Gas and Insurance Prices are Both on the Rise

By
Mortgage and Lending with Olympus Labs

The past few years have been very difficult for everyone, and although the threat of the COVID pandemic seems to be largely behind us, the remaining residual effects of the pandemic are still very much a part of our everyday lives. 

Chief among these lasting effects may easily be considered to be inflation. COVID isn’t the only contributor to this issue, of course. For instance, the war in Ukraine is rippling across the globe with the inflation of gas prices

In 1993, the US saw gas prices of just $1.07, but a record high of $4.29 in March of this year. The most striking part of this increase is that gas prices have gone up by nearly 40% just since 2020. Unfortunately, along with those massive price hikes, we’re also seeing increased insurance costs. 

We’ve seen a recent insurance price increase of 5-15%, brought on by things like increased fuel theft, increased cost of medical expenses, labor shortages, and the price of fuel. The fact is that, with inflation remaining a problem for the foreseeable future, insurance costs are likely to keep rising as well. 

Some things individuals can do to cut down on the costs of owning a vehicle are to drive less, which saves on fuel and saves on premiums, use all available discounts (safe driving and defensive driving discounts), and shop around for cheaper insurance premiums every year.

the effect of inflation on gas and car insurance

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