Texas auto insurance rates are on the rise. According to the article “Auto Insurance Rates Jump 10% In Dallas-Fort Worth” by Terrence Stutz from DallasNews.com, Dallas drivers have seen rates jump by double digits in the last year. Homeowners insurance has also increased, but only by about 5%.
The mandatory rate filing by the top 25 insurance companies in Texas showed that auto insurance rates for liability coverage jumped 10% in most areas of Dallas County. In 6 Dallas County areas including North Dallas, South Dallas, Duncanville, Garland, Irving, and Richardson rates ranged from $556 to $574 for a married male driver with average credit and no violations, age 25-65.
According to insurance industry experts, the higher rates are because of medical costs that have spiked during a slow economy, in additon to low inflation. Consumer groups believe the increase is excessive and not justified. In some cases, they believe the high rates resulted from poor returns on their investments.