responsibility. This would create an overwhelming number of claims and increase the financial costs of the policy. It could also make it difficult for the ins...
Driving fewer miles may also qualify for car insurance discounts. In addition, by increasing the deductible on the auto policy, or the amount you have to pay upfront in the event of a claim, you may lower the cost of your policy. Before you do that, be sure you have ample cash set...
Here are five reasons why your car insurance might seem high right now and what you can do about it.
Even so, these people can still see their insurance plans go up. Automobile insurance premiums can go up and down based on a multitude of different factors. Significant life events can have an impact on car insurance plans, even though people might not realize that life events can do so. ...
Because even in a simple fender bender, without auto insurance, the whole scenario could’ve gotten awholelot uglier. So why do we need car insurance? Why do states mandate it? (And is it worth paying for it in the two states where it isn’t required?) How does auto insurance protect...