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When it comes time to renew your auto insurance policy, you may notice a rate increase from last year. This is probably not a result of your driving history. Rather, rates are trending upward across the industry. Jenkins & Bevan Insurance, a trusted and experienced car insurance agency in Amherst, OH, explains some of the reasons for this in the following sections. The cost to insure drivers has increased for insurers, as well, for the reasons listed below.

Why Auto Insurance Premiums Are Increasing

1. More Cars on the Road

There are more cars on the road than ever before, and increased traffic congestion results in more accidents and higher insurance company payouts. In fact, U.S. car manufacturers sold a record 17.55 million vehicles in 2016, topping the previous record of 17.47 million set the previous year. Thus, every year the roads become more crowded and hazardous.

2. Distracted Driving

As handheld devices and smartphones have become ubiquitous, the number of accidents that occur because of distracted driving has skyrocketed. The National Safety Council estimates that the cost of repairs, injuries, and deaths due to U.S. motor vehicle accidents in 2016 was as much as $432 billion. Although some of this amount consists of lost wages and administrative expenses, a large portion of it includes vehicle damages and medical costs incurred by insurers.

3. More Expensive Repairs

auto insuranceEach year, vehicles become more complicated and more expensive to repair. The addition of computers, guidance systems, sensors, and crumple zones for occupant safety improve the driving experience but raise the cost of repairs. Additionally, labor costs have risen as car repair technicians develop expertise with more sophisticated equipment.

To see if you can find a better auto insurance rate, contact the team at Jenkin & Bevan Insurance agency in Amherst, OH. For the past 35 years, they have provided the kind of friendly, personal, one-on-one service that most brokers cannot hope to match. Call them at (440) 984-6771, or visit their website for a map and business hours if you prefer to stop by in person.

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