Auto insurance rates returning to pre-pandemic levels after credit expires

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SHREVEPORT, La. (KTAL/KMSS) — Auto insurance rates are expected to return to pre-pandemic levels as credits and rebates from providers expire across the country.

Those credits and rebates from 38 companies total $215 million to Louisiana policyholders, according to Louisiana Insurance Commissioner James Donelon.

Donelon says the discount is ending because more drivers are getting on the road, a trend that is expected to continue as a vaccine becomes more widely available.

“We are one of the 50 states experiencing the same level of decrease and now increase as a result of the reduced driving that the pandemic has brought about,” Donelon said.

Nearly 45 percent of Louisiana drivers, according to Commissioner Donelon, have minimum insurance coverage. He fears that percentage could increase as policies become more expensive.

“The higher it goes, the more expensive and more difficult it will be for folks to continue to be law-abiding as they are today.”

Commissioner Donelon says the best way to find a lower insurance rate would be to shop around with different providers.

“It does behoove you to make a handful of calls, a half dozen calls, to get quotes, and some companies write direct over the internet or by an 800 number,” Donelon said. “So, shop around and compare prices.”

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