AutoInsurance.org recently published a guide about rising auto insurance rates every year. This guide reveals that insurance rates have been rising, and according to experts, they’re expected to get more expensive in 2024.
Adjusted for inflation, the average premium for full coverage would increase by $4, but additional factors could result in more significant increases.
Inflation and Auto Insurance Premiums
One driving factor of higher rates is inflation. Even though inflation is not at the record levels of a few months ago, it’s still more than 3% over last year, which is high. Insurance companies deal with the effects when they pay claims that cost more than they did five years ago. Additionally, higher overhead costs cut into the profits necessary to remain in business.
