10 Things to Know About Auto Insurance

1. The national combined average premium increased by 10.31%, and average liability premiums increased by 10.36% over the 2016-2020 period. The national combined average premium per insured vehicle was $1,176, a 2.4% decrease from 2019 to 2020. – 2019-2020 Auto Insurance Database Report, NAIC

2. Auto enthusiast Gilbert J. Loomis paid $7.50 for $1,000 of liability protection in the first instance of an auto insurance policy in 1897. – International Risk Management Institute

3. A distracted driving ticket can hike insurance rates by 22% and one at-fault accident can result in rate increase of 32%. – Insurance.com

4. In 2020, there were 3,142 people killed and an estimated additional 324,652 people injured in motor vehicle crashes involving distracted drivers. – U.S. Department of Transportation, National Highway Safety Administration.

5. The national total liability incurred losses was $105.4 billion in 2019, a 6.79% increase from 2017. The average incurred loss per collision claim increased 9.56% from $4,400 per claim in 2017 to over $4,821 per claim in 2019. – 2019-2020 Auto Insurance Database Report, NAIC

6. In 1898, Travelers wrote one of the first auto policies covering a car owner against damages to persons or property caused by the car. Liability limits were $5,000 for one person and $10,000 when more than one person was hurt. – International Risk Management Institute

7. About 1 in 5 of the people who died in crashes involving a distracted driver in 2019 were not in vehicles they were walking, riding their bikes, or otherwise outside a vehicle. – Centers for Disease Control and Prevention.

8. In 2018, there were 1,298 catalytic converter thefts for which a claim was filed. In 2019, it was 3,389 thefts with a claim. In 2020, theft claims jumped to 14,433, a 325% increase. Thieves can pocket around $250 for a catalytic converter, but insurance claims for a stolen catalytic converter in 2020 ranged from $500 to $3,000 – National Insurance Crime Bureau

9. 22% of drivers admit to lying to their auto insurer. 8% lied about their address to lower their premium, and another 8% lied about the drivers in their household. However, 9% of those who admitted to “lying” to their insurer said they made claims for damages and then pocketed the money after receiving a claims check for damages. This isn’t fraud. Policyholders can keep the money intended for repairs as long as their policy doesn’t prohibit it and they own the car outright. – Value Penguin

10. About 23 roadside workers (one every two weeks) are killed each year and hundreds more sustain injuries while assisting motorists and nearly 350 motorists are struck and killed each year while outside their vehicle on the roadside. – National Highway Traffic Safety Administration