Why Are Car Insurance Rates Predicted To Increase in 2022?
Alex Healey
· 2 min read
Heading into the new year full of boundless optimism? Allow us to temper that with some bad news.
According to industry experts,
car insurance
rates are going up in 2022. This is mostly due to an increase in dangerous driving
, more fatal accidents, and high inflation across the U.S.Fortunately, you can save money by comparison shopping online. Sign up with
Jerry
and we’ll help you compare coverage from 50+ car insurance companies in just a few clicks.There’s no complex paperwork to fill out and the average user saves $879 a year!
Why are car insurance rates increasing in 2022?
Forbes
reports an increase in speeding since the pandemic began, and related to this, the NHTSA noted an 18.4% rise in the number of fatal accidents between January and June 2021, compared with the same period in 2020.These catastrophic accidents trigger massive insurance claims, and insurers are also struggling with the impact of inflation, which has seen the cost of auto parts increase by 6% over the last 12 months.
In short, 2021 has been an expensive year for insurance companies. This will translate to higher insurance rates in 2022 as companies seek to recoup the money they have paid out.
How can drivers save on car insurance in 2022?
Forbes suggests there is some good news for drivers in 2022.
Firstly, the cost of insuring an electric vehicle is expected to go down, and more Americans are expected to take advantage of usage-based insurance programs, which reward good driving with lower rates.
Another strategy to get cheaper insurance is to
opt for a higher deductible
. By promising to pay a larger share in the event of a claim, your insurance company will be willing to accept a lower premium.Alternatively, review your existing coverage and see if there is anything you no longer need, or consider bundling your car insurance with your home insurance to save on both.
These are all great ideas, but the best way to save on car insurance is to compare quotes with
Jerry
.Our fast and secure app will show you the best available rates from 50+ providers, saving you time and money when shopping for your next policy.
