Texas is Not One of the States That Will See Auto Insurance Rates Grow the Most in 2022
More than 20 states will see auto insurance rates increase by 1% or more, while 14 states will see declining premiums.
January 24, 2022 at 01:00 PM
2 minute read
SlideshowThe original version of this story was published on Law.com
Personal auto insurance rates are expected to increase as 202 unfolds, with sources reporting lifts ranging from 5% to a more modest 0.6% being projected by Valuepenuin.com. The average cost of auto insurance is expected to reach $1,935 annually However, rates are still below pre-pandemic levels, according to Divya Sangam, insurance spokesperson for ValuePenguin.com. She noted that prior to 2020, premiums growth was average 5%-6% and rates increased every year from 2011-2020. Valuepengiun.com also ancitipates the impact from the omicron variant to be minimal on auto rates as insurers are unlikely to give out further COVID-19-related discounts, barring a nationwide lockdown. Overall, 14 states are expected to see year-on-year insurance premium declines, Valuepenguin.com reported. The average drop is projected to be around 1% Hawaii, New Mexico and Maryland are expected to see the biggest declines, respectively. However, drivers in Maine, Texas and Wisconsin will enjoy the lowest average car insurance premiums nationwide, according to Valuepenguin.com. Although rates are low in Texas, Lone Star State drivers that receive a ticket or get in an accident will see the biggest rate hikes, increasing 142%, on average. Research also found 22 states will see average rates increase 1% or more during 2022, with Florida, Michigan and Louisiana seeing the highest average rates. The above slideshow highlights the states that will see the biggest increases for personal auto insurance during 2022, according to Valuepenguin.com. Related: |
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