Car insurance can be a big expense these days — rates are up by more than 11% over last year, documents show. Here’s where Massachusetts drivers rank when it comes to insurance affordability.
Follow NBC10 Boston:
https://instagram.com/nbc10boston
https://tiktok.com/@nbc10boston
https://facebook.com/NBC10Boston
https://twitter.com/NBC10Boston
https://bsky.app/profile/nbcboston.com
Car insurance can be a big expense these days. According to the latest data from the U.S. Bureau of Labor Statistics, auto insurance rates are up by more than 11% compared to last year.
But where you live can determine how hard these increases hit your budget. Shannon Martin, an insurance analyst at Bankrate.com, explains driving behavior is an important factor when it comes to the price of car insurance.
WATCH ANYTIME FOR FREE
 |
Stream NBC10 Boston news for free, 24/7, wherever you are. |
“That can definitely help keep your car insurance costs lower. But you can still see increases that have nothing to do with your driving,” said Martin. “Insurance is based on a shared risk pool concept, so that means that you're sharing the road with other drivers. Insurance carriers group you buy by location, your state, your age, the make and model of your vehicle.”
“If there's an increase in general to any of the risk pools that you're in, you can see an increase to your policy to spread out that burden. So, it's very important to keep in mind that your driving history is important, but it's common to see fluctuations in your rate.”
Get updates on what's happening in Boston to your inbox. Sign up for our News Headlines newsletter.
So, how much are people paying to stay safe against other Massachusetts drivers?
“It's actually a really great state to have car insurance in, even though it doesn't feel like it all the time,” Martin said.
Bankrate released their annual "The True Cost of Auto Insurance in 2025" report earlier this month.
Massachusetts ranked sixth as the lowest percentage of income spent on car insurance.
With insurance prices going up 31% over the past two years, there are small changes drivers can make to save on their policy. Martin first recommends reviewing the insurance policy to make sure everything is up to date.
“If you moved or had a job change or maybe started carpooling to work, those types of changes can actually impact your premium -- oftentimes to help lower the cost,” said Martin.
She also recommends checking for any duplicate coverage. Drivers might be paying two different types of roadside assistance.
“If you have more than one car in your household, maybe you don't need to pay for rental reimbursement coverage because you have another car you can use if your car is getting repaired after an accident,” said Martin.
She suggests increasing the deductible on collision coverage and doesn’t recommend lowering liability limits.
“Having drops in liability only saves you a few dollars per year, but can cost you tens of thousands of dollars out of pocket if you don't have enough insurance in the event of an accident,” said Martin.
Drivers who are in the market for a new car can start insurance research before making a purchase. Insurance agents can provide estimates or quotes, just with the car’s VIN number. Martin reminds drivers that while getting the latest car model can be convenient and safer, it might cost more to insure.
“Things are getting so high tech and expensive now and the cost of parts and labor are getting expensive now that while those safety features help keep you safe, they actually increase the cost of your policy more than they save you money usually,” said Martin.
