Auto Insurance Rates Drop Insignificant

When Florida’s no-fault auto insurance expires next month, many car insurance carriers are expecting a big drop in their premiums – and why shouldn’t they? The auto insurance companies have been saying that they are going to be dropping rates because of the additional money they will be saving without no-fault around.

However, it seems that their talk of dropping auto insurance rates may be just that, talk and nothing else. Originally auto insurance companies said that they would be looking at a 13-16% drop in policies once no-fault was no longer around. They urged people in the state to call their representatives and let them know that they did not want no-fault – they wanted savings.

Well, call it what you will, but it seems that the car insurance companies are going to get no-fault discontinued, but the large drops in car insurance that were promised for it do not seem to be available. Just as Floridians were promised lower homeowner’s insurance and didn’t get it, a pattern seems to be forming with the state’s insurance companies.

Those policies that are coming up for renewal at the beginning of next month are showing less than 10% savings on their auto insurance, and if you add the coverage that is now covered by PIP you save even less. In fact, many auto insurance holders are finding that they are now paying more for their auto insurance because of what they have to add.

For those without health insurance, they are looking at higher auto insurance policies to replace coverage, while still looking at more out of pocket in the long run. Plus, with health insurance now covering what PIP used to, you can expect an increase in your health insurance premiums as well.



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