Auto Insurance: Surprisingly High Number of People Go Without
Even though auto insurance quotes are quick and easy to obtain, and almost every state requires coverage, 1 in 7 people still choose to go without auto insurance. This surprising number has increased slowly over the years, probably due to the economic downtown that is affecting so many Americans. According to industry experts, 13.8% of motorists are uninsured and these causes higher rates for everyone who follows the rules and remains insured.
The article “One In Seven Drivers Have No Insurance” by Larry Copeland on USA Today, points out that insured drivers end up paying more because of uninsured drivers. This came out to around $10.8 billion in 2007 based on recent data from the National Association of Insurance Commissioners. David Corum, vice president of the Insurance Research Council, a non-profit group, says the number of uninsured drivers has been studied closely. The consequences for not carrying coverage do not appear effective even though most states do require insurance coverage.
Loretta Worters, vice president of the Insurance Information Institute says auto insurance is compulsory in every state but New Hampshire but laws have proven ineffective in reducing the number of uninsured drivers on the road. The state with the lowest uninsured rate is Massachusetts at 4% and the highest is Mississippi at 28%. This huge difference is also surprising. Obtaining auto insurance quotes has never been easier with the Internet instantly comparing multiple quotes, but this isn’t powerful enough to combat the fact that many Americans simply cannot afford the rising costs of auto insurance. It will be interesting to see if these statistics change as the economy repairs itself.
Written by Sara Smart
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Tags: Affordable Auto Insurance, auto insurance quote, auto insurance quotes, Uninsured Drivers
