Janet Ruiz of the insurance information institute acknowledges car insurance rates are on the rise.
Nationwide, they climbed nearly eight percent last year almost twice the increase in a typical year. “fixing the cars with all the new technology can be more expensive;” Ruiz said.
Rising health care costs, so are people injured in accidents. But the primary reason rates are on the rise is due to traffic. “We have more cars on the road. So, when we have more cars on the road we have more accidents;” Ruiz explained
According to the most recent industry figures Insurers paid out seven and a half billion more in 2014 than they made from premiums.Thanks to more accidents, healthcare costs and yes high tech cars.”Insurers are raising rates so they have the right amount of money to pay claims at the end of the day;” Ruiz said.
With rates on the rise you can ask your insurer to check for additional discounts like good driver or low mileage. You may also save money if you’ve had a life change like getting married or having a child. And you can often save on insurance if you bundle it with your homeowners insurance.