Car Insurance Premiums Set to Increase by 22 Percent

By Kevin Joseph August 18, 2024

Get ready for a possible surprise when renewing your car insurance. Premiums have seen a significant increase of 15%

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in the first half of 2023 and are projected to rise by a total of 22% by the end of the year.

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In 2022, American drivers experienced a significant increase in insurance costs, with a steep climb of 24%. According to Insurify,

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the average full-coverage premium currently stands at $2,329. However, in certain states, it may be more than 40% higher.

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Maryland is leading the pack when it comes to insurance costs, with an average of $3,400. These costs are projected to increase to $3,749 by late 2024.

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South Carolina and New York have similar premiums, with South Carolina at $3,366 and New York at $3,325.

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Meanwhile, in New Hampshire, you can find the lowest premiums at around $1,000, and it's expected that there will only be a minor increase.

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Maine and Vermont also offer attractive rates. On the bright side, it seems that California, Missouri, and Minnesota could potentially experience significant increases of over 50% in 2024.

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There are several factors contributing to these increases, such as the upward trend in new car prices, the high costs of repairs, particularly for-

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electric vehicles, and the frequent damages caused by weather conditions. Regulatory changes also have an impact, such as the laws in South Carolina and Maryland that place-

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greater financial responsibility on insurers. In California, post-pandemic rate adjustments have caused certain companies to increase premiums in order to improve their profitability.

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