Motor vehicle protection is becoming more expensive: prices are expected to rise at HUK-Coburg, drivers have to expect higher premiums and change insurance policies by November 30th.

Motor vehicle protection is becoming more expensive: prices are expected to rise at HUK-Coburg, drivers have to expect higher premiums and change insurance policies by November 30th.

According to a report by www.br.de, both insurers and consumer advocates are expecting significantly higher prices for vehicle protection in the fall. The reasons for this lie in the sharp increase in damage costs, expensive vehicle repair costs and still high inflation.

In recent years, the motor vehicle insurance industry has seen good business due to low inflation rates and comparatively cheaper car repairs. Revenues were particularly high in this area, and insurers could afford a price war for market share by offering discounts to customers willing to switch.

However, in 2022, insurers were caught off guard by the Chinese supply crisis and the Ukraine war, which led to significant increases in vehicle repair costs. In response, many insurers have already raised premiums for 2023, and a similar move could be on the horizon again this year.

In addition, new type classes for motor vehicle insurance have been introduced, which means that vehicles have different prices depending on the frequency of damage in their location. This reorganization could lead to it becoming more expensive for insured persons in certain regions.

However, insured persons have the opportunity to change their vehicle insurance policy by November 30th at the latest in order to possibly benefit from cheaper offers. Switching from fully comprehensive to partially comprehensive insurance or changing the deductibles, which can lead to a lower premium, are also options.

The report also points out the possibility of saving with telematics tariffs by recording and evaluating certain data while driving. However, insured persons should be careful when choosing a so-called “cheap workshop” that is recommended by the insurance company, as this can lead to problems in the event of a claim.

Overall, it is clear that the car insurance industry is facing major challenges that impact both companies and consumers. The rising costs of damage and repairs could lead to an adjustment in tariffs that will ultimately affect consumers. Those interested should therefore closely follow developments on the insurance market.