The cost of owning an automobile in Texas will soon increase… again.
New and used vehicle prices soared during the pandemic. The skyrocketing cost of gas continues to shock consumers. Before long, Texas auto insurance rates will join the list of increasing prices.
When fewer automobiles were on the road in 2020, insurance rates decreased, and drivers received refunds or policy credits. That’s no longer the situation. As drivers return to the roads, they file more claims, which mean higher rates.
“Reports say Progressive is raising its rates 15 percent on average; that’s the company’s largest single auto insurance hike in the state in the last decade. Allstate, Geico, and Nationwide are a few other providers hiking up prices,” according to KRLD.
“Root Insurance and Redpoint Insurance both filed to increase rates 20% or more,” per the Denton Record-Chronicle.
Texas’ average auto insurance annual rate is $1584, according to Zebra, an insurance comparison website.
How to decrease your auto insurance rates
Zebra provides the following tips to help you save:
· Improve your credit score to save up to 17%
· Pay your policy in total to save up to 10%
· Bundling your home/renters insurance can save 5% - 10%
· Purchasing a used vehicle can save you up to 27% each year
If you're displeased with your current company, check the Texas Department of Insurance website to find and compare policies. You can also file a complaint with them if you think your rates are unfair.
Consumers pay higher prices than they did a year ago for everyday essentials. It’s almost time to add auto insurance to the list.
When will this trend end? Let us know what you think in the comments.