Car insurance rates are surging as Americans struggle to pay for basic necessities and ongoing debt.

The newest Consumer Price Index shows car insurance spiked 20 percent year over year. The surge in pricing occurred after years of gradual price inflation, with earlier reports finding the rates grew by 36 percent since 2020.

That’s at the same time debt is soaring for many Americans. While Americans hold around 1.75 trillion in student debt loans alone, they also have $1.05 trillion in credit card balances not paid off.

  • admiralteal@kbin.social
    link
    fedilink
    arrow-up
    25
    ·
    4 months ago

    Those first two, the “people” are largely the auto manufacturers.

    Smaller and cheaper cars are SUPER popular in the rest of the world and are literally not available at all in the US. The auto mfgs will tell you it is because of US preference, but in a country of 330 million, there doesn’t need to be that much demand compared to these vehicles popularity in, say, a cheese-loving nation of 65 million. Even if they are immensely less popular, there is still MORE than enough market for some of these ALREADY-BEING-PRODUCED vehicles.

    But the US auto mfgs refuse. They go bigger and more expensive. The US consumer has no real choice.

    For your fourth and fifth, the “people” are US civil/transportation engineers. They must be stopped. They are a scourge. There’s no culture of safe road engineering in the US. AASHTO are an association of insane fuckwits.

    I am incredibly skeptical that the behaviors of US drivers are significantly different than anywhere else in the world. I’m pretty skeptical of worries over inspections or licensing requirements and am CERTAIN that additional police enforcement will only cause more mayhem and death and not protect any life. I believe it’s almost entirely a problem of road engineering, urban design, and vehicle design.

    • joekar1990@lemmy.world
      link
      fedilink
      English
      arrow-up
      6
      arrow-down
      1
      ·
      4 months ago

      Mfgs also don’t produce as many of the base trims so it limits choice further. Then on top of that the dealers tend to mark cars way up. Cars in general are just way overpriced since COVID started and some mfgs are still claiming supply chain issues so they artificially limit supply further.

    • Passerby6497@lemmy.world
      link
      fedilink
      English
      arrow-up
      4
      ·
      4 months ago

      To the point about manufacturers, it’s also an issue with emissions laws, because smaller cars have more restrictions on emissions. So rather than figure out how to make cars run better, everyone is making bigger vehicles so they fall into a lower emissions requirement classes.

      • admiralteal@kbin.social
        link
        fedilink
        arrow-up
        2
        ·
        4 months ago

        But they do produce smaller cheaper cars that can follow those emissions standards - for markets like Germany or the Netherlands. They just refuse to go through the process of certifying and selling those same vehicles in the US market.

        Not to be all tinfoil hat, but I think they have a gentleman’s agreement to just not be competitive like that in the US market because they can get away with it. Because the US consumer is gullible and our Regulators are asleep at the wheel.