Drivers are encouraged to check with their insurance provider to see if they qualify for veteran, student or good driver rates.
CORPUS CHRISTI, Texas — At the start of the COVID-19 pandemic in 2020, many of us were pleasantly surprised when auto insurance companies began issuing premium refunds.
More people staying home meant fewer claims.
This year, however, drivers may get some of that back as auto insurance rates are on the rise.
According to industry monitor Insurify.com, drivers can expect to pay an average of $1,895 a year for auto insurance. That’s a 7 percent increase from last year (about $10 a month) and a nearly 30 percent jump from 2020.
“What I’ve been telling my customers is, ‘Fasten your seat belts, because 2023 is going to be a tough year,'” State Farm insurance agent Drew Becquet said.
Becquet told 3NEWS there are at least a couple of reasons for the increase.
First, both new and used cars and auto parts are more expensive due to inflation and ongoing supply chain issues. Second, people are getting back on the road and driving more, and more people on the road means more accidents.
So how can drivers try to offset the increase?
You may have to shop around, which is always a good thing to do when faced with higher prices. But before doing that, Becquet said drivers should talk to their current insurance provider first.
“We make some smart adjustments to your coverage,” he said. “Maybe that’s with some deductibles. There’s a lot we can do without absolutely reducing coverages that will make some slight adjustments on the coverage side, but could have a big impact on the premium side.”
Also, ask your insurance company about discounts. You may qualify for veteran, student or good driver rates. When the bill comes, remember that you, the consumer, are in control and there are always options.
More from 3News at KIIITV.com:
Subscribe to our YouTube channel for daily news and exclusive interviews.
Do you have a news tip? Tell 3!
Contents
- 1 Do you have a news tip? Tell 3!
- 2 What are 10 easy ways to get cheap car insurance?
- 3 Should I buy a car now or wait until 2023?
- 4 Does credit score affect car insurance?
- 5 Is Geico cheaper in Texas?
Put your name and contact information below, or email tell3@kiiitv.com, so we can get back to you about your story if we have questions or need more information. See the article : Drivers urged to check car insurance, stay alert for theft. We realize that some stories are sensitive in nature. Let us know if you want to remain anonymous.
If you do not have any photos/videos to submit, click “OK” to skip this request.
What are 10 easy ways to get cheap car insurance?
9 simple tips to reduce car insurance costs
- Choose third party insurance for older cars. This may interest you : Do I need car insurance for a rental car?. …
- Install anti-theft devices in your car. …
- Avoid unnecessary car modifications. …
- Compare car insurance premiums. …
- Increase your voluntary deductibles. …
- Avoid unnecessary plugins. …
- Avoid minor claims. …
- Pay-as-you-drive car insurance.
What is the cheapest type of car insurance? The cheapest type of car insurance will depend on your personal circumstances. However, comprehensive coverage is usually the cheapest type of car insurance, even though it offers the most coverage of the three policy types.
Who has the lowest insurance cost?
| company | Average annual rate | Average monthly rate |
|---|---|---|
| 1. Geico | $354 | $29 |
| 2. State farm | $452 | $38 |
| 3. Progressive | $619 | $52 |
| 4. The farmers | $620 | $52 |
Is Geico cheaper than Liberty Mutual?
Geico is a clear winner for affordable car insurance rates. Geico car insurance quotes are 8% to 44% cheaper than Liberty Mutual. On the same subject : Is comprehensive insurance full coverage?. Plus, Geico’s minimum and full coverage policies are cheaper than the national average.
Should I buy a car now or wait until 2023?
Whether you’re buying a new or used car. New car prices are on the rise, breaking monthly records. Used car prices are starting to drop, and our experts tell us that both trends could be with us well into 2023.
Will next year be a good time to buy a car? While rising used car prices are bad for those who can’t afford a new car, it may mean that 2022 is a good time to buy a car for those who have a trade-in vehicle. A high trade-in price means added equity that can help reduce the finance fee of a new car purchase.
Are car prices expected to go down in 2023?
As new car production improves, demand for used cars will decrease and prices will continue to fall in the new year. The firm estimates that used car prices will drop between 10% and 20% by 2023; On the other hand, new cars are expected to experience a modest decline of only 2.5%-5%.
Will cars cost more in 2023?
Used car prices have likely peaked, but new car prices will remain high until the end of 2022. In 2023, prices are expected to drop by 2.5% to 5% for new cars and between 10% and 20% for used cars.
How much will used car prices drop in 2023?
By 2023, analysts expect new and used vehicle prices to diverge. In a November report, researchers at J.P. Morgan opined that new car prices would not fall by more than 5% by 2023, while used vehicle prices could drop by 10% to 20%. Pat Ryan, CEO of car-shopping app Copilot, agrees with that analysis.
How will the car market be in 2023?
S&P Global Mobility expects global new vehicle sales to reach nearly 83.6 million units by 2023, up 5.6% from the previous year. In the United States, the data and consulting firm expects sales to rise 7% to about 14.8 million units in 2023.
Is 2023 a good time to buy a car?
Higher rates and more expensive car prices don’t seem to be going away anytime soon. The estimates of J.P. Morgan show that the price of new cars will not decrease more than 5% by 2023. If you plan to finance your new vehicle, your credit score will be a big factor in the interest rate you will receive from a lender.
Is 2023 a good year to buy a car?
