What percent has insurances increased
Executive summary
Auto insurance premiums jumped sharply in recent years—insurers raised rates by an average of 16.5% in 2024 and consumers paid as much as 19% more according to BLS-linked reporting; industry forecasts for 2025 show slower but continued increases around 7–7.5% on average (ValuePenguin/LendingTree, Triple‑I, Bankrate) [1] [2] [3]. Health insurance on the ACA exchanges shows different dynamics: insurers proposed median premium increases near 7% for 2025, while some filings and state approvals show larger, plan‑specific jumps (and KFF and other trackers warn of much larger out‑of‑pocket impacts if enhanced subsidies expire) [4] [5] [6].
1. Auto insurance: the recent spike and a slower climb ahead
Auto insurers raised rates dramatically in 2023–2024, with a widely cited 16.5% average increase in 2024 and analyses showing consumers paid about 19% more year‑over‑year per BLS comparisons; after those large rises, multiple analysts forecast moderation for 2025 — ValuePenguin/LendingTree and Carrier Management report an average +7.5% expectation, while Triple‑I/Bankrate underwriting projections put a countrywide average personal auto increase near 7% [2] [1] [3].
2. Variation by state, carrier and driver: averages hide big gaps
National averages mask stark local and customer differences: ValuePenguin flagged state‑level jumps over 15% in New Jersey, Washington and California for 2025 and singled out certain carriers (American Family, Allstate, Liberty Mutual) as planning bigger hikes; The Zebra and other trackers show some states or zip codes experienced near‑19% year‑over‑year rises in average premiums, and individual risk factors (tickets, new car purchases, credit changes) can push one driver far above the national mean [1] [7] [2].
3. Why rates rose so much: insurers point to higher costs and claim trends
Insurers and analysts attribute the surge to record inflation, sharply higher vehicle repair and replacement costs, more frequent costly weather events, and greater claim severity — forces that forced companies to restore profitability after pandemic‑era losses. Industry commentary emphasizes those cost drivers as the rationale behind the large 2023–24 adjustments and continuing upward pressure into 2025 [8] [2].
4. Home and health insurance: separate stories with their own jumps
Homeowners faced substantial 2024 increases — some reports cite average new‑policy surges around 17.4% and then tapering later in the year — and predictions for 2025 expect continued premium growth but at a more moderated pace as inflation slows [9]. For ACA marketplace health plans, insurers proposed a median premium hike of about 7% for 2025, but filings and state approvals vary widely; Washington state approved an average 10.7% increase for 2025 individual market plans, illustrating jurisdictional differences [4] [10].
5. Subsidies and policy choices change what consumers actually pay
KFF and other analysts stress a crucial distinction: the percent increase insurers charge is not the same as what enrollees pay after subsidies. Insurer premium rises around 7% can translate into much larger out‑of‑pocket jumps for people if enhanced ACA tax credits lapse — KFF and Johns Hopkins reporting warn that many enrollees could see payments more than double or rise by roughly 25–30% in some analyses depending on subsidy changes and state variations [11] [12] [6].
6. Conflicting forecasts and early indicators to watch
Projections diverge by source and timing: some firms project modest single‑digit increases for 2025 (7% for autos, 7% median for ACA marketplace premiums), while trackers show pockets of double‑digit growth and state regulator approvals can be higher (e.g., 10.7% in Washington’s individual market) [3] [4] [10]. Watch insurer rate filings, state insurance department approvals, and whether Congress renews enhanced ACA subsidies — each will materially alter consumer outcomes [5] [4].
7. What this means for consumers and hidden agendas in reporting
Consumers should expect continued upward pressure on premiums but not necessarily uniform across products or geographies; industry releases and insurer filings often emphasize cost drivers that justify increases, while advocacy groups focus on consumer harm and policy solutions — both frames are present in the reporting. Regulators’ approvals (which sometimes lower requested increases) and federal subsidy policy are decisive levers often underreported in headline “percent increase” stories [10] [4].
Limitations: available sources cover auto, home and ACA marketplace trends through 2025 and some 2026 projections, but do not provide a single, definitive national “percent all insurances increased” figure; exact individual impacts depend on state, carrier, coverage level and subsidy status — not found in current reporting.