A recent study by the Insurance Information Institute found that auto insurance rates are on the rise. The study found that the average annual premium for auto insurance increased by 1.3% in 2022 to $1,678. According to the study, this is the highest average annual premium on record.
The study found that several factors are contributing to the rise in auto insurance rates, including:
Increased claims costs.
More expensive cars.
More distracted drivers.
More uninsured drivers.
The study also found that the rise in auto insurance rates is having a significant impact on drivers. The study found that 20% of drivers have had to cut back on other expenses to afford auto insurance.
The study's findings are concerning for drivers, and they highlight the importance of shopping around for car insurance and taking steps to reduce your risk of an accident.
Tips for Reducing Your Risk of an Accident:
Obey the speed limit.
Don't drink and drive.
Don't text and drive.
Use seat belts and airbags.
Be aware of your surroundings and be prepared to react to unexpected situations.