2023 was a dark year for car insurance premiums: after sharp declines recorded between 2018 and 2021, car insurance prices began to rise again in 2022 and then began to rise again in 2023, when auto insurance premiums reached their historical high, according to the Segugio Observatory. passed. recorded for the last 5 years.
Causes of fluctuation
According to data from insurance product comparison portal Segugio, the average premium in December 2023 reached 458.6 euros, an increase of 24% compared to the previous year and slightly above the premium recorded in the same month in 2018 (454.8 euros).
The return to pre-pandemic prices is due to two main factors that characterize the trend in car insurance prices: the frequency of claims/accidents on the one hand, and the cost of managing claims on the other.
According to Ania, the National Association of Insurance Companies, on the one hand, the frequency decreased by 15.4% due to the lower circulation of vehicles after the pandemic and the improvement of vehicle security systems, on the other hand, the cost of damages due to inflation and other factors will increase by +17.5% between 2018 and 2023. recorded a more significant increase.
This scenario has caused prices to rise in the 2022/2023 two-year period and opens the door to “further increases for the current year, at least in line with inflation levels.” The most significant increases were recorded in Milan with +32.9%, Brescia with +31.7%, Catania with +30.9%, Bergamo with +30.4%, Rome with +29%, +9% and Turin with +28.2%. %).
Price increases parallel to the national average were recorded in Bari and Palermo (25% and 23.4% respectively). Increases were more modest in Naples and Salerno, where increases of 13.9% and 11.7% were recorded.
Source: Today IT
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
