Why Did My Auto Insurance Increase? (Chesterland, OH)

Carlee – Hi, Barb. I noticed that my auto insurance rates are going up and I really didn’t do anything different. Can you explain as to why that’s happening?

Barb – Carlee, that’s a great question. We get that periodically. Clients will get the renewals and they’ll notice the increase in the premiums or the pricing. So there’s a lot of factors that drive auto insurance rates. There were in 2022, there were 15 different instances of big claims due to weather over a billion dollars was paid out. The used car, truck and car prices are up. We’ve all seen that in 2022 supply chain issues have triggered shortages of the chips with the new cars. There’s labor shortages and wages increases as well as you know, the body shops. They’re paying higher labor rates. You know, if there’s a damage and a bumper. Now we’ve got cameras in there. So all these factors play into what causes the premiums to go up. They’re paying out more than they’re taking in and they’ve got to pass the cost on to the consumer. So that’s a great question, Carlee Thank you.

We’d be happy to review your insurance coverage options with you! Give us a call at 440-729-4042 or visit https://luczkowskiagency.com.