At everyone of our offices we are asked the question almost daily “Why did my car insurance go up?” Companies seem to be taking rate increases every renewal. It is frustrating for you and for us as well. I promise you that if we could hold premiums down, we would. Becky and I were in a meeting with one of our top carriers yesterday and all the agents in attendance wanted to know when rates are going to stabilize.
Well, we did not get good news. But we did get an explanation. In the last few years the frequency of car accidents and car accident deaths has sky rocketed. Along with that, car repair costs have also greatly increased. Lower gas prices have lead to more people traveling which leads to the higher accident frequency. Higher new car sales have led to the higher repair costs. For example, most new cars have back-up cameras and parking sensors. And let’s not forget those pesky smart phones that cause us distractions and lead to more accidents. The carrier said ALL companies are facing pressure to raise rates and he did not see any relief anytime soon.
However there is some good news. If you are doing business with us and you have an increase we are shopping your insurance at renewal to make sure you are still getting the best rate. If you do not hear from us before your renewal that means your current carrier is still the best price we have to offer. We value you as a customer and we want to save you money. As always, give us a call if you have any questions.
White-Ledbetter Insurance Group