Premiums Rise as Recession Bites
January 7th, 2009
Many Insurance companies have announced that they are freezing rates for this year at least but a large portion of the total number of providers declined to do so sue to uncertainties with the current economy. People and businesses are both feeling the pinch of the stumbling economy and this might be reflected in the fact that car purchases have dwindled to almost zero, with that, the amount of policies sold are also falling. This is in view of other losses such insurance providers might have incurred and with some of the biggest names in finance and banking going into the red zone, times are getting rough indeed.
The need for adequate auto insurance cannot be emphasized more than with the statistics that show thousands die from auto accidents and millions of dollars in losses as a result if such incidents. Uninsured or underinsured drivers risk jail time for such crimes and with most not being able to afford ample coverage, it is becoming quite common.