A. I. Benavidez News
Car insurance costs soared over last year, hurting low-income Californians
The most recent summary of the Consumer Price Index (CPI) by the U.S. Bureau of Labor Statistics (BLS) reveals a significant increase in car insurance costs over the past year, exceeding overall inflation rates. This rise in car insurance prices is disproportionately affecting low-income drivers in California.
Low-income drivers hurt by rising car insurance costs
In 2023, vehicle owners experienced a surge in their expenses due to escalating insurance costs. This price hike has been particularly burdensome for low-income drivers who are already grappling with the cost of basic necessities.
Lawsuit abuse drives inflation for Los Angeles consumers
The rise in the number of lawsuits filed in the Los Angeles area is contributing to heightened inflation and an increase in insurance costs. According to the U.S. Bureau of Labor Statistics’ (BLS) Consumer Price Index (CPI), which was released on Feb. 13, prices in the Los Angeles area rose by 1% in January and 2.5% over the 12-month period ending in January 2024. A recent report identified a major contributor to California's CPI as the surge in tort filings and insurance-related lawsuits.