It’s a tough time for consumers in California in just about every way… car insurance is no exception. Rising premiums, slower claims processes and some suspect insurers may be hindering the repair process are all reasons why drivers may not be feeling confident. There are several key problems facing both drivers and insurers in 2024 and making a mistake on how you approach this could result in issues few are looking at.
Car Insurance Rates Keep Going Up. Many California drivers paid higher-than-average auto insurance premiums in 2023 and they’re likely to face more of the same in 2024. The price of car insurance is rising due to factors that are often completely out of auto insurers’ control. Car Repair Costs Have Soared. Even with inflation slowing down, the cost of car insurance continues to rise due to increased repair costs. Supply chain problems are also making things difficult and much pricier. Add in a labor shortage in the auto repair market and it’s no surprise that big rate increases are expected as 2024 progresses.
“The insurance industry as a whole is raising rates,” says Nathan Weller, an insurance staff writer for Fit Small Business and a licensed claim adjuster in 13 states. “There are several factors, but all of them come down to the high loss ratio companies are experiencing. Since the end of the [COVID-19] lockdown, supply chain issues and backed-up shops have caused the costs of all claims, including minor claims, to skyrocket.”
As California consumers look for ways to save money on car insurance, the one thing they must avoid is reducing their own level of coverage. In fact, there are great reasons to increase coverage levels because as costs rise the percentage of drivers lowering their limits or deciding to risk everything and not bother to have insurance will likely increase. This means that should you or a loved one become involved in a crash you may end-up being self-insured. This is when your uninsured and underinsured motorist coverage could become a critical feature of your car insurance. The reality is you may end up paying more to insure yourself against the irresponsibility of someone else but it may be safer to do that than save a few dollars. If you have questions about this feel free to call our office and one of our experienced attorneys will explain how this works for free.
We represent people who are injured because of the careless and reckless acts of others. At the end of the day your case can only be settled one time and you need to know all of the facts beforehand. The reason that insurance companies have paid our clients in excess of $130,000,000.00 is that we get the facts and are not intimidated at the prospect of going to trial when insurance companies fail to offer full compensation. We help with serious injuries that require serious representation. We are the Law Offices of Guenard & Bozarth, LLP. Our attorneys have more than 60 years of experience specializing in only representing injured people. Call GB Legal 24/7/365 at 888-809-1075 or visit www.gblegal.com We would be honored to represent you!
