INDIANAPOLIS — The rising cost of car insurance is a cause for concern.
Natasha Mecklenburg, an insurance advisor at Gregory & Appel Insurance, mentioned that discussions about the surge in insurance prices are a daily occurrence among customers.
Mecklenburg pointed out that the 22% increase is partly due to an increase in claims, particularly those related to weather events like hailstorms and auto thefts. The National Insurance Crime Bureau reported over 1 million cars stolen last year.
Additionally, the cost of repairing cars has also contributed to the spike in insurance prices. The complexity and expense of fixing modern vehicles, especially those with advanced electronic features, have led to longer wait times for parts and higher repair costs.
For example, replacing a standard side mirror can now cost between $300 to $500. If the mirror includes advanced driver assistance features, the price can range from $1,000 to $2,500.
To save on insurance costs, policyholders are advised to review their policies with a broker to explore options with multiple carriers. It is also important to ensure that personal information like ZIP codes, household composition, and work arrangements are up to date as these factors can affect insurance rates.
By evaluating coverage needs, adjusting deductibles, and considering optional protections, policyholders can potentially reduce their premiums. Other factors such as credit scores, driving records, and affiliations with certain groups can also influence insurance rates significantly.
It is suggested to maintain a good credit score by paying bills on time. Research has shown that drivers with poor credit pay an average of $144 more per month for full coverage compared to those with good credit.
For more information on how to manage and possibly lower car insurance costs, refer to the source link.
