Insurance premiums will drive up prices!

Car and home premiums

The world is changing, my friends. All around us, inflation is wreaking havoc, bringing with it a wave of price increases that is affecting all economic sectors. And unfortunately, insurance is no exception to this trend. Car and home insurance premiums are no exception and will increase in 2023.

At the RCCAQ (Regroupement des cabinets de courtage d’assurance du Québec) convention last November in Quebec City. The big names in the sector have mentioned the reasons for this dizzying increase. Inflation, of course, but also the lack of labour, which is hitting all sectors hard. Insurers, who have not met their financial targets, will therefore have to increase their customers’ premiums in 2023.

But what are the causes of this increase? Well, my friends, there are many.

First, there is the increase in repair costs. Parts are more expensive, and so is labor. Whether it’s for cars or houses, you now have to pay more to replace or repair the damage caused.

Then there is the increase in claims costs. It’s a rule of thumb: the higher the claims, the higher the premiums. And complaints are on the rise. Storms, floods, forest fires, disasters of all kinds are multiplying. Natural disasters wreak havoc and costs soar.

But there is also the evolution of regulations, which are becoming increasingly complex. And insurance products are following this trend. Insurers are facing increasingly stringent rules, which has an impact on their customers’ premiums.

Inflation on your property in 2023

Finally, it should not be forgotten that the value of your insured propertymay have increased with inflation. Your home or car is now worth more than before, and insurers need to adapt accordingly.

This, my friends, is what awaits you for the coming year. Insurance premiums will increase, that’s for sure. But don’t panic! Shop around and you’ll find the right insurer for you, the one that will offer you the best value for your money. And for that, you can count on us at Assur360. Request a quote now, my friends!