CA car insurance rates expected to soar by more than 50%
Car insurance rates are accelerating at a rapid rate. Here in California. A new nationwide study finds that by year's end drivers rates will increase by more than 50% compared to last year. CBS eight's Richard Allen has what you can do to try those lower hikes and why next year could be even Wilder Ride. And this new report by insure a website that compares insurance rates finds that nationwide car insurance rates are projected to increase by 22% compared to last year. And here in the Golden State, that projection is more than double to a 54% rate hike. This is, this is absolutely a surprise for drivers like Khan Ser. The idea of his auto insurance rates rising by more than half is a blow.
That's your going out money. That's your hobby money. That's you're taking your kids out to breakfast. According to this new report, California's projected rate hike would mean by the end of this year. Californians on average will be paying more than $2680 annually for their car insurance. It's frustrating. It's offensive almost what's driving this increase according to insure rising repair costs are putting pressure on insurers as are car thefts. California is among the top 10 states with the highest auto theft rates per capita. The report also points out that here in California, the state put a freeze on rate increases during the COVID shutdown leading to drastic rate hikes last year. And this year, 54% is a lot. Sandy and Katie anti has seen her own car insurance rates go up significantly after she was in an accident. And while she and her husband work full time, she says they've decided to forego starting a family because of the rising financial pressures they're facing.
Here. I am dealing with car insurance and having to worry about paying for my car is paying for groceries and I don't want my child to have to do that if I ever came into that situation at the end of the day, it all trickles back to the end consumer who unfortunately is going through some tough times. Right now, Ben Huggins has owned everyday insurance services in Hillcrest for almost 30 years. He says to lower your rates, consider raising your deductible and make sure your company has your most accurate mileage and don't be too quick to dump your current policy. You may have a great rate and it went up $300 and it might still be the best out there. So before you cancel it, make sure you do some research. And next year you can expect to pay even more. That's when a new state law kicks in increasing California's minimum car insurance requirements to keep in line with other states..
