Storms Drive Up Auto Insurance Costs

Monday, Apr 29, 2013  |  Updated 6:34 AM EDT
View Comments (
)
|
Email
|
Print
Storms Drive Up Insurance Costs

www.jupiterimages.com

Stock image.

advertisement

Losses from previous storms are helping to drive up New Jersey's auto insurance rates, which are already the highest in the nation.

The Record newspaper reports the state approved increases for 26 insurance companies this year, including top insurers Allstate, New Jersey Manufacturers and State Farm.

The insurers say they are covering costs associated with Tropical Storm Irene and a Halloween nor'easter from two years ago. They also are facing higher medical costs and other financial factors.

Consumer Federation of America insurance director J. Robert Hunter tells the newspaper he doesn't expect more than a 1 percent increase for New Jersey motorists from Sandy but that some insurers could play up Superstorm Sandy losses in the coming months in an attempt to get more hikes.

Related Stories

"They take advantage of these situations," he told the paper. "They try to slip [increases] through, using that as cover. It requires vigilance on the part of insurance departments to make sure these [requests] are really justified."

The association says the average auto insurance policy in New Jersey costs $1,157.30.

 


Get the latest from NBC10 Philadelphia anytime: Android/iPhone/iPad Apps | SMS Alerts | Twitter | Facebook | Google+ | Instagram | RSS

Get the latest headlines sent to your inbox!
View Comments (
)
|
Email
|
Print
Leave Comments
What's New
FlyeredUp: Win 2 Tickets to Flyers Playoff Game
Win two tickets to the first... Read more
Follow Us
Sign up to receive news and updates that matter to you.
Send Us Your Story Tips
Check Out