What is Driving Your Auto Insurance Rates?

The world post-covid has looked much different for many industries and the insurance industry is no different.  Gone are the days where a good driving record and no claims meant low rates.  Today's insurance marketplace is determined by a multitude of factors.  So what is causing your rates to increase? 

1) Rising claims costs

2) Supply Chain Issues

3) Labor market constraints

4) Inflation

5) Weather Disasters

6) Increases in new and used car prices

So what can you do to try and get your rates down, or keep them from increasing too much?

1) Go PAPERLESS! Paperless billing and document delivery cuts down on the insurers expenses and they like to pass that savings on to their policyholders.

2) Opt for longer policy terms (if available).  Many insurers offer both 6 and 12 month policy terms, doing a 12 month term will allow you to lock in that rate for a longer period

3) Keep an eye on your credit health! You'd be surprised how much a strong credit score can save you on insurance over time.  If you have improved your credit score drastically, ask your agent if they can re-run your insurance reports. 

4) Opt for telematics.  A simple app that monitors driving habits can save you a lot on your insurance, this is an especially great idea for teen drivers. 

5) Pay your policies in full if you can.  Full pay means less fees and most companies will offer a pretty healthy discount for paying in full. 

6) If you have teen drivers, make sure they are keeping at least a 3.0 GPA or better.  If your college student lives out of town/state and does not have their car available, that can help keeps rates down as well.