Premiums have seen an increase in cost in the last two years. In 2022, they had risen 7.9%, and in 2023 they had risen another 5.9%.
States like South Dakota and New Hampshire have seen an increase in rates greater than 80% of uninsured drivers.
With inflation and rising loss ratios, unhappy customers exiting out of their insurance policies was an unavoidable issue facing many auto insurance companies. Many found that the current premiums were not enough to pay for these rising claims costs, with companies spending 12% more on claims than all the money that they collected in premiums in 2022. This was the second year in a row that these companies have had to run at a deficit.
In addition, customers with clean driving records who have not had any accidents will view these increased costs as unfair rate hikes.
Yep.
ReplyDeletethe bad drivers are always the ones without insurance.
and most of them have no assets to go after, so even if you did get a judgement for your damages, youd never collect it.
and the people that do still have insurance have the state minimum.
I was a passenger in a car that was rear ended , hard. totalled both cars, I got a herniated disc.
the at fault driver had the state minimum, which in that state is $10K medical per person, with a cap of $20K total, so if there are three people injured in the accident, the most the ins co will have to pay out is $20K no matter how bad the injuries are.
so make sure you have UNinsured and UNDERinsured coverage on your policy.
I told my insurance agent to max out coverage, so anything happens, I hand over my insurance card, and walk away without a problem. In San Diego, there are too many rich people who can afford really expensive lawyers, and so can their wives, and their kids.
DeleteI can't. But I can max out the insurance, and if I could, I'd get everything I own in someone else's name so nothing can be lost in court.