Auto insurance has become more expensive in California. Here's why

For insurance companies, providing auto policies has become more expensive due to rising costs for repairs, and some carriers have pulled out of California altogether. CBS 8 is Working for You to find out what effect this is having on auto insurance rates.

“It’s ridiculous, they’re going up like crazy, everything else, you know, like the gas prices, home prices, interest. It’s very hard to make a living here,” said La Mesa resident Nick Stratakos.

With car insurance premiums on the rise, it seems there’s no relief in sight. Driver Gabriel Rasmussen knows about it firsthand.

[VectrexLife]

But here's the thing. Many people are still driving 15+ year old vehicles. I'm talking about cars that are only worth around $5, 000 and will only continue to depreciate in value. Yet the insurance prices keep going up for seemingly no reason.

[lowkeygato]

The repair shops max out the policy which is highway robbery.

[annettehansen]

The other problem is uninsured drivers. That drives costs of insurance up!

[James-oobv]

Not to mention the dramatic increase in car window bashing just so the perpetrators can feed an unending drug habit.

[drrecommended]

I live in the Bay Area and let me tell ya, there are tons of people on the road driving without insurance and registration. A lot of criminals drive around in stolen cars too. People like these will dip in the case of an accident. This is a huge loss for these companies.

[crazydaisy]

Auto insurance should be decriminalized! Drugs…..crime….are now legal yet it is illegal to NOT have liability insurance!

[rileypart]

That explains why most drivers after collide someone vehicle they take off “Hit N Run” for not having insurance. Which is that why everyone should have a dash cam just to keep in mind for insurance purposes.

[AndreaMalloyd]

Honestly, I got nothing helpful out of that

[mrcpaddler]

An agent told me that a big reason car insurance is going up, besides the obvious repair cost increases, is the uninsured motorist claims. The insured people are having to pay for damage or loss caused by uninsured drivers. Apparently this has gone way up. Also, a big percentage of those uninsured drivers don't even have drivers licenses. Car theft is also up to 25% higher (depending on where you live) than 3 years ago.

[bigcahuna]

In reference to the comment where bumpers are costing much more now than they did years ago, back in the 60s you could pick up a side view mirror at K-Mart and put it on yourself. Now side view mirrors have heating mechanisms, power adjustment controls, turn signals, and lane assist features in them and cost at least a thousand or so to replace.

[Ashleycorrie]

Finding something to strive for and fight for, regardless of the circumstances, is crucial. Once you set the right goal, decision-making becomes easy and enjoyable. I'm also grateful for starting investments in my early 30s, moving from an average lifestyle to earning over 34k monthly. Diversifying my portfolio with savings accounts, stocks, bonds, and high-yield dividend funds has been key. Having a financial advisor like Samuel Peter Descovich has been invaluable. Working with a professional can help prepare for financial struggles. Don't let fear hold you back from realizing your dreams!

[GoddessBlueYozakura]

People need to make sure that their "mileage" is low. If you don't need to go out, DON'T. There are several insurance companies out there that have you check your mileage annually and you can tell they put you at the default setting so you just call them up, make the correction and boom "correction to policy" which means you'll get a better deal.

[vuaeco]

First world problem. Look at all these big cars and trucks. They weigh 2-4 tons. What do they carry, a 150 lbs person? What a waste. Ride a bike, best yet, an electric one.

[Maziko_Lee]

It's like they want people to drive with no insurance 🤔

[engineeringVirtue]

California has long struggled with reconciling its utopian philosophies with reality. The insurance commissioner has been especially ambitious the last few years, pushing carriers out of the state. It looks like whoever in charge is happy with a feudal system where only the elite actually own cars, and the rest will 'rent' autonomous driving vehicles. I guess if you have fewer vehicles on the road, then it's easier to push them all electric. The grid certainly has been under invested in, and even solar or smart engineering from Tesla can't provide the power needed. Seems a crazy approach for a state to take, but California on homes and education always seems to favor a two tier system where the middle class isn't welcome.

[coastalhillbilly]

Government, customers, insurance companies, repair shops, no saints in the equation

[sigg]

I'm in my 50's with a spotless driving record, my bill for my work trucks (one is 20 yrs old and the other is 6 yrs old) and my equipment (19 yrs old) went up over $2000 a year, I've about had it with this state.

[ericpatino]

This is insane, my payment increase from 125 a month to 525. I have a good driving record except for a car accident where it was my fault.

[socalnsx]

Just got our renewal and the premium more than doubled!!!!
Five cars, no accident, tickets or claims!!!!
Costco insurance is a joke!!!

[phoenixvette]

Proud to pay $750/YEAR for my 2001 Corvette