Nearly 40 Percent of Americans Pay for Car Repairs Out-of-Pocket as Insurance Rates Spike: Survey

Nearly four out of 10 insured drivers do not use their insurance coverage for reimbursing accident expenses, a survey by LendingTree has found. “Among insured drivers in an accident or incident, 39 percent have bypassed their auto insurance for repairs,” the Aug. 19 report states. When asked why, 59 percent of respondents said the damage was minimal, 44 percent said their deductible was higher than the cost, and 42 percent didn’t want their insurance to increase. Male drivers had a higher propensity to avoid insurance following an accident. Age-wise, younger consumers were found more likely to skip insurance. Driver hesitancy to use insurance follows rising costs. In the first half of the year, car insurance rose by 15 percent, according to data from Insurify. Insurance costs surged despite industry experts predicting hikes to slow down this year....