{"id":871,"date":"2024-02-06T17:42:02","date_gmt":"2024-02-06T17:42:02","guid":{"rendered":"https:\/\/www.autobuyersmarket.com\/news\/?p=871"},"modified":"2025-05-05T10:25:10","modified_gmt":"2025-05-05T10:25:10","slug":"report-car-insurance-rising-at-all-time-record-rates-increases-43-since-2020","status":"publish","type":"post","link":"https:\/\/www.autobuyersmarket.com\/news\/2024\/02\/06\/report-car-insurance-rising-at-all-time-record-rates-increases-43-since-2020\/","title":{"rendered":"Report: Car Insurance Rising at All-Time Record Rates, Increases 43% Since 2020"},"content":{"rendered":"\n
\"In
In 2023 alone, consumers paid approximately 20 percent more then they did in 2022 for car insurance, which represents the largest cost increase in the industry since way back in 1976. File photo: PH888, ShutterStock.com, licensed.<\/figcaption><\/figure>\n\n\n\n

NEW YORK, NY – A new report indicates that car insurance costs are increasing at a faster rate than any other service purchased by consumers. In just three years \u2013 from December 2020, during the midst of the COVID-19 pandemic, to December 2023 \u2013 car insurance rates have increased a whopping 43 percent<\/a>, according to the latest consumer price index data from the Bureau of Labor Statistics.<\/p>\n\n\n\n

People had been acutely paying attention to the reports put out by the U.S. agency since inflation has been holding the country in its 40-year-high grip, but despite the fact that inflation is slowly decreasing \u2013 with it down to 3.4 percent from 9.1 percent in June 2022 \u2013 car insurance rates are still surging in record-breaking numbers<\/p>\n\n\n\n

In 2023 alone, consumers paid approximately 20 percent more then they did in 2022 for car insurance, which represents the largest cost increase in the industry since way back in 1976. The Bureau of Labor Statistics currently tracks financial fluctuations in about 200 categories, and car insurance had the largest increase year-over-year out of all of them; the only category to come even close was, oddly enough, frozen noncarbonated juices and drinks, which saw a 19 percent bump in cost in 2023.<\/p>\n\n\n\n

Even typically expensive items, such as rent increases and college tuition, didn\u2019t approach the level of inflation seen in the car insurance industry.<\/p>\n\n\n\n

There are a number of causes that are contributing to the large jumps in car insurance costs in the country, among them the lack of driving that took place during the COVID-19 pandemic. Despite not being on the road, customers of insurance companies were still paying their premiums, but the number of claims being filed were drastically decreased; this resulted in rebate checks and discounts being offered to some policy holders. However, once the pandemic ended, car insurance companies saw a drastic increase in the number of claims being filed, and as a result rates started shooting up again.<\/p>\n\n\n\n

In addition, the high costs associated with fixing new cars<\/a> \u2013 both of the internal combustion variety and electrically powered \u2013 are also a major factor in higher insurance rates these days, as the more complex technological features of these modern models almost always contribute to bigger repair bills when accidents or defects occur.<\/p>\n\n\n\n

These days, the best thing a savvy consumer can do to save money is make sure they shop around for the best insurance rates they can find, which can often be with lesser known, local companies as opposed to the big ones that you see with funny ads on television. Also, if you\u2019re contemplating buying a new car, make sure you research what will cost to ensure it first.<\/p>\n","protected":false},"excerpt":{"rendered":"

NEW YORK, NY – A new report indicates that car insurance costs are increasing at a faster rate than any other service purchased by consumers. In just three years \u2013 from December 2020, during the midst of the COVID-19 pandemic, to December 2023 \u2013 car insurance rates have increased a whopping 43 percent, according to the […]<\/p>\n","protected":false},"author":4,"featured_media":872,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[3],"tags":[],"class_list":["post-871","post","type-post","status-publish","format-standard","has-post-thumbnail","category-market-updates","entry"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\n\t\t\n