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How Does Inflation Affect Auto Insurance? Just Take A Look At Rental Car Costs

By August 2, 2022Insurance

There are numerous factors that affect auto insurance rates in Virginia. In the current economical enviroment everything seems to point back to inflation. Yes, it’s a tiring subject but the reality is it’s everywhere. And a good example of this is a quick look at car rental prices:

“Nationwide, the average daily car rental rate is $109, up 90% since 2019, and in some markets there simply are no cars left to be rented.”

I had to read the above statement a few times before it sank in. $109 on average!? That’s crazy! Another article by NerdWallet breaks down these figures by major cities, rental car companies, and other means. 

It’s not just the price. A lot of rental car locations simply do not have cars available.

Why This Matters For Insurance

Coverage for rental vehicles is one of many parts that make up auto insurance rates. However, the rising costs are evident in many other aspects: towing costs, vehicle repair costs, labor, and replacement parts prices. Not to mention that vehicle values are still elevated.

I point this out simply because prices are increasing everywhere. The same is true for insurance. This is why working with an Independent Insurance Agent is incredibly valuable. Instead of working for one insurance company, we represent multiple insurance carries that allow us to compare rates and coverages.

No call centers. Just real, experienced insurance agents.

Finding the right insurance can feel overwhelming. Not with us! Feel free to connect with us in person, over the phone, through email, or text messaging. We also offer e-signature services to serve you online.