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Can Weather Events In My Area Raise My Car Insurance Rates?

By December 8, 2021December 15th, 2021Insurance

tree branch that has fallen onto a car and damaged it

Car insurance rates often rise based on risk levels the insurer sees in your local areas. Sometimes, even risk factors you cannot control might influence your rates. The weather in your area might be one of these factors. Let’s take a closer look at why weather can impact your premiums.

What Happens When Weather Creates a Lot of Claims?

Cars sit outside most of the time, so they are susceptible to damage. So, when a natural disaster occurs in your area, a lot of property damage claims might occur. A lot of these claims in this area might mean that your insurer must invest more in your community. This could cost you more, even if you are not the one who files a claim.

The Area’s Risk Is a Factor

Insurers often must raise premiums across the board. They do so based on the number of claims occurring within your area. Since bad weather might equal more claims, then insurers might have to pay out more money. As a result, they might have to raise costs to make up the difference.

Periodically, insurers review the claims made in a community in a certain time period. So, if there has been an increase in weather-related claims in that time, then they might have to increase premiums. Still, wide-reaching premium increases might only mean a few extra dollars per month for you. Or, they might even make no difference at all.

What Type of Weather Can Impact Auto Insurance Rates?

Severe weather of all kinds might damage a vehicle such as:

  • Hail
  • Flash flooding
  • Lightning strikes
  • High wind

Even more unique occurrences, like hurricanes or earthquakes might cause damage. Plus, don’t forget that bad weather often leads to vehicle wrecks. So, though the conditions themselves don’t damage the car, they might still trigger a wreck.

Regardless of the cause, bad weather might force you to file a car insurance claim. To help make up the difference, most insurers will review previous claims and increase premiums if necessary.

Managing Weather-Related Claim Increases

Have you made a weather-related claim on your policy? Are you concerned about your rates going up? If so, then talk to your insurance agent. They can help you determine what options might help you keep your rates in check. You might qualify for additional savings on your existing policy through discounts. They might also be able to help you compare other policies to get more affordable coverage.

You still can take other steps to protect your car from weather damage, too. Usually, this means parking in a garage or carport when possible and avoiding parking under trees. And don’t forget, when driving in severe weather, slow down and take your time.

Also Read:What to Do if You Are in a Car Accident: 7 Steps Before Making the Insurance Claim

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