Auto insurance rates in the U.S. reportedly reached an all-time record high last year even as Americans’ real wages were falling. The elitist globalists in the Biden administration are (deliberately) making it too expensive for ordinary people to own cars.
Real wages have been steadily falling under destructive Bidenomics. As of June 2023, I reported that real average weekly earnings had dropped for the twenty-sixth straight month, and it didn’t stop there. By Jan. 2024, real wages were still down. That trend is likely to continue under Biden’s Build Back Poorer policies. That’s a problem for U.S. car owners, since car insurance rates reportedly rose by a staggering 24% in 2023.
Related: The Economy Isn’t Growing. The Government Is Just Adding Debt.
Car Edge labeled the 24% spike “an all-time record high.” The site attributed the increase to “rising repair costs” — there’s the economic factor — “natural disasters, and more frequent car accidents.” More increases are coming in 2024, Car Edge predicted.
This uptick in insurance costs led to record losses for insurers. The latest data suggests that car insurance premiums aren’t done climbing. Insurify projects that car insurance rates will increase by 7% in 2024. That’s almost double the typical annual rise.
The national average cost of a full-coverage policy now stands at $2,019 per year, amounting to 2.6% of the median household income. In comparison, state-minimum liability insurance averages at $1,154 annually.
The site also noted the worsening state of the wage-insurance gap that I already referred to above. “In 2023, car insurance rates increased by 638% more than the average wage growth,” Car Edge explained.
Almost 62% of Americans reported that their auto insurance rates went up. An estimated 22% had more than one spike within a year, Car Edge added. “To combat these hikes, many drivers opted to lower their coverage limits or increase their deductibles.” Unsurprisingly, Democrat-controlled New York had the most expensive car insurance, with a full-coverage policy average of $3,374 per year.
States with lower incomes are feeling the brunt of these insurance cost increases. Drivers in these states spend a larger portion of their earnings on car insurance, exacerbating the financial strain on households already facing economic challenges.
But that won’t stop Democrats in media and government from continuing to babble propaganda about the wonders of Bidenomics.
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