How you can keep up with rising auto insurance rates

LINCOLN, Neb. (KLKN) – For many, driving is a crucial part of life, but the associated cost will make any driver consider other options.

Auto insurance rates have increased about 17% over the past year, according to the U.S. Bureau of Labor Statistics’ consumer price index.

The reason has mainly to do with high inflation seen throughout the country.

Mitchell Lichti of Solid Grounds Insurance in Lincoln said he and his staff have taken notice.

“We definitely have experienced that over, not just this past year, but several years,” he said. “And so rates have really been going up, just like all things are going to go up.”

Lichti said there is a benefit to this frustrating situation.

“It causes us to have to take action,” he said, to get customers the best deal.

There are ways to help combat this increase as a consumer. One way is to take advantage of any discount programs like safe driver or bundle items with your auto insurance.

“So specialty items like a motorcycle, a boat, an RV and maybe an ATV, they can add a discount to the auto if you write it with the same company,” Lichti said.

Full coverage is usually required under loans for newer vehicles.

But if you own an older vehicle, consider scaling back your coverage. If you have full coverage, consider comprehensive coverage, as collision insurance costs can be high.

“Another thing that you can do is play with your deductibles and raise your deductibles in this environment with increased premiums,” Lichti said.

For example, you could increase your deductible from $250 to $1,000 to “help to squash the premium.”

He said just talking with your insurance provider or agent can help, too. Independent providers can help shape insurance plans to what you need.

“We can customize your coverage,” Lichti said. We can really dial in those the limits, the coverage and the deductibles.”