Reducing Car Insurance Costs in Kansas: Tips and Insights
Car insurance in Kansas can be a costly endeavor for many residents due to a variety of reasons. However, it is not all bad news for drivers in Kansas, there are options to reduce your rate. In this article, we will take a closer look at why car insurance is expensive in Kansas and provide tips on how drivers can reduce their premiums without compromising coverage.
No-Fault State and Personal Injury Protection
One of the primary reasons for car insurance being expensive in Kansas is the fact that it is a no-fault state and requires personal injury protection. With personal injury protection, drivers are required to purchase additional coverage to ensure they are covered financially if they become injured in a car accident. The state’s personal injury protection is designed to cover medical expenses and loss of income for those involved in a car accident regardless of who was at fault. While the additional coverage is helpful for those involved in an accident, it can also add to the overall cost of car insurance.
Rising Accidents, Claims, and Payouts
Another factor contributing to the increase in car insurance prices is the rise in the number of accidents, claims, and payouts in Kansas. People are driving more frequently, which, in turn, increases the risk of accidents, regardless of fault. With more accidents, insurance providers must pay out more claims, and the cost is often spread out among all policyholders in the state. Additionally, auto repairs are becoming increasingly costly due to the additional technology and features in newer vehicles, causing insurance providers to raise their rates to offset the increased cost.
Increase in Uninsured Drivers and Healthcare Costs
Moreover, more people in Kansas are driving uninsured. As car insurance rates continue to rise, more drivers take the risk of driving without car insurance. In 2019, 11% of drivers lacked even minimum liability insurance in Kansas, placing further financial strain on insured drivers as the costs of uninsured motorists are passed on to them through higher premiums. Similarly, healthcare costs in Kansas are on the rise, with healthcare spending increasing by an average of 5.5% every year, causing car insurance companies to pay out more claims involving medical bills, which is again reflected in increased car insurance rates.
Severe Weather Events
Lastly, Kansas is experiencing more severe weather events, such as severe storms, droughts, and floods, which are increasingly causing insurers to pay out a higher number of claims. These payouts are generally more expensive and more unpredictable. As a result, insurance providers are raising their rates to keep up with the costs.
Other Factors Affecting Car Insurance Rates
While these factors are primarily responsible for the increasing cost of car insurance in Kansas, there are other reasons why your rates may be high. These include your age, location, driving patterns, financial responsibility, and claims history. Drivers under 25 and over 65, people living in population-dense cities, and drivers with poor credit scores generally pay more for auto coverage. Additionally, drivers with numerous recent claims for relatively small amounts may end up paying higher premiums.
Tips to Reduce Car Insurance Costs
Fortunately, there are ways to reduce your car insurance costs in Kansas. Keeping a clean driving record is crucial to lower your insurance costs. Obeying traffic laws and avoiding accidents resulting in claims can help keep insurance rates down. Other ways to save include shopping around for the best rates every three to five years, ensuring that you maintain the best credit score possible, and taking advantage of any discounts that you are eligible for. Comparing rates from at least three insurance companies can potentially save thousands of dollars.
In conclusion, car insurance in Kansas can be costly due to several factors, including being a no-fault state, increasing accident rates, more people driving uninsured, rising healthcare costs, and more severe weather events. To keep your car insurance costs down, it is essential to maintain a clean driving record, shop around for the best rates, and take advantage of any discounts you are eligible for. Additionally, working with an insurance agent that can shop many carriers and help drivers make informed decisions about their car insurance policy.