Why are insurance costs rising for drivers? Nationwide trends are influencing the cost to protect your vehicle.
More fatalities: more than 38,800 people are killed in car accidents in the United States every year
More distracted and social media use: 660,000 Americans are using cell phones or electronic devices while driving—at any given daytime moment
More speed: Average speeds have increased by as much as 250% in the past year
• Repair costs are up 40%
• Hourly labor is up 8.2%
• Windshields cost 15% more
• Hoods cost 9% more
More fatigued: 328,000 average annual number of drowsy driving crashes and 6,400 fatalities due to drowsy driving
More technology: High-tech auto parts (xenon headlights, sensors, cameras, etc.) have resulted in an average increase in claim costs of almost $300 in the last 5 years
More cars: 14.9 million new cars sold in 2021
More demand: Due to supply shortages, used car prices increased by more than 24% over the past year and new car prices are up nearly 9%
More claims: Total loss frequency is up 4.1%
We can help make sure you have the right coverage Contact your agent today and avoid being underinsured.
All products are underwritten by The Hanover Insurance Company or one of its insurance company subsidiaries or affiliates (“The Hanover”). Coverage may not be available in all jurisdictions and is subject to the company underwriting guidelines and the issued policy. This material is provided for informational purposes only and does not provide any coverage. For more information about The Hanover visit our website at www.hanover.com ©2022 The Hanover Insurance Group. All Rights Reserved.
Sources: safer-america.com, CCC Intelligent Solutions Industry Update, Distraction.gov, Cox Automotive, FHWA.DOT.GOV, Mitchell.com, NSC.org, GHSA.org, Labor Department