Top Reasons Why Auto Insurance Premiums Rise

Have you found that your car insurance has recently increased? If you haven’t filed a claim or changed your coverage, you could be wondering why you are now paying more for coverage. Auto insurance premiums are determined by a range of factors. Many of them are based on your personal information such as the car you drive, your age, and your driving history. Other factors are out of your control. There are many reasons why auto insurance in Nassau County, NY tends to rise – here are a few of them.


Reasons Why Your Car Insurance Premiums Increased


Uninsured drivers

You know you’re doing the right thing by having an auto insurance policy. Your rate may go up, however, because not everyone is doing the same. Many motorists still drive without adequate insurance or any insurance at all. Dealing with uninsured claims processes can be a huge expense for insurers. Since uninsured drivers cause more motorists to cash in on their uninsured/underinsured motorist coverage, the insurer increases their premiums.


Car theft is on the rise

Car theft is something that not even the pandemic stops. The vulnerability of some vehicles to keyless entry theft, where the thief intercepts the signal between the keyless fob and the car, is of particular concern to insurers. Although technology in cars tends to increase the safety of the vehicle, hackers are getting smarter. When the number of car thefts continues to rise, you may find your auto insurance premiums increase in order to offset the risk.


Sophisticated technology pushes up repair costs

Speaking of technology in cars, those digital dashboards, blind-spot detectors, parking sensors, and emergency braking devices all make the car safer to drive – but are expensive to repair when things go wrong. If a new vehicle with all tech is involved in an accident, it can easily cost more than a vehicle without all the technology to repair or replace. Even minor bumps can skyrocket insurance claims because of the cost to replace the technology inside mirrors and bumpers. The increasing use of sophisticated technology has also resulted in insurers categorizing more vehicles as uneconomical to repair.


Your occupation

Perhaps you didn’t file a claim or change your coverage. Perhaps you only changed your job title. Believe it or not, but even your occupation is something that can increase or decrease your premiums. If you recently moved jobs, then talk to your insurer about how your rates will change. Moving to a riskier industry, such as construction or becoming a delivery driver will impact your auto insurance rates.


These are a few common reasons why you may find your auto insurance premium has increased. However, affordable auto insurance doesn’t have to be hard to find. At Northeastern Group, we work with motorists in New York, New Jersey, Connecticut, Pennsylvania, Georgia, and Florida to find the right coverage that suits their needs and vehicle. Contact us today to get started on your tailored policy. We look forward to working with you.

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