Inflation and tough economic times have made it difficult for families around the world to make ends meet, and one of the culprits is the rising cost of insurance. This is especially true in Florida, where auto insurance rates are 59% higher than the national average. Many car owners are probably wondering why they pay so much and, more importantly, what they can do about it.
How much do Floridians pay for car insurance?
Florida has some of the highest car insurance rates in the country. According to Kristine Lee of The Zebra, motorists in Florida pay an average of $2,425 per year, which is 59% more than the national average. Even if you take the absolute minimum legal car insurance, you can still expect to pay upwards of $700 per month, which is still 51% above average.
Why is car insurance in Florida so expensive?
So what makes car insurance so expensive in Florida?
For one thing, insurance premiums are higher everywhere, not just in Florida. Inflation, rising cost of spare parts, supply chain issues, extreme weather events, and even an increase in auto and catalytic converter theft have all contributed to higher scale premiums. national. But there are several other reasons why Florida fares in particular are so high:
High traffic levels. Heavy traffic means more opportunities for collisions or other incidents, and areas like Miami, Tampa, and Orlando have some of the heaviest traffic in the state. In fact, three Florida cities rank among the worst traffic spots in the entire country.
Time. Extreme weather events have been on the rise for some time now, and major weather disasters mean large payouts for insurance companies, often amounting to hundreds of millions of dollars or more. Florida, in particular, experiences a high rate of storms and hurricanes, which can cause incalculable damage and major claims.
Uninsured drivers. There is a plot uninsured drivers in the United States — approximately 13% of all drivers in the United States drive without insurance. But that rate is doubled in Florida, where about 26% of drivers are uninsured. That’s more than one in four drivers. This, combined with the fact that Florida is a no-fault insurance state, means that insurance companies often have to pay larger collision payouts… which translates into higher premiums for policyholders.
demography. Many retirees and students live in Florida, both of which are above average risk. Older drivers may be more prone to accidents and mishaps, while younger drivers tend to be reckless and are more likely to drive while intoxicated.
Tourism. Being a popular vacation spot, Florida experiences a high number of visitors throughout the year, which adds to the traffic on the road. Visitors also view Florida as a “party state,” which means a higher number of incidents of driving under the influence of alcohol or drugs.
How can you find cheap car insurance in Florida?
So what can you do to lower those insurance premiums? Here are a few tips :
- Maintain a clean driving record. Do your best to avoid traffic violations, drunk driving and collisions, which will send your insurance premiums skyrocketing.
- Trade in your high performance car for a safer one. Sports cars and high performance vehicles attract higher insurance rates for a number of reasons – they tend to promote riskier driving behavior and are often magnets for thieves. A more “responsive” vehicle with a good safety rating can help lower your insurance premiums. It might not look as good on the road, but it could save you a lot of money in the long run.
- Take advantage of discounts. Did you know that insurers offer dozens of discounts for various criteria? These include great student discounts, multi-vehicle policy, bundled auto and home insurance policy, paid-in-full discounts, and more.
- Compare car insurance quotes to find the best cheap car insurance in Florida. You don’t have to stay with your insurance company forever. You might find a much better deal elsewhere!
- If you don’t drive as much as you used to, consider switching to mileage-based insurance.
- Take a defensive driving course.
- Maintain a good credit rating. Although some states have banned the use of credit score information to determine car insurance premiums, it is still common practice to consider it. Do what you can to raise your credit score and your auto insurance rates will drop.
Don’t take the risk
With insurance premiums so high and finances so tight for many people, it might be tempting to skip auto insurance and hope for the best. This is a bad idea for several reasons. No matter how good a driver you are, it’s just as often the “other guy” who causes an accident. Give up your insurance and you could end up with thousands in medical and legal bills.