PHOENIX – Have you noticed the increase in car insurance rates lately? This leaves drivers with no money to pay more.
According to the free comparison website, Insurify, people can expect their car insurance to go up 7% this year.
It is on a 9% percent increase in 2022.
And a recent Lending Tree study predicts Arizona is set to have the second-highest foreclosure rate in the entire country this year.
“All of a sudden they’re going up, like up!” said the driver, Kierra Guerro, who said her bill went from $200 to $400.
“Yes, there are many,” he cried.
Michael Barry, Chief Communications Officer and Insurance Information Insurer, says there are two main reasons for the rise in prices.
One is maintaining supply problems, where repair shops have to wait in parts, leaving insurance companies to better pay claims and rental cars.
According to Berry, another factor is due to the erosion of driving habits.
“The big picture is that insurance companies, not only in Arizona but across the country, are seeing an increase in the frequency and severity of accidents,” Barry said.
Insurers are paying more for auto repairs, personal injuries, and any lawsuits that come up. In fact, last year, Barry said, insurance companies operated at a loss.
“In 2022, these insurers will pay more in claims than premiums. That’s called the combined ratio, which is more than 100, which means that auto insurers are paying more than dollar for every dollar they take in expenses. last year,” Barry said. A large part of that cost burden is placed on the drivers.
“Yes, the prices are definitely going up,” said driver Costi Haig, who blamed much of the current White House administration. “I look at pretty much everything, the economy, the housing market, insurance, gas prices, I look at everything,” he said.
“It drives me, little money!” Guerro said.
Barry said Arizona ranks 21st in the nation for the most expensive car insurance rates.
To help save money, drivers should review their policies, as many people do automatic toll renewals and may not be aware that there is a price change.
But best of all, says Barry, ask your insurer about discounts for things like low mileage, safe driving, and child driver discounts for good grades.
And of course, he said, shop around for the best price.