06/18/2025
Ever notice how auto insurance companies keep jacking up your premiums but don’t want to pay for proper repairs? 🤔
They blame rising repair costs as one of the reasona for 56% premium increases over the last 5 years (yes, 56%), but here’s the truth:
🚗 Labor rates have only gone up around 14.5% on average in that same time.
Here’s what major insurers are/were really paying for body and paint labor:
🛠️ 2020 vs. 2025 Body & Paint Labor Rates
Progressive: $52 → $61 (+17.5%)
Allstate: $52 → $61 (+17.5%)
State Farm: $54 → $65 (+10.5%)
Geico: $52 → $58 (+11.5%)
Erie: $52 → $60 (+15.5%)
Meanwhile, they push back hard on proper repair costs—even when their own “independent” appraisers agree with higher estimates.
So where’s all that extra premium money going? 💸
Sure isn’t to the body shops making your car safe again.
Car insurance rates have skyrocketed this year due to a combination of reasons. Learn why your car insurance rate went up and how to save money.