By Leon R. Symanski, Esq.
No matter what your political affiliation is, we are all affected by the decisions that our political leaders make: the good, the bad, and the ugly. The most recent major political decision was to implement tariffs to regain economic stability, and potentially economic dominance, for the United States. A tariff is a duty (a tax) imposed by a national government, customs territory, or supranational union on imports (or, exceptionally, exports) of goods. For many of us, the past couple of months have been a white-knuckle ride when it comes to checking the balances of our investments and 401K accounts. This process can be quite unsettling to the average consumer, especially when these tariffs cause prices of all goods and services to rise rapidly.
Drivers in Nevada are already struggling under the weight of rising auto insurance rates, and with the President’s latest tariffs, that financial pressure may worsen. Tariffs increase the cost of vehicles, car parts, medical care, and more, leading to higher operating costs for insurers and increased premiums for policyholders. How do these tariffs affect Nevadans when it comes to automobile insurance? The 25% tariffs on cars and auto parts from Canada and Mexico will increase premiums by an average of 8% by the end of 2025, according to a study from insurance comparison platform Insurify, going from $2,313 a year to $2,502. That’s because the U.S. relies heavily on cars and auto parts made by its neighbors, and pricier parts translate into higher premiums to cover repairing or replacing them.
Consumers won’t feel the pinch immediately, however, since insurance companies can only raise prices when it’s time to renew. Here are some strategic ways to help you save on automobile insurance:
1. DO NOT receive any moving violations. Be a safe and conscientious driver and obey all traffic laws. Moving violations are a red flag to insurance carriers that you pose a higher-than-average risk, which means they can increase your rates. Stay off your cell phone and concentrate on the road. If you do receive a moving violation, contact Craig P. Kenny & Associates; we may be able to negotiate the citation to a non-moving violation, which will keep your insurance rates lower.
2. Understand the coverages within your current policy. Most people I meet with have no idea what coverage they have until they are in an accident. Oftentimes I have to inform them that their coverage is lacking in several areas, which can reduce their financial recovery by thousands of dollars. While Nevada drivers are only required to carry Liability Coverage in case they cause the accident, Uninsured Motorist, Under-insured Motorist, and Medical Payment coverages can have a substantial impact on your recovery from a car accident in case the other driver has no insurance or not enough insurance.
3. Shop around and compare quotes. Insurance companies view drivers’ risk factors differently, so get quotes from several companies to see which will offer the best deal. Be sure you request the same coverage levels and deductibles to get comparisons. Experts recommend price shopping whenever your policy is up for renewal.
4. Bundle car and home insurance. Insurers reward customers who buy more than one line of insurance. If you get your auto and homeowners insurance from the same company, you could get a discount of as much as 25%, depending on the insurer and state.
While auto insurance is not cheap, I always advise my clients to get the most coverage they can afford. If you are thinking about parsing your coverage down to the bare minimum, and eliminating vitals such as Uninsured Motorist, Rental Car, Towing, or Medical Payment coverage, I strongly urge you to keep those coverages on your policy. You can modify your deductible to a higher level to offset these costs and keep these vital coverages on your policy. The attorneys at Craig P. Kenny & Associates will perform a FREE auto insurance policy review for you; please call us at (702) 380-2800. Thank you very much for your trust, support, and loyalty for the past 30 years!
