Posted 1/26/2024, 7:55:15 PM
Car Insurance Rates Soar 36% Since 2020 Due to Surging Vehicle Prices and Repair Costs
- Car insurance rates have soared 36% since January 2020 due to increasing vehicle prices and repair costs
- Higher car prices have made owners more willing to pay for repairs rather than buy a new car, driving up demand
- Repair shops face higher costs for labor, parts, and expenses, leading to rising insurance rates
- Insurers struggle to cover losses as vehicle and repair prices climb faster than insurance rate hikes
- Rate increases may slow as new car inventory builds, but labor and parts shortages persist for repairs