Call for a Free Consultation
click for free consultation

The Rising Cost of Car Insurance

Car insurance is an important financial safeguard against the unexpected. It not only helps protect us in the event that we are injured in a motor vehicle accident caused by someone else, but it can also help protect us from financial liability and negative legal repercussions if we ever happen to cause an accident ourselves. 

But for most people in the United States, insurance can be a very expensive bill. The majority of us rely on our vehicles to get around at some point in our lives. Our cities and towns are built around motor vehicle travel, and in some areas public transportation options can be severely lacking. So for many, a car is the only realistic option, and since almost all states require drivers to carry insurance, car insurance is largely an unavoidable expense.

Because of differing regulations and requirements, insurance rates vary widely from state to state, but also from vehicle to vehicle, and even from person to person. Everything from your age and gender, to your level of education and credit score, can have an effect on the rate you are able to get as an individual. 

But, the one thing all states and insurers have in common is that car insurance is getting more expensive each year. 

Rising Insurance Rates

Each year, the online insurance search engine The Zebra, releases a report on the state of automobile insurance in the United States, and their findings are usually very interesting. For instance, The Zebra has found that currently car insurance in the United States is more expensive than it’s ever been. 

According to the 2020 report, since 2011, average car insurance rates have gone up by almost 30%, more than twice the national rate of inflation. This rise in rates is projected to affect about 63% of all drivers in the country. 

The average American pays $1,548 for car insurance annually. But in some states, like Michigan, the most expensive state in the country for car insurance, the average annual rate can get as high as $3,000 every year. 

The 2020 report lists Colorado as the 10th most expensive state in the country, with an average annual rate of $1,757. This comes on the heels of a period of time from 2011 to 2017 when Colorado’s average rates rose at the third highest rate in the country, with a 54.2% increase over that period of time, behind only Montana and Mississippi.

What’s Behind Raising Rates?

There are a number of factors named in the report that help explain why average car insurance rates are raising, and these include things you might expect, such as damage caused by inclement weather events such as hail storms, but also social factors such as a growing population centered largely within dense metropolitan areas, and also crime rates, such as a slight increase in the number of vehicles stolen annually since 2014.

One big factor that has helped bring about the raise in insurance rates is distracted driving infractions. Being ticketed for texting while driving, or engaging in some other outlawed distracted driving behavior, can dramatically increase your personal insurance rates by an average of 23% nationwide, and by more than 63% in some states, according to the report. 

Holding Insurance Companies Accountable After an Accident

Since car insurance is so expensive, it’s all the most important that you get what you pay for. After being injured in car accident, it’s important that your insurance company fulfill their end of the bargain, and help cover your medical bills and other expenses.

Insurance companies don’t always do what they’re supposed to do though, often attempting to get away with paying the least amount of compensation they possibly can, putting their bottom line above the needs of their clients. When that happens, it’s important to realize that the insured have rights, and there may be legal recourse that can be taken to help hold those companies accountable.

Contact Our Colorado Springs Car Accident Lawyers Today

Have you been injured by the negligent actions of another driver? Are you concerned you won’t have the money to pay medical bills and lost expenses? If so, you need an experienced Colorado Springs car accident lawyer on your side to help you fight for justice. Contact the experienced attorneys at the Green Law Firm today by calling (719) 694-8515, or by filling out the contact form on this website, to schedule a free, no-obligation consultation to discuss your case.