Car insurance: prices will rise, UFC-Que Choisir explains why!

If this year does not remain truly grandiose. That remains for inflation, shortages, shortages of certain products, tensions, etc. It doesn’t seem to be calming down anytime soon. In addition to seeing so the costs of daily living increase like shopping, fuel or even energies, further increases are to be expected. Indeed, auto and even home insurance may well experience a certain increase for the coming year. We’ll explaine everything here.

The rise in auto insurance

Thus, in addition to seeing absolutely everything increase, the French will have to prepare to pay more for their car insurance too. It turns out that even if the number of road accidents does not seem to have increased, insurers must raise the prices. And this is for good reason. In effect, the insurance used to cover damageso if there are more accidents, the insurance companies inflate the prices.

But when auto insurance talks about claims, it doesn’t only take human fault accidents. Indeed, nature also plays a very big role. Whereas until then, France was entitled to calm weather, without too many major natural disasters, the times are changing. The climate is changing, and the weather is getting worse. As could be seen during the month of July in the South West of France or even in Corsica.

Worrying figures

So, the French can expect to see insurance policies reduced by 2 to 3% for the coming year. The managing director of Macif nevertheless explained that “In terms of climate, 2022 is a catastrophic year”. It turns out that car insurance had to cover many costs due to natural disasters.

For the moment, car insurance companies have already had to pay almost 750 million euros to cover only damage related to storms or even hail. “That’s three times more than a usual year”. So for insurers, it is no longer profitable. And in the face of increasing risks, so do prices.

But aware of this problem, the government has ensured that auto insurance does not start to grow faster than inflation. So the insurers agreed and even added “a discount of €100 on the car insurance contract for young job seekers”. Thus, the forecasts for the moment according to the comparator Assurland remain “2.5% to 3% average price change.

Inflation and car insurance

Another concern arises besides the climate for auto insurance. Indeed, it remains the price of spare parts. The director of Macif announces an “over inflation because technologies are more advanced”. Bosh’s after-sales manager even states “The more technology, the more expensive it is. A mirror now has a sensor and an electric motor. This has nothing to do with what we knew 10 years ago! The wiper blades, today, are of an impressive length, they respect a certain curvature, are sometimes specifically calibrated for such windscreen… Everything has changed, including the price”.

So, in addition to everything that has already happened this year, car insurance will have to change. Alliance Automotive Group Purchasing Director announces “The inflationary phenomenon stems from a disorganization due to the Covid. Shipping costs, in particular, have skyrocketed. They were multiplied by 10 at one point. For brake discs, for example, most of the production comes from China. The price of records has increased by 20%. But to this phenomenon was added the impact of the conflict in Ukraine: thus, all the products manufactured in Europe which had not suffered from the increase in the cost of transport suffered now rising energy prices”.

Energy and car insurance

Because indeed, if the French are of course very strongly impacted by the increase in energy prices, the big industries too. The general manager of Cora then explains that “Inflation on the price of parts is around 7% at present, while the trend was +4% every year until then. Supply costs, energy, everything has gone up. Glazing manufacturers, for example, use a lot of energy to make glass. They are very impacted by the increase. They have increased their prices and will continue to do so.”.

The director of my Macif also wishes to specify that if the prices of car insurance are likely to increase, it depends on the vehicles. It turns out that some vehicles are much more risky than others. Or at least more to change. He states that “A Peugeot 208, it’s 20% more glazed surface compared to a 206”.

The Inflation Bond

Thus, even if until then, accidents remained the most probable cause for the insurance car see their rate increase. This does not remain the case. The good news is that at least there are no more human-caused accidents. On the other hand, all the concerns related to the climate remain much more present. So the factor that insurance cannot control could quickly cost them dearly. Especially since more and more, the climate wants to be less and less reassuring. Between driest July in years. And now October hottest since 2001all this does not lead to anything good.

Thus, according to car insurance, over a year, there was a 0.4% increase in accidents. Which equals stability. On the other hand, for allowances, the increase remains 5% to 7% according to France Assureurs.

For car insurance to pay less, it remains to repair the damage rather. rather than changing them. More and more, the job seems done to renovate rooms. And therefore be able to offer more to different types of motorists. It will therefore still take a long time with this possibility of using second-hand rest totally possible.

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