Car Insurance skyrocketing

[Tomtint]

Local shelter gets a lot of restricted breeds because insurance will cancel if they have a Pit bull, Rottweiler, Doberman, etc.

We have had all of those breeds.. A couple Dobermans and one of them was the friendliest dog we ever had, The other was friendly but aloof. .. the Rotti was a sweetheart, super friendly. We have had 2 Weimariners and both were different. The current one had a bite issue and insurance canceled us. Next carrier went up 50% on our policy but excluded the dog from the policy.

 

[Jchonline]

Natural disasters did not just start in 2023. There are well established disaster factors that are pretty good. Even if a given year has more than average, it's only a marginal increase from trend.

The biggest factor going into the rating is replacement cost and repair cost.

Billion-Dollar Weather and Climate Disasters | National Centers for Environmental Information (NCEI)

Summary of U.S. billion-dollar weather and climate related disaster research, methodology, and data sources

www.ncei.noaa.gov

This graph does a good job of visually explaining the cost you speak of.

 

[kenmbz]

I just added my under 18 son to my car insurance.
Went from an already too high 2800 to $5600!
And I am in a low crime, low theft area.

 

[jyoutz]

Billion-Dollar Weather and Climate Disasters | National Centers for Environmental Information (NCEI)

Summary of U.S. billion-dollar weather and climate related disaster research, methodology, and data sources

www.ncei.noaa.gov

This graph does a good job of visually explaining the cost you speak of.

Property damage is significant, but chump change compared to medical injury claims.

 

[Torvy]

Everything is going up, but ask some certain folks and they will tell you the economy has never been better and you are definitely better off now than 4 years ago!

Well, 4 years ago we were in lockdowns. Hard to argue we aren't better off now overall.

Inflation is worse, but that's not the question people ask.

Part of the insurance thing is that it is very much state specific. Even national insurers have completely different policies depending on where you live. We've had Allstate in 4 different states and the the basic policy works completely differently. Prices also vary wildly.

If your state has higher inflation than the national average, the cost of repairs will be higher, so the insurance goes up too. (Not to mention the added cost of labor, rent and taxes in those places).

Our insurance is much lower now that we retired to the country.

 

[Torvy]

The economy is good when you look at low unemployment and GDP. Of course, like always a better economy does involve increasing prices due to supply and demand, especially for real estate. I never had my home value increase when the economy was bad. This doesn’t mean that a hot economy benefits everyone. Those on fixed incomes like retirees don’t have their boat lifted by a rising tide.

Both the GDP and the employment numbers are mirage. GDP is not adjusted for inflation, so it goes up when prices go up. Employment doesn't measure many factors such as underemployment or people who have completely dropped out of the workforce.

Home values go up in inflationary periods as well. In general, real estate always has upward pressure due to the fixed supply. Real estate drops are almost always transitory. Inflation is rarely so since we left the Gold Standard.

 

[geteh]

Only person I know of that says that is the current POTUS. IMO, he's dead wrong as usual.

If all of you had any idea what we pay to insure the farm and all the equipment plus the vehicles and the rentals, you'd probably have a heart attack.

Lets just say it's real close to 8 grand a year.

Lucky we can write most of that off as a business expense. Only gonna get worse, not better until the Fed gets inflation under control and that won't happen with this current administration.

Why I keep saying, get out and vote, but vote wisely.

Just glad we are mortgage free except for one rental and that rental payment covers the insurance on it amongst other things Austin HVAC service.

Our carrier just increased the deductible to 2 grand and we have no say in that whatsoever and believe me, I've shopped for insurance before and there are no deals to be had.

How much increase are you guys seeing for your auto insurance? My rates have been steadily skyrocketing from Progressive, even though my car is actually getting older and I have zero changes in any of my parameters - driving record, claims etc.

Progressive increased my premiums 16.4% in mid 2023, now they've increased it again after just 6 months another 5.2% (that's an annual rate of about 10+%).

Thought inflation was moderating, but does not look like it is in the insurance space.

 

[kenmbz]

Went up about 50% in the last three years.
Just doubled when I added my son, so now at $5600 for two older cars.

 

[scootr]

I feel we all wasted a lot of money in our lifetimes on insurance we never used. I'm just saying - I wish all that money in a 5% CD right now.

 

[jyoutz]

I feel we all wasted a lot of money in our lifetimes on insurance we never used. I'm just saying - I wish all that money in a 5% CD right now.

I used to feel the same way. Then 15 years ago my truck was stolen, and 5 years ago my house roof was replaced due to hail. I think I’m actually about at the break even point.