If your car broke down two years ago, it probably became a bigger problem than you bargained for.
A confluence of forces were to blame: The Covid pandemic disrupted supply chains, pushing used car prices to record highs and making spare parts hard to get; out-of-practice drivers emerging from lockdowns caused more severe wrecks; and technological advancements like motion sensors made even the simplest parts, like a fender or a rim, expensive to replace.
Things have since improved for car owners — except when it comes to insurance bills.
Car insurers are still raising prices steeply: The price of motor vehicle insurance rose more than 22 percent in the year through March, the fastest pace since the 1970s, according to the Bureau of Labor Statistics.
According to calculations by the Insurance Information Institute, a trade group, the average 12-month premium for car insurance was $1,280 in 2023, the industry’s most recent figures.
Organizations:
Bureau of Labor Statistics, Insurance Information Institute