Nevada, with its wide-open spaces and stunning scenery, is a dream for road trips. But for drivers insured by Progressive, the open road might feel a little less carefree soon.
After the state’s #1 insurer announced a rate increase of almost 5% starting this month, it may be time for over 175,0000 policyholders to shop around for more affordable options.
Here’s a closer look at what’s happening and how it might affect you.
Shop now and save!
What’s Happening?
Progressive Insurance recently announced a 4.976% increase in its auto insurance premiums for Nevada residents. This rate hike will affect renewals starting on April 27, increasing the average driver’s policy cost by an estimated $66.
Why are Insurance Rates on the Rise?
Several factors contribute to auto insurance rate increases:
- Increased claims costs: When insurance companies pay out more in claims, they need to raise premiums to cover the increased costs. This can be due to rising medical costs, more expensive car repairs, and an increase in the number of accidents.
- Inflation: The rising cost of goods and services impacts insurance rates. When inflation is high, it costs more to repair cars and replace parts, leading to higher premiums.
- Catastrophic events: Natural disasters like hurricanes, floods, and wildfires cause significant property and vehicle damage. When insurance companies pay out large sums to cover these losses, they may raise premiums to recoup the costs.
- Regulatory changes: Changes in state or federal laws can impact insurance rates. For example, if a state legislature passes a law requiring insurers to cover certain types of losses, this can lead to higher premiums.
Strategies for Saving on Auto Insurance
If you’re concerned about rising auto insurance rates, here are some strategies to save money:
- Shop around for the best rates: Don’t assume your current insurer offers the best deal. Get quotes from multiple companies to find a better rate.
- Increase your deductible: A higher deductible means you’ll pay more out of pocket in case of an accident, but it can also lead to lower premiums.
- Improve your driving record: A clean driving record can qualify you for discounts on your car insurance.
- Take a defensive driving course: Completing a defensive driving course can also qualify you for discounts.
- Bundle your policies: If you have multiple insurance policies with the same company, you may get a discount on your car insurance.
- Ask about discounts: Many insurers offer discounts for good grades, safe driving habits, and membership in certain organizations.
Start Saving on Car Insurance
Rising auto insurance rates can be a burden for drivers, but there are several things you can do to save money. By shopping around for the best rates, increasing your deductible, and improving your driving record, you can keep your car insurance costs under control.
Keeping up with your insurance is also key to managing your expenses. Start tracking your policy for free with Auto Quote Tracker, and we’ll send rate change alerts directly to your inbox.
