Auto insurance rates in Ohio increased at the second-highest rate in the last 12 years last year, according to recent data from the Ohio Department of Insurance and the Ohio Insurance Institute.
The report suggested that the increase in rates was due partly to lower gas prices.
On the flip side, insurance in the state is still 28% lower than the national average of $841. Last year, Ohio’s average annual premium hit $698, which was roughly a 3.3% increase from 2014’s figure. It was $200 less than the national average that year, at $899.
Ohio Insurance Institute spokeswoman Mary Bonelli offered four explanations for the rise in auto insurance premiums: the increase in car crash severity and frequencies; costs for repairs have increased; medical expenses have surged; and the lower gas prices encouraging more people to drive.
Despite the increase, Ohio continues to post some of the lowest rates in the country, and current data suggests such.
Cleveland.com states that Ohio’s low rates are due to the healthy competition among carriers.
"We are focused on cultivating a competitive insurance market that benefits the consumer. That focus is generating some of the lowest premiums in the country," said Ohio Lt. Gov. and Department of Insurance director Mary Taylor.
According to a report by the National Association of Insurance Commissioners last month, auto insurance in Ohio averaged $659 a year. The figure is for 2013—the latest available in the 2016 report.
Taylor said that this is the 12th-lowest annual premium in the nation.
The Ohio Insurance Institute is anticipating another average increase of 3.3% this year, bringing the state average premium per vehicle to $721, compared to the national average of $929.
