Insurify projects 5% national rate rise

Insurify’s projection that U.S. car-insurance rates would rise about 5% in 2025 looked modest only at the national level. The company’s state data showed a much less even picture, with Florida and New York projected to post roughly 10% increases and Maryland already sitting at the top of the cost rankings after a steep jump in 2024. (insurify.com) That split matters because auto insurance is still being priced through local loss experience, state regulation and repair-cost pressure, not through a single national trend line. (insurify.com) Insurify tied the broader increase to inflation, climate risk and higher repair costs for increasingly complex vehicles, including EVs. (insurify.com) ### If the national increase was 5%, why did some states still look much worse? Florida and New York stood out in Insurify’s 2025 forecast because each was projected to see rate increases of about 10%, double the national pace. Insurify also listed both states among the most expensive places in the country for full-coverage auto insurance. (insurify.com) Maryland was the clearest example of how prior-year shocks carried into 2025. Insurify said Maryland’s average annual full-coverage premium rose 53% in 2024 to $4,060 and was projected to climb another 5% in 2025 to $4,255, making it the most expensive state in its ranking. (insurify.com) ### What was driving the divergence between states? Insurify said climate risk, inflation and rising repair costs were pushing premiums higher nationally. Its state-rate tables also pointed to more local pressures, including exposure to extreme weather, traffic congestion, theft and vehicle crime, all of which vary sharply by market. (insurify.com) New York also had a regulatory paper trail behind some of the increases. Insurify reported that the New York Department of Financial Services approved rate increases ranging from 3.6% to 22% for several insurers, affecting about 582,625 auto and motorcycle policies. (insurify.com) ### Why does Maryland matter more than the headline number suggests? Maryland mattered because it combined already-high premiums with another projected increase. Insurify’s ranking put Maryland ahead of New York, Washington, D.C., South Carolina and Florida on projected 2025 full-coverage costs. (insurify.com) February 2025 pricing data from Insurify also showed Maryland far above the national monthly average. The company reported a national full-coverage average of $192 per month at the start of 2025, compared with $342 in Maryland and $318 in New York. (insurify.com) ### What should carriers, brokers and marketers take from that? Insurify’s own state tables argue against treating “the U.S. auto market” as one pricing story. A carrier entering Florida, New York or Maryland is dealing with a different severity and affordability environment than one competing in lower-cost states. (insurify.com) For outreach and account targeting, that means state context is more useful than national averages. Insurify’s reports identify which markets were absorbing the largest increases, which states were already expensive, and where monthly pricing was still moving early in 2025. (insurify.com) ### Where can readers watch for the next changes? Insurify publishes rolling state-rate updates and annual forecast reports, and its December 2025 and February 2025 pricing pages show how monthly averages changed after the initial 2025 projection. Its February 2, 2026 report later said national full-coverage premiums actually fell 6% in 2025 to $2,144, while many expensive states still posted increases and the company projected about a 1% national rise for 2026. (insurify.com 1) (insurify.com 2) (insurify.com 3)