Inflation sends Illinois auto insurance higher by as much as 30 percent

Auto insurance - Inflation sign

Drivers can still find opportunities for savings if they compare plans and watch for discounts.

Motorists in Illinois can expect to be paying auto insurance premiums that are as much as 30 percent higher next year than they were this year as a result of inflation.

Many drivers are seeking ways to save money by comparing quotes and spotting discounts.

With expenses rising on all fronts due to inflation, consumers are struggling to make ends meet while still battling with ongoing pandemic-related supply chain issues. Therefore, at the same time that auto insurance premiums are on the rise, so are expenses relating to purchasing or leasing the vehicles in the first place, refueling, maintenance and repair costs have all risen, as have wait times for replacement parts.

“There’s still supply chain issues from the pandemic. So, like, the cost to repair vehicles is more expensive, which drives up the cost of car insurance,” said Nerd Wallet consumer advocate Ben Moore.

Nerd Wallet and the Illinois Public Interest Research Group have both been keeping their eye on the rising coverage rates. “It ranges from anywhere from eight to 10% on the lowest and to almost 30% on the highest,” said Abe Scarr of the latter organization.

Auto insurance - Savings

Consumer advocates are recommending that consumers seek additional auto insurance savings.

Among the two top recommendations include contacting your existing insurer to learn about any additional discount qualifications or conducting a quote comparison to see if another insurer provides comparable coverage for a lower price.

“For example, maybe you’ve gone years without getting into a car accident or getting a traffic violation, you might qualify for a good driver discount that could be missing,” stated Moore.

Additionally, safe and low-risk rivers can also inquire into programs that provide discounts for safer habits and low mileage, often known as “pay per mile” or “usage based” policies.

“You get either a plug in device that plugs into the diagnostic port of your car that tracks your car mileage, or you download an app to your smartphone that automatically tracks the mileage that you’re driving,” said Moore about this increasingly popular form of auto insurance policy.

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