Car insurance rates on the rise; what you can do to save

The cost to get car insurance is soaring.

New data shows car insurance rates are up 20% in the past year. The last time rates rose that much on an annual basis was in 1976.

Channel 11′s Nicole Ford dug into the ‘why’ behind the higher costs and found out what you can do to save.

Work inside Classic Automotive in Mars is always happening, but things have changed in the last three to five years.

“What used to be a simple rear bumper repair is now requiring a replacement because of a blind spot behind it,” said Aimee Thompson, co-owner.

That technology is changing the game for drivers and body shops as the costs keep adding up.

“Just this module itself is $1,200 along with that small radar is $800,” Thompson said.

Add in cameras in the windshield and around the vehicle…any fix with that technology means the car needs to be recalibrated. Those costs for Classic Auto are up 46% since 2020.

That’s why drivers are seeing sharp increases when it comes to their car insurance.

The national average has rates up more than 20% in the last 12 months, something insurance broker Matt Kirschner says started with more accidents from distracted driving.

“A lot of them aren’t happy, obviously. What I tell my customers is try to keep it personal,” said Kirschner, with MSA Insurance. “What’s a good car insurance policy for one person might not be a good fit for someone else.”

He encourages drivers to talk with a professional and shop around as each policy offers different discounts and options.

What he says not to do is drop coverage on your vehicle.

“The goal is always to keep your coverage as is because insurance is not something you need until you have to go use it,” he said.

He is hopeful this trend won’t continue as supply chains have improved.

“An insurance company would pay for a rental car for someone for two to three days and now we can’t get that part in for four to five weeks so insurance companies are paying for rentals that much longer,” he said. “Stuff like that is starting to come to an end.”

National trends show the rates leveling back out by the end of the year.

Download the FREE WPXI News app for breaking news alerts.

Follow Channel 11 News on Facebook and Twitter. | Watch WPXI NOW

©2024 Cox Media Group