Texas auto insurers are planning big rate hikes in 2022

[TexasTowelie]

If you’re a Texas driver who’s insured by one of the larger insurance providers, odds are your bills could be going up this year.

Insurance companies plan to hike rates in 2022, and some companies are raising rates by more than 20% on average statewide, according to notices filed with the Texas Department of Insurance, which regulates insurers operating in the state.

Insurance companies are required to notify the department when they change rates and detail how much the changes are expected to affect consumers on average across the state.

State Farm, the largest insurer in the state by market share, told The Dallas Morning News that its auto insurance rates remain below pre-pandemic levels “although miles driven, claim volume and severity have increased.”

Read more: https://www.dallasnews.com/business/autos/2022/03/14/texas-auto-insurers-are-planning-big-rate-hikes-in-2022/

[Sherman A1]

1. Not surprising, auto values are up

I would expect everyone across the country to see higher rates.

[TexasTowelie]

2. It's also more expensive for rentals, repairs, and medical claims.

It's nearly impossible to see premiums drop when all of the components that affect rates are also subject to high inflation.