Car insurance premiums climb again, with over 30 states facing higher rates

Full-coverage car insurance premiums fell 6% in 2025 but climbed 1% in the first half of 2026 to an average of $2,237, according to Insurify. The firm’s analysis shows 27 states have already recorded higher costs, and its forecast predicts 32 states will see increases by the close of the year. Insurify CEO Snejina Zacharia attributes the upward pressure to a 45% rise in repair costs, more severe weather events, and a higher frequency of accidents, all compounded by lingering pandemic-related supply constraints and tariff impacts on auto parts.

States that historically enjoyed low rates, like West Virginia (5% rise) and Kentucky (projected 8% rise), are now among the sharpest gainers, while Connecticut is expected to face a 15% year-over-year jump. Conversely, Washington, D.C., New Mexico, New York and New Jersey are projected to finish 2026 with lower premiums, helped by declines in auto thefts and fatal crashes. Zacharia advises consumers to consider higher deductibles, drop unnecessary coverage on older vehicles, and shop around for discounts, noting that Insurify aggregates offers from 120 carriers to help drivers find competitive rates.