Overview

• Insurance costs for car, medical, and property protection are driving up inflation, with vehicle insurance notably impacting overall figures.
• Recent data shows auto insurance rates have surged by 20.6% over the past year, with homeowners' insurance also experiencing a significant increase.
• Climate change and the rising cost of car parts and repairs are major contributors to the spike in insurance premiums.
• In some high-risk areas, insurance companies are withdrawing from providing services, exacerbating the issue.
• Economists expect the impact of insurance costs on inflation to eventually lessen, but the timeline remains uncertain.