TAMPA, Fla. (WFLA) — From the grocery store to your rent or mortgage, it seems price increases are hitting everyone from every direction.
And now, here’s a new one that’s sucker-punching Florida drivers: Astronomical increases in car insurance rates.
8 On Your Side Investigator Mahsa Saeidi has been digging into what’s behind these increases.
We’ve seen such turmoil in the property insurance market. Of course, that has a direct impact on Tampa Bay homeowners. But car insurance has a direct impact on almost every single one of us.
Despite having no accidents, no tickets and no changes, one family in Pasco County saw their bill spike 55 percent.
“I went into complete shock,” said Pat Parlee. “I mean who can afford that type of increase.”
Starting next week, to insure two cars, Pat will be paying $115 more each month.
The cost of renewing her auto insurance went up 55%, going from over $1,200 to roughly $1,900—and that just covers half the year.
Pat’s been with her insurer, United Services Automobile Association or USAA for decades.
“After the shock wore off, I said what is going on that’s causing this,” said Pat, “I couldn’t get a straight answer on if there’s any types of caps on how much your auto insurance can increase.”
“So, that’s why I reached out to you because you’ve been so involved in everything with the insurance.”
8 On Your Side contacted the Florida Office of Insurance Regulation and found, for USAA, the state’s new insurance Commissioner Michael Yaworsky approved, on average, a 20% rate hike, statewide.
The rate hike impacts customers differently, according to insurance experts.
In a statement, USAA says “the price of goods and services has increased significantly” and “USAA has