Auto insurance is up 55%. WHY?????

[FrancSevin]

The newest car I own is a 2021 Chrysler Pacifica.

Everything else is old. Many get no mileage because they are hobby cars. Less than 500 miles a year.

My daily driver is a '95 Dodge one ton.

The recent rise in car insurance is more than the national average and is killing me.

Why?

 

[bczoom]

It may be where you live. In PA, my policy rates are "normal" and haven't gone up too much.
In FL, the rates are incredibly high. E.g. I have 2 matching SUV's, one in FL, one in PA. Same coverage.
In PA, it's under $400/year for full coverage. In FL, it's $1200.
In PA, I'm paying around $2700 for 6 vehicles. I have 1 vehicle in FL and it's $1200. Big difference.

 

[waybomb]

Take the hobby cars and insure with Hagerty!
We agree on the value. No depreciation. 5 mercedes convertibles, two of them being v12 cars. 3000 miles per year. For all 12 months, all 5 cars, 1200 bucks.

 

[FrancSevin]

Take the hobby cars and insure with Hagerty!
We agree on the value. No depreciation. 5 mercedes convertibles, two of them being v12 cars. 3000 miles per year. For all 12 months, all 5 cars, 1200 bucks.

Thanks. But that doesn't answer my question.
Auto insurance is, across the board, up 55% in the last three years.

Why?

 

[bczoom]

Thanks. But that doesn't answer my question.
Auto insurance is, across the board, up 55% in the last three years.

Why?

I'm going back to my previous post. It doesn't seem to be across the board.
I just traded in a 2003 and bought a 2021. My insurance remained pretty much the same (It was under $100 annual difference) and I went from liability only to full coverage so I'm guessing my rate went down.

Somewhat WHY but IMHO, WHERE has something to do with it.

 

[FrancSevin]

One can always shop and should do so. We changed this year both companies and our coverages to lower the premiums. That's smart.
And yes insurance rate increase because of inflation which devalues the dollar. Which raises the price of everything.
Auto insurance has outpaced inflation by more than double. Crazy!
Groceries-29%
Rents - 27%
Mortgage rates and credit cards -12% to 27%
Fuel prices 35%
Depending on whom you believe.

The question is why did Auto premiums skyrocket 55%?

 

[waybomb]

Did you call them and ask why? Could be a mistake.

 

[FrancSevin]

Did you call them and ask why? Could be a mistake.

Seriously?
I'm sure I would get the truth from my agent.

All I am stating is auto insurance has been noted as one of the big factors in recent, last 3 1/2 years, inflation.
I'm not asking why MY insurance went up. I posted the national trends.

 

[Melensdad]

Thanks. But that doesn't answer my question.
Auto insurance is, across the board, up 55% in the last three years.

Why?

Parts have gone up exponentially.
Labor has increased.
Risk, in many areas has increased due to uninsured motorists
Risk, in many areas has increased due to thefts

Costs them more to fix a car
Costs them more to replace a car

Therefore costs you more to insure a car

Insurance rates have gone up on housing too.

 

[FrancSevin]

Parts have gone up exponentially.
Labor has increased.
Risk, in many areas has increased due to uninsured motorists
Risk, in many areas has increased due to thefts

Costs them more to fix a car
Costs them more to replace a car

Therefore costs you more to insure a car

Insurance rates have gone up on housing too.

All of these conditions can be traced back to the mismanagement of our nation from Washington DC.