Why Car Insurance Premiums Are Rising in 2024
Car insurance isn’t just a random number. It’s a calculation based on several factors, like your driving history, age, and the type of car you own. Insurers analyze risk and adjust premiums accordingly. But what happens when external factors disrupt this equation?
The Impact of Inflation on Insurance Costs
Inflation is the silent killer here. As the cost of goods rises, so do repair bills and medical expenses. For insurers, this means paying more for claims, and guess what? They pass that cost right to you.
Increased Accident Rates
More cars on the road mean more accidents. Post-pandemic, traffic levels have surged, leading to higher claim volumes. Distracted driving, a growing issue, is also adding fuel to the fire.