Although inflation may be starting to decrease, car buyers won’t be catching a break on their insurance. This year, the average cost of a policy is growing by almost 14%.
According to a Bankrate research, the cost of full coverage auto insurance increased to $2,014 per year in January, which is up 13.7% from a year earlier. According to Bankrate, drivers in some locations, like Orlando, Tampa, and Miami, are spending about $3,000 for coverage this year.
The age and model of the car, the driver’s driving history, the city of residency, and other criteria are typically taken into account when calculating a driver’s car insurance quote. Additionally, according to Bankrate, adding a teen to the policy, receiving a speeding ticket, and being found guilty of drunk driving frequently result in higher auto insurance rates.
One reason Florida vehicle insurance is relatively expensive is that drivers are forced to have no-fault insurance. Due to the fact that no-fault insurance requires payment of claims regardless of who damaged the car, auto insurers charge higher premiums for those plans.
Additionally, Florida is also known for having one of the nation’s deadliest interstates, Interstate 4, which runs from Tampa to Orlando. Florida is a populous state, and as many visitors drive cars there, this contributes to the state’s high rates.
Boston, Seattle, Washington, DC, Portland, and Charlotte have among the least expensive full coverage pricing, with rates under $2,000, according to Bankrate. Auto insurers feel that premiums are lower in these cities because there are fewer accidents, teen drivers on the road, and occurrences of drunk driving.
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