Only a select few insurance executives know the true formula for calculating car insurance rates. However, www.insure.com just came out with a list of the most expensive car insurance premiums by state. Guess where Missouri fell?
Lucky number 28! We fell below the national average of $1,390.59 but higher than almost half of the country. Louisiana topped the list with an average premium of $2,510.87 and Maine rounded out the bottom of the list with an average premium of $902.85.
Why is there such a big discrepancy? Maine only has 1.3 million people in the whole state. That’s less than half the population of the St. Louis metro area. Less drivers means less accidents—and less accidents means lower rates.
So, does that mean insurance premiums are exclusively tied to the amount of car accident claims that are filed? Not necessarily but the number of claims probably does have some effect. It is no coincidence that Maine falls where it does on the list.
Insurance companies want to make money. They want to pay out on as few claims as possible and as little on each claim as they can. If a part of the country has bad drivers, lots of dangerous roads, lots of bad weather or lots of car thefts you may be opening up your wallet wider to pay the insurance company when the premiums come due.
Talking locally, Missouri’s average premium is $1,390.59. Our unlucky neighbors to the East, however, came in at number nine, with an average premium of $1,679.15.
No matter which state you are in, dealing with the insurance companies after a car accident is no easy task. Remember – insurance companies don’t want to pay on a claim and if they are paying they don’t want to pay a fair amount. Many Missouri accident victims end up hiring a Missouri accident attorney to simply avoid the most common mistakes people make to ruin their claims. Want to make sure you haven’t said the wrong thing to the adjuster or signed a release you shouldn’t have? Request a free copy of my Missouri accident guide, “I Survived! The Crash Victim’s Guide to Dealing with the Aftermath.”