Increasing Auto Insurance Rates
Hi, John Baker here with Fee Insurance Group. Today I’d like to talk to you about why auto insurance is becoming so expensive.
Sending a quick text while driving every now and then may seem harmless, but distracted driving puts your employees, your business, and most importantly your family at risk.
This is directly linked with the rise of auto rates. As of today, it is projected that the 2019 auto rates will increase between 6-12% depending on your claims history.
Let’s take a look at some other reasons why this is happening…….
The cost of claims has exceeded premiums collected over the past 3 years; insurance companies are losing big bucks on auto insurance.
Strengthening US economy is pushing more vehicles onto the roads, creating additional hazards.
Increased cost of litigation with large jury awards up to $40M in one case for a single accident.
Auto insurance fraud is costing consumers billions of dollars each year.
Inexperienced drivers under the age of 20 are causing 10% of crashes due to distractive driving, linked to phones and texting.
Cost of repairs, parts and body shop labor are also increasing.
Distracted driving is responsible for 10% of fatal crashes and 18% of injury crashes.
So, please, from all of us at Fee Insurance, don’t text and drive.
 Willis Towers Watson Realities 2019 Spring Update
 SNL Financial, A.M. Best
 U.S. Department of Transportation
 Business Insurance Holdings
 The National Highway Traffic Safety Administration (NHTSA)