I Need Mexico Car Insurance

Why Car Insurance Went Up

Insurance is one of those things that we take for granted. We think of it as a given, something that we need to have in case of an emergency. But what happens if the emergency never comes? Enter the car insurance industry. For years, premiums have been going up, and there’s no clear explanation for why. In this blog post, we will explore some of the possible reasons behind this trend and offer some tips on how you can mitigate the damage. ###

Auto Insurance Rates

Auto insurance rates went up in 2017 across the board, but some states saw larger increases than others. According to a study by AAA, rates increased an average of 6 percent across all 50 states and the District of Columbia. The highest rate hikes were seen in Hawaii (14 percent), Alaska (13 percent) and New York City (12 percent). Rates in Florida rose by an average of 9 percent, Nevada by 8 percent and Texas by 7 percent.

The causes of the increases vary from state to state, but most experts point to escalating claims costs as a primary driver. In fact, according to the study, claims costs accounted for 88 percent of overall increases in auto insurance premiums last year. Partly as a result, overall rates for drivers with comprehensive coverage rose an average of 10 percent while rates for drivers with liability coverage increased by 7 percent.

While this might seem like bad news for drivers who rely on comprehensive coverage, it’s actually a good thing for those who need liability protection because it means that insurers are offering higher rates to reflect the increased risk associated with these types of accidents. And since few people get into serious accidents without causing some sort of damage, even drivers who only need liability coverage can benefit from higher premiums.

The Factors that Influence Auto Insurance Rates

There are many factors that influence auto insurance rates. The following are just a few:

1. Age of the Vehicle
2. Location of the Vehicle
3. History of Claims or Accidents on the Vehicle
4. Sex and Occupancy of Driver
5. Driving Record and Liability Insured status
6. Car Modifications or Repairs
7. Use of Safety Devices, such as Airbags, Child Seats, Headlights, Mirrors and More

The Effects of Local Laws on Auto Insurance Rates

Many people believe that local laws have no effect on car insurance rates, but this is not always the case. In fact, some states require insurers to charge higher rates in certain areas, due to the increased risk of accidents or claims.

For example, California has a law that requires insurers to charge drivers in the state more for car insurance than those living elsewhere. This is because California has a high rate of traffic accidents and claims relative to other states. As a result, drivers in California are typically forced to pay higher auto insurance rates than those living elsewhere.

Similarly, Florida imposes a minimum liability limit on car insurance policies. This limit refers to the amount of money that an insurer will pay out in claims per year. Insurers are required to charge drivers based on their liability limits, which means that residents of Florida typically pay more for car insurance than those living elsewhere.

In general, local laws have a significant impact on auto insurance rates across the United States. While it is impossible to determine which specific laws affect rates most significantly, it is worth keeping this information in mind when shopping for coverage.


It’s no secret that the automotive industry is struggling right now. The high cost of new cars, combined with the increasing rates for auto insurance, has left many drivers feeling angry and frustrated. But what does this all mean for you? In a nutshell, car insurance went up because the industry is expecting more claims in the near future. As we get closer to summertime (the peak season for accidents) companies are preparing for an increase in damages caused by uninsured drivers. So if you’re thinking about switching to a new car or renewing your current policy soon, keep these increases in mind!

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