What’s Driving Auto Rate Increases?

What Are Common Sources of Driving Losses?

Driving is an important part of modern life since owning a vehicle enables you to get to work, visit friends, and shop at stores. Unfortunately, driving can also lead to significant financial losses when you are involved in an accident while on the road. Even if you are careful, you still cannot guarantee that you will never experience an accident since you do not have control over other drivers. You should, therefore, recognize auto insurance is important. Prevent significant losses that can be experienced on the road and ask for the help of an insurance brokerage company.

Auto Repairs Are Expensive

People who have not been in an accident for many years often forget that repairing a vehicle after an accident can be expensive. A bumper is not the bumper of old.  What once was a scratch, is now cracked plastic wrapped halfway around the car.  And, the likelihood of electronics being involved grow every day.  Since the cost of car parts is rising, unless you can afford to set aside a significant amount of money to cover the cost, you should work with a reputable insurance brokerage company to find a comprehensive auto insurance policy that will take care of repairs.

People Are Driving More

Although cars have been around for over a century, people continue to drive more with each passing year. Never In the history of car sales were more vehicles sold in 2016. People have never spent more hours on the road, than they do today in 2017.  The cost of gasoline has dropped. All of these increase the risk of experiencing an accident.

Drivers Are Distracted

Over a quarter of crashes are caused by distracted drivers talking on their phones or texting. Car manufacturers are including more electronics which all call for your attention. You cannot influence the behavior of other drivers. So, you must plan for the possibility of being hit by a distracted driver.

Strategies for Minimizing the Cost of Auto Insurance

Individuals need to understand the distractions you are faced with and take the appropriate action to stay focused on the road.  Be aware of the actions of others and drive defensively.

Businesses can reduce the cost of auto insurance by implementing policies designed to minimize the chances of an accident. You should only hire qualified drivers, and you should require them to follow your company’s driving rules when operating a vehicle. Personal cars have a higher risk of getting into an accident, so your drivers should only use company cars. You can also reduce the risk of an accident by training your drivers and making sure that they maintain a clean driving record. Walterry Insurance Brokers can help your company implement loss control programs designed to minimize accident risk and reduce the cost of transportation.

 

Remember Walterry Insurance Brokers cares about you and your insurance rates.  Let us put our full service agency to work for you.