A bar graph made out of coins, showing an upward trend. Insurify predicts insureds could pay an average of $1,846 – an additional 12% – for auto coverage in 2023. (Credit: Billion Photos/Shutterstock)

In the decade prior to the COVID-19 pandemic, new car prices saw a  3% average annual increase, but after a larger 5% increase between 2019 and 2020, prices spiked 17.2% between 2020 and 2021, says a report from the Zebra. In 2019, the average new car cost $36,824, and it is projected to climb over $47,000 by the close of 2021.

Used cars have followed a similar trend, with the average price of a preowned vehicle increasing from $19,863 in 2019 to $28,205 in 2021.

Want to continue reading?
Become a Free
PropertyCasualty360 Digital Reader.

INCLUDED IN A DIGITAL MEMBERSHIP:

  • All PropertyCasualty360.com news coverage, best practices, and in-depth analysis.
  • Educational webcasts, resources from industry leaders, and informative newsletters.
  • Other award-winning websites including BenefitsPRO.com and ThinkAdvisor.com.

Already have an account?

Brittney Meredith-Miller

Brittney Meredith-Miller is assistant editor of PropertyCasualty360.com. She can be reached at [email protected]

More from this author

 

PropertyCasualty360

Join PropertyCasualty360

Don’t miss crucial news and insights you need to make informed decisions for your P&C insurance business. Join PropertyCasualty360.com now!

  • Unlimited access to PropertyCasualty360.com - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including BenefitsPRO.com, ThinkAdvisor.com and Law.com
  • Exclusive discounts on PropertyCasualty360, National Underwriter, Claims and ALM events

Already have an account? Sign In Now
Join PropertyCasualty360

Copyright © 2022 ALM Global, LLC. All Rights Reserved.