Skyrocketing auto insurance premiums are inflationary pressures in the USA. Costs have been at their fastest ever rates. Premiums 2.6 per cent in March alone, which costs are a whopping 22.2 per cent higher than this time last year. The increases to inflation rising by 0.4 per cent last month. No other category of spending has as much as auto insurance. Foxbusiness.com said the average cost of car insurance in the US has $2,300 per year, which to about $192 a month. The rising prices are the lowest paid most. Insurance is becoming more of a financial burden for those struggling to make ends in the cost of living crisis.
Automotive analyst Sean Tucker tried to what is behind the rising prices. He said: "I think the biggest factor a combination of new cars and [them ] more expensive, so if you [] your car, the replacement cost is really high, and a fender bender is very expensive right now." He the sophistication of technology, gadgetry and safety equipment in modern cars to more expensive repair and replacement costs. The cost of replacing the battery in an electric car can from $6,500 to well over $20,000. A simple fender bender likely to costly sensors, cameras and sonar. One factor up labour costs is a shortage of car mechanics.
