Faced with rising premiums, some consider skipping insurance and driving less

Guarantee has released 2022 Auto Insurance Trends Report: Who’s paying more?is part one of a two-part report comprehensively covering the unique auto insurance landscape in 2022. Insurify’s report leverages his over 40 million auto insurance premiums from proprietary auto insurance applications across the United States. Learn more about who’s paying higher car insurance premiums in 2022, survey drivers on how they’re managing rising vehicle costs, and get expert advice on how drivers can save. Offers.

According to the report, the average American will spend $1,705 annually on auto insurance in 2022, up 4% from 2021 and up a whopping 17% from 2020. A Michigan driver pays the most for auto insurance, on average he spends $2,510 a year. He was $1,748 more than the $762 annual average in Hawaii, the state with the cheapest car insurance. Across the country, drivers get 5% less insurance premiums just because they’re married, and up to 17% less if they own a home.

Key findings of the report include:

Luxury electric cars are the most expensive to insure

According to Insurify data, Tesla Model 3 owners will have the second highest auto insurance premiums of all vehicle models in 2022. Model 3 drivers spend $3,040 a year on auto insurance. That’s $1,335 more for him than the national average. The Infiniti Q5 will have the highest premium in 2022, with an average annual premium of $3,149 for him.

Drivers in the Tohoku region pay premiums

In 2022, car insurance premiums for drivers in the Northeast will also increase. His five states in the Northeast (New York, Maryland, Delaware, Connecticut, and New Jersey) rank among the 10 states with the highest auto insurance premiums. In one of these states, the average driver pays $2,220 a year in premiums. That’s $515 more than the national average.

How Americans Are Looking to Cut Insurance Costs

Faced with the rising cost of owning a car, the report also found that 65% of Americans are considering driving less, and 10% are considering dropping auto insurance coverage altogether. also clarifies. Americans are also considering the following actions to save on vehicle insurance, fuel and maintenance costs in 2022.

  • 30% of drivers are considering buying a hybrid or electric vehicle
  • 30% of drivers are considering switching to another insurer
  • 16% of drivers plan to move to another location that is easier to walk with public transport.

For Americans, the current volatility in insurance markets is unlikely to stabilize until at least mid-2023. Elizabeth Stella Vice President of Insurance Partnerships at Insurify. “Based on our comprehensive research and feedback from over 100 carriers, the general consensus is that it will take 8-12 months. [from fall 2022] before the market stabilizes. Some believe it will be years before the soft market returns. ”

With prices likely to rise in the near future, Insurify experts recommend comparing quotes from at least four to five insurers every six months to find the policy that best fits your needs. increase. Drivers should also consider discounts they may qualify for, such as home and auto insurance bundles or advanced driver training courses. Insurify data shows that a single discount can lower your auto insurance premium by up to 15%, saving the average driver $258 a year.

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