Why is car insurance so expensive?

High premiums can result from factors like a poor driving record, expensive vehicles, high-risk locations, or lack of prior insurance. Insurance rates also reflect the overall costs of claims and repairs in your area.

Car insurance can be expensive due to a variety of reasons. Younger drivers and those with a poor driving history often face higher premiums, as do people living in high-traffic or high-crime areas. Additionally, the make and model of your car, as well as the level of coverage you choose, can affect the cost.

A person with a clean driving record might see an increase in rates due to rising repair costs or insurance company-wide premium hikes, even without an accident.

Understanding why insurance is expensive can help you reduce your costs. Drivers with poor credit, at-fault accidents, or traffic violations are often charged higher premiums. Look for discounts or consider increasing your deductible to lower the monthly premium.