Auto Insurance Rates Expected to Increase 10-20% in 2017
Unless you’re with a few select companies, you can expect to see some pretty large increases in your auto insurance rates over the next year or two. Here are a few factors that are having an impact on those rates:
- People are buying more cars. In 2015, Americans bought a record 17.5 millions new vehicles.
- People are driving more. Thanks to lower gas prices and higher employment, 2015 saw the highest increase in driving in 25 years.
- Distracted driving is increasing. According to the National Highway Traffic Safety Administration, fewer people are talking while driving but more are texting and surfing the web.
- Injury costs are rising. Driven by medical inflation ad increasing claim complexity, costs are up 5-6%.
Of the top 30 insurance companies, all but three will be able to keep those increases to 5% or less. We represent all of the three of those companies. If you see your rates go up, call us, and let us shop them for you and ensure your getting the best rates.