Used car prices have likely peaked, but new car prices will remain high until the end of 2022. In 2023, prices are expected to drop by 2.5% to 5% for new cars and between 10% and 20% for used cars.
Will cars cost more in 2023?
By 2023, analysts expect new and used vehicle prices to diverge. In a November report, researchers at J.P. Morgan opined that new car prices would not fall by more than 5% by 2023, while used vehicle prices could drop by 10% to 20%.
Will 2022 car prices drop when 2023 cars come out?
Average prices increased by 42.5% in September 2022 compared to February 2020. Used car prices are likely to have peaked, but new car prices will remain high through the end of 2022. By 2023, prices are expected to drop by 2.5% to 5% for new cars and by 10% to 20% for used cars.
Will car Supply get better in 2023?
The tight inventory of new and used cars in 2022 should give way to slightly better availability in 2023, and while this implies a break in high prices, affordability remains a challenge, especially for customers with credit subprime, according to the latest annual consumer credit forecast. , from the TransUnion credit bureau.
Will new car prices come down in 2023?
But 2023 may finally bring some relief. As demand stabilizes and inventory improves, prices are expected to ease. Prices could drop as much as 5% for new vehicles and between 10% and 20% for used vehicles, according to a November report from J.P. Bank. Morgan.
Will car prices drop in fall 2022?
Automotive analysts at J.P. Morgan agree that used car prices have likely peaked after rising 43% between February 2020 and September 2022. As new car production improves, demand for used cars will decrease and prices will continue to drop into the new year. .
Does credit score affect car insurance?
A higher credit score lowers your auto insurance rate, often significantly, with almost all insurance companies and in most states. However, getting a quote does not affect your credit.
What is a good credit score for car insurance? So what is a good credit score to get a competitively priced auto insurance policy? A score in the “good” range – between 670 and 739, according to the FICO scoring model – is generally considered the baseline for competitive pricing.
Do insurance companies look at credit score?
Most insurance companies that use credit information will include it as a factor in determining your rate. For example, someone with a relatively high credit score may pay a lower premium than someone with a relatively low credit score.
What is the most commonly used credit scoring model?
FICO Scores According to FICO, your scores are the most used by lenders. FICO scores generally range from 300 to 850.
What is a good credit score?
Although the ranges vary by credit scoring model, generally credit scores of 580 to 669 are considered fair; 670 to 739 are considered good; 740 to 799 are considered very good; and 800 and above are considered excellent.
Is Geico cheaper in Texas?
Geico is the cheapest company in Texas overall, with an average full coverage insurance rate of $100 per month. The average cost of auto insurance in Texas is about $146 per month for a policy with full coverage. Shopping and comparing quotes from multiple Texas-based insurers is the best way to find cheap rates.
Is car insurance more expensive in Texas? Car insurance is expensive in Texas. The average auto insurance rate in Texas is $1,810 per year, 26.8% higher than the US average.
Is car insurance less expensive in Texas?
In Texas, the average driver pays lower rates than the national average for auto insurance. However, due to state-specific factors such as a large urban population, or personal factors such as driving record, age or credit scores, auto insurance in Texas can be expensive.
Why is auto insurance so high in Texas?
Increase in accidents As more people live and drive in cities, accidents are more likely to occur, which increases premiums, even if you have never been in an accident. Compared to all other states, Texas had the highest number of fatal car accidents. There will be more claims if there are more accidents.
Is auto insurance cheaper in Texas?
| Coverage level | Average annual premium |
|---|---|
| State minimum â Liability only | $782 |
Who has the best auto rates in Texas?
Who has the cheapest car insurance in Texas? State Farm has the best rate for minimum coverage, at an average price of $29 per month, and the lowest rate for full coverage, at $72 per month. Your rate will be different depending on where you live, your car and your driving history.
Who usually offers the best vehicle financing deals?
| Car loan lender | From APR | Total score |
|---|---|---|
| 1. myAutoloan | 3.69% | 9.2 |
| 2. Consumer Credit Cooperative | 4.69% | 9.1 |
| 3. Automatic payment | 2.99% | 9.1 |
| 4. PenFed Credit Union | 4.44% | 9 |
Who has the best auto rates right now?
The best car loan rates. According to our research, myAutoloan.com currently offers the best annual percentage rate (APR) at 3.99%, and PenFed Credit Union and Consumers Credit Union also generally offer some of the lowest rates and financing terms.
What is the max interest rate for a car loan in Texas?
Protections against usury in the Texas Constitution prohibit lenders from charging more than 10% interest unless the Texas legislature specifically authorizes a higher rate. Payday and auto title companies have found a way to circumvent constitutional protections by taking advantage of a legal loophole.
How much is car insurance in Texas per month?
According to Bankrate’s annual study of quoted premiums, Texas drivers pay an average of $1,868 a year, or $156 a month, for full coverage car insurance.
How much does the average Texan pay for car insurance?
The average cost of Texas auto insurance is $1,316 per year. The Lone Star State has the 36th most affordable average rates in the US, costing slightly less than the national average of $1,424.
Is 200 a month alot for car insurance?
Yes, $200 a month for car insurance is pretty expensive, especially for minimum coverage. The average cost of auto insurance ranges from about $60 per month for state minimum coverage to $166 per month for full coverage.
How much insurance do I need for my car in Texas?
In Texas, you must have at least $30,000 in liability coverage for each person injured, up to a total of $60,000 per accident and $25,000 for property damage per accident. This basic coverage is called 30/60/25.