"Unprecedented Spike: The Surprising Reason Behind the Largest Car Insurance Rate Increase in Nearly Half a Century"

Car insurance rates in the United States have seen their largest annual increase since 1976, with Florida being hit particularly hard due to the increasing prevalence and destructiveness of extreme weather events. Insurance companies are raising rates or pulling out of states prone to such weather to cover the higher losses from increased claims. Factors contributing to the rate increases include rising car prices, repair and medical costs, riskier driving behavior, and the impacts of Hurricane Ian. Additionally, reinsurance companies are pulling out of the market or raising rates, leading to increased costs for customers nationwide.