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Blame Cell Phones For Your High Car Insurance Rates

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There are a lot of factors, such as age, driving history, and vehicle, which go into figuring out how much we all owe for car insurance. However, even the best drivers are seeing rate increases, with the Insurance Information Institute reporting that the average price of car insurance has risen about 16% since 2011. Besides some factors like inflation, what could be causing this sharp uptick in prices? Look no further than the glowing screen of your cell phone.

Before you start raging about Millennials and teenagers ruining a good thing for everyone, ask yourself if you have ever used a smartphone while driving, and answer honestly. State Farm estimates that 36% of drivers text and drive, which is a significant number. The National Highway Traffic Safety Administration says that deaths in distraction-related deaths were up about 9% in 2015, contributing to a rise of 14% in overall traffic deaths in that year. There could possibly have been even more distraction-related accidents in 2015, the most recent year of complete data, than we know about, simply because someone who is in an accident is not going to admit that they were using their phone and driving. The increase in crashes means that, no matter what, it is more likely that you will be involved in a collision. That increase in risk leads to the higher insurance rates we are all saddled with.

If your rates are going up faster than you are comfortable with, it also might be a good time to shop around for a new provider. Everyone’s rates might be rising overall, but that doesn’t mean that you cannot find a plan with rates rising at a slower rate than other agencies.

News Source: NBC News