Anyone out there noticed an increase in your auto insurance rates in the last couple of years? None of us likes to talk about those increases, let alone pay for them. And as your insurance agent, know those are never the easy conversations. However, auto rates are regularly going up across the industry regardless of carrier. It is a simple fact that there are more cars on the road than ever before. The result: an increase in accidents, an increase in costly claims, & an increase in rates across the insurance industry.
Here is a look at many of the factors driving rate fluctuations in auto coverage.
- More Injuries and More Fatalities: In 2016, traffic fatalities increase by %6 to a 10 year high. The costs of crashes—from injury and property damage—increased %12
- More Distracted: 660,000 Americans are using cell phones or electronic devices while driving—at any given moment.
- More Cars: 17.6 million new cars sold in 2016, a record high.
- More Technology: High-tech auto parts have resulted in an increase in claim costs of almost $300 in the last five years.
- More Miles: 3.2 Trillion miles driven in 2016.
- More Affordable: Gas prices in 2016 were the lowest since 2009.
- More Fatigued: 83 million sleep-deprived Americans drive every day.
- More Social: 74% of drivers use Facebook while driving.
With all of these factors at play, it is more important than ever to have a conversation with your local insurance agent to guarantee your best auto insurance rates. Atchley & Associates Insurance Services is here to find your best coverage to keep you on the road! Call us today at 951-275-0340 or head back to our website for more information about what we can do for you.