Insurance Rates Increase 41% After One Claim: Report
Making a claim on your auto insurance could result in some steep rate increases.
According to a new report by InsuranceQuotes.com and Quadrant Information Services, the average increase after making one claim on your auto insurance is 41.17 percent in the U.S., an increase of three percent compared to last year. The study, which compared the average premium increases for all 50 states and Washington, D.C., found that the largest increase after one claim was in Massachusetts, where the average person saw their rates jump 76.27 percent.
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On the opposite end of the spectrum, Maryland drivers saw an average increase of 21.59 percent after one claim. The average annual premium in the U.S. was $814.99 according to the study, which jumped to a national average of $1,150.50 after one claim.
The study used a hypothetical 45-year-old married female driver who is employed, has an excellent credit score, no lapse in coverage and has filed no prior auto insurance claims. Filing a second claim in one year is even more costly, with an average annual premium increase of 93 percent.
Jason Siu began his career in automotive journalism in 2003 with Modified Magazine, a property previously held by VerticalScope. As the West Coast Editor, he played a pivotal role while also extending his expertise to Modified Luxury & Exotics and Modified Mustangs. Beyond his editorial work, Jason authored two notable Cartech books. His tenure at AutoGuide.com saw him immersed in the daily news cycle, yet his passion for hands-on evaluation led him to focus on testing and product reviews, offering well-rounded recommendations to AutoGuide readers. Currently, as the Content Director for VerticalScope, Jason spearheads the content strategy for an array of online publications, a role that has him at the helm of ensuring quality and consistency across the board.
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"The study used a hypothetical 45-year-old married female driver". In other words, the study is pure BS.