Auto insurance premiums skyrocket after a claim

Ohio insurance auto premiums

Ohio drivers only need to make one claim to watch the amount that they pay rise by 35 percent.

According to the results of a recent report, after filing only one claim on a policy, a driver in Ohio can expect to see his or her auto insurance premiums jump by an average of 35 percent.

This increase in the monthly bill is the 16th highest that was measured among the states.

Ohio auto insurance premiumsThe auto insurance premiums report was issued by Bankrate.com, the parent of InsuranceQuotes.com, which conducted it in the first place. They observed the impact of claims on the amount that drivers were paying throughout the country. As high as the increase may seem in Ohio, it remains below the average across the country (just slightly), which was an average of 38 percent.

This problem becomes far worse after two claims, at which time the auto insurance premiums nearly double.

A motorist who has filed two claims will see the monthly bill explode to a point that it is an average of 89 percent higher than it was before either of the claims. In this case, Ohio sees slightly more of an increase than the national average of 86 percent. The second claim clearly holds a significant amount of weight on the perceived risk from insurers toward a policyholder.

Across the nation, it was Massachusetts that saw the largest spike in the cost of coverage following a claim. There, following only a single claim, drivers can expect to pay an average of 67 percent more than they had previously. In the second and third positions are California and New Jersey. On the other end of the scale, where the increase was the lowest, was Maryland. There, the average increase after one claim was 20 percent.

According to a senior analyst, Laura Adams, at the firm that conducted the research, the important lesson to take from this insight is that auto insurance premiums are greatly affected by the filing of claims. Therefore, it is wise to file a claim with an insurer only when it is absolutely necessary. Otherwise, the amount paid for the policy every month will increase to the point that it will cost more to have had the insurer pay for the issue than it would be to have the driver pay for the problem and continue with the same lower premiums.

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