All articles tagged with #insurance costs
A new rule allows penalty-free 401(k) withdrawals for long-term care insurance, but experts warn it may not be practical due to limitations and high costs of insurance premiums, and the potential tax implications of using retirement funds for this purpose.
Home insurance in the U.S. is becoming less affordable and less available due to rising disaster costs, climate change, and insurers pulling back from high-risk areas, impacting communities nationwide and prompting efforts to improve resilience and risk assessment.
Americans are facing higher health insurance premiums for 2026 due to rising costs and the expiration of enhanced subsidies, amid the ongoing government shutdown.
Families on Obamacare face significantly higher premiums in 2026 due to the expiration of enhanced subsidies and potential Medicaid rollbacks, risking millions losing coverage and increasing financial strain, unless Congress extends the subsidies.
UnitedHealth Group faces rising insurance costs, with its medical care ratio reaching 89.4% in Q2, prompting the company to implement remediation actions such as audit enhancements, narrower networks, and AI-driven cost management, while projecting a delayed return to earnings growth until 2026 and increasing premiums.
In 2025, West Virginia emerges as the cheapest state to live in the US, thanks to its low cost of living, affordable housing, and manageable insurance costs, despite some housing shortages. Other affordable states include Michigan, Iowa, Delaware, Wyoming, Ohio, Alabama, North Dakota, Missouri, Kansas, and Indiana, each with varying strengths in housing, insurance, and everyday expenses, amid ongoing inflation and economic adjustments.
Long-term care insurance is crucial for seniors to manage the high costs of care, which can significantly impact finances. Experts suggest that the amount spent on such insurance should align with personal financial situations, health status, and coverage needs. Costs vary based on age, type of insurance, and coverage options. Employer-provided insurance and hybrid policies may offer cost-effective solutions. Planning for long-term care before age 65 is advisable, as most seniors will need some form of care.
Severe weather, particularly hail, has led to significant financial losses for insurance companies in Minnesota, causing some to consider withdrawing from the region. Homeowners are facing soaring insurance rates, and the state has introduced a high-risk insurance product called FAIR as a last resort. Climate change is exacerbating the situation by increasing the frequency and severity of weather events.
While car prices in the US are finally easing after surging during the pandemic, rising auto insurance rates are offsetting some of the gains for consumers, with insurance now accounting for more than a quarter of the total cost of owning a vehicle. Factors such as repair costs for complex vehicles and increased storm damage are pushing insurance rates higher, leading some consumers to reconsider their car purchases. Insurance costs are expected to continue growing, posing a challenge for car buyers and policymakers alike.
Home insurance costs in the U.S. have surged, particularly in states prone to climate-related disasters, with Florida leading the pack at an average of $9,213 annually. Insurers are increasingly withdrawing coverage from high-risk areas, impacting both home and car insurance. To lower premiums, homeowners can disaster-proof their homes by taking preventive measures and consider relocating to lower-risk states. Comparing quotes from multiple insurance providers is recommended to find the best coverage and rates.
The cleanup of the collapsed Francis Scott Key Bridge in Baltimore has begun, with the bodies of two construction workers recovered and a search ongoing for four others, for which no timeline has been given due to the complexity of the operation. The U.S. Army Corps of Engineers is leading an "unprecedented" cleanup operation, with insurance costs expected to drive up the total price tag of the disaster, potentially reaching as high as $4 billion in insurance claims. Governor Moore emphasized the need for bipartisan support to fund the rebuild, as President Biden has promised federal funding, while the bridge crash is being called the largest-ever marine insured loss.
Federal Reserve Chair Jerome Powell revealed that soaring insurance costs, driven by factors such as climate change and rising car part prices, have been a significant source of inflation over the past few years, hindering the Fed's efforts to reach its 2% target. Auto insurance rates have surged to nearly 50-year highs, while homeowners' insurance jumped 11.3% in 2023. Insurers are facing increased risk due to climate change, leading to higher prices and withdrawal from high-risk areas, ultimately leaving consumers with higher costs.
Federal Reserve Chair Jerome Powell revealed that soaring insurance costs, driven by factors such as climate change and rising car part prices, have been a significant source of inflation over the past few years, hindering the Fed's efforts to reach its 2% target. Auto insurance rates have surged to nearly 50-year highs, while homeowners' insurance has also seen significant increases. The heightened risk of extreme weather events has led insurers to raise prices, with some companies even withdrawing coverage in high-risk areas. Consumers are advised to shop around for better deals, but the overall trend points to a challenging situation for drivers facing unexpectedly high insurance costs.
Home and auto insurance premiums are surging across the country, with homeowners seeing an average increase of more than 11% and auto insurance climbing even faster. Insurance companies attribute the surge to the need to catch up after two years of big losses, rising labor and material prices, and a mounting toll of natural disasters. While state regulators have some power to limit price hikes, insurance companies tend to have the upper hand, leading to concerns about escalating rates of uninsured drivers and homeowners.
Condo prices in Florida, particularly in Jacksonville, Miami, and Orlando, have dropped due to surging insurance and HOA costs following the collapse of the Champlain Towers South condominium. Homeowners are being forced to lower listing prices as condo ownership becomes less attractive and affordable, while single-family home prices have increased. Rising insurance costs and HOA fees are causing potential buyers to explore other housing options, leading to a slowdown in condo sales. New condos are less popular due to higher price tags, while existing properties less than 10 years old remain in demand.