BIRMINGHAM, Ala. (WBRC) – The rising cost of auto insurance is getting tougher and tougher for many drivers, with some people spending 3% of their income on car insurance alone. What’s worse – the rate hikes may not be done.
Higher new car prices and soaring repair costs are just two reasons why many people have seen their rates increase by 20% or more in the past year.
But other drivers are seeing even higher rate hikes because their cars are more susceptible to crime.
Rebecca Long is one of those people. She’s a mom with three vehicles in her household and doesn’t know how she’ll afford the huge increase in her auto insurance.
“It is increasing almost $900 for the next six months,” she said. “I honestly thought it was a mistake.”
But it was no mistake, and she is not sure how she will handle it.
“The fact that we have to change car insurance or get a different car is kind of disheartening to me,” Long said.
Certain Hyundais and Kias are seeing big premium hikes.
Her “declarations” page shows her rates soaring from $1,700 every six months to $2,600.
The vehicle with the biggest jump is her 2016 Hyundai Sonata – up from $857 to more than $1,200.
She said it is because it’s now considered a high theft vehicle after that famous TikTok challenge led to thousands of thefts and attempted thefts.
“I asked them if due to the fact that I have a Hyundai is that one of the reasons my rates are going up and they said yes,” Long said.
So, what can you do?
- Compare companies at a site like Zebra, or Nerdwallet
- Ask your current insurer if they will match
- Older car? Consider dropping collision coverage
- Also, for your next car, consider one cheaper to insure, like a Toyota Camry or Rav-4.
Remember, a good driving history may not protect you from big rate hikes.
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