{"id":3953,"date":"2023-12-12T20:05:13","date_gmt":"2023-12-13T02:05:13","guid":{"rendered":"https:\/\/going-places.thegeneral.com\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\/"},"modified":"2025-08-27T12:57:55","modified_gmt":"2025-08-27T17:57:55","slug":"like-car-prices-the-annual-cost-of-car-ownership-is-also-up","status":"publish","type":"post","link":"https:\/\/www.thegeneral.com\/going-places\/blog\/car-and-driving-basics\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\/","title":{"rendered":"Like Car Prices, the Annual Cost of Car Ownership is Also Up"},"content":{"rendered":"\n<p><span style=\"font-weight: 400;\">Buying a car today can be more expensive than it was in years past, thanks to inflation and supply chain troubles, but owning one is also squeezing Americans&#8217; budgets.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">According to Bureau of Labor Statistics data, transportation costs\u2014gas, maintenance, insurance\u2014<\/span><a href=\"https:\/\/www.bls.gov\/news.release\/cesan.nr0.htm\"><span style=\"font-weight: 400;\">comprise 16% of typical household spending<\/span><\/a><span style=\"font-weight: 400;\">. And Fitch Ratings found that auto-loan delinquency rates are<\/span><a href=\"https:\/\/www.fitchratings.com\/structured-finance\/abs\/auto-indices\"> <span style=\"font-weight: 400;\">the highest in almost three decades<\/span><\/a><span style=\"font-weight: 400;\">.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">To break down exactly why owning a vehicle is so pricey these days, auto insurer<\/span><a href=\"https:\/\/www.thegeneral.com\/\"> <span style=\"font-weight: 400;\">The General<\/span><\/a><span style=\"font-weight: 400;\"> crunched<\/span><a href=\"https:\/\/www.bls.gov\/cpi\/\"> <span style=\"font-weight: 400;\">BLS<\/span><\/a><span style=\"font-weight: 400;\"> data to find out how much the cost of owning a car has increased since 2010, as well as what auto expenses are rising most rapidly. Inflation, high-tech autos, and higher insurance costs are some of the reasons for the ownership price spike.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Consequently, the<\/span><a href=\"https:\/\/newsroom.aaa.com\/2023\/08\/annual-new-car-ownership-costs-boil-over-12k\/\"> <span style=\"font-weight: 400;\">average monthly cost of owning a car is $1,015<\/span><\/a><span style=\"font-weight: 400;\"> in 2023, a 13.5% increase from 2022, when it was just shy of $900, according to AAA&#8217;s Your Driving Costs study.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">&#8220;We are certainly in the middle of challenging times,&#8221; Scott Holeman, spokesman for the Insurance Information Institute, told Stacker.<\/span><\/p>\n\n\n\n<p><b>FIND AFFORDABLE CAR INSURANCE<\/b><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Get a hassle-free online quote to find the <\/span><strong><span style=\"color: #008000;\"><a style=\"color: #008000;\" href=\"https:\/\/www.thegeneral.com\/quote\/\">cheap car insurance<\/a><\/span><\/strong><span style=\"font-weight: 400;\"> you need at no cost in just two minutes.<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter is-resized wp-image-4554 size-full\"><img decoding=\"async\" src=\"https:\/\/www.thegeneral.com\/going-places\/wp-content\/uploads\/2024\/11\/Like-Car-Prices-the-Annual-Cost-of-Car-Ownership-is-Also-Up-2.jpg\" alt=\"\" class=\"wp-image-4554\" style=\"width:630px\"\/><figcaption class=\"wp-element-caption\">The General<\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-insurance-costs-climb\"><b>Insurance Costs Climb<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">During the early days of the COVID-19 pandemic, the Triple-I estimated<\/span><a href=\"https:\/\/www.iii.org\/insuranceindustryblog\/insurers-respond-to-covid-19-6-05-2020\/\"> <span style=\"font-weight: 400;\">auto insurance companies refunded $14 billion to consumers<\/span><\/a><span style=\"font-weight: 400;\"> because they didn&#8217;t drive as much due to stay-at-home and social distancing guidelines. However, once those recommendations eased, drivers returned to the roads. Whether due to less traffic or changing commuter behaviors, driving <\/span><a href=\"https:\/\/www.apa.org\/monitor\/2022\/06\/feature-traffic-safety\"><span style=\"font-weight: 400;\">became more risky and dangerous<\/span><\/a><span style=\"font-weight: 400;\"> as police saw more severe accidents, Holeman said. And the more accidents, the higher insurance premiums go.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">In addition, automakers are producing &#8220;more oversized, luxurious, and expensive vehicles, loaded with extra features that bump up prices even more,&#8221;<\/span><a href=\"https:\/\/newsroom.aaa.com\/2023\/08\/annual-new-car-ownership-costs-boil-over-12k\/\"> <span style=\"font-weight: 400;\">according to Brittany Moye<\/span><\/a><span style=\"font-weight: 400;\">, a public relations and content manager at AAA. So fixing cars\u2014whether after accidents or for regular maintenance\u2014will cost more.<\/span><\/p>\n\n\n\n<p><b>WHAT IS CAR LIABILITY INSURANCE?<\/b><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Learn all about <\/span><strong><span style=\"color: #008000;\"><a style=\"color: #008000;\" href=\"https:\/\/www.thegeneral.com\/blog\/what-is-liability-car-insurance\/\">car liability insurance<\/a><\/span><\/strong><span style=\"font-weight: 400;\"> and what it covers, how much you may need and if it is required in your state.<\/span><\/p>\n\n\n\n<figure class=\"wp-block-image aligncenter is-resized wp-image-4555 size-full\"><img decoding=\"async\" src=\"https:\/\/www.thegeneral.com\/going-places\/wp-content\/uploads\/2024\/11\/Like-Car-Prices-the-Annual-Cost-of-Car-Ownership-is-Also-Up-3.png\" alt=\"\" class=\"wp-image-4555\" style=\"width:630px\"\/><figcaption class=\"wp-element-caption\">Canva<\/figcaption><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-more-thefts-and-more-lawyers\"><b>More Thefts\u2014and More Lawyers<\/b><\/h2>\n\n\n\n<p><span style=\"font-weight: 400;\">Car insurance companies have struggled in the wake of the pandemic. &#8220;Auto insurers lost<\/span><a href=\"https:\/\/www.jdpower.com\/business\/press-releases\/2023-us-auto-insurance-study\"> <span style=\"font-weight: 400;\">an average of 12 cents on every dollar<\/span><\/a><span style=\"font-weight: 400;\"> of premium they collected in 2022\u2014the worst performance in more than 20 years,&#8221; according to a survey by business intelligence firm J.D. Power.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">This may have partly been because of<\/span><a href=\"https:\/\/www.axios.com\/2023\/07\/20\/car-thefts-2023-kia-hyundai-crime-data\"> <span style=\"font-weight: 400;\">increased car thefts<\/span><\/a><span style=\"font-weight: 400;\"> this year, particularly in Hyundais and Kias. A group of young men, infamously known as the &#8220;Kia Boyz,&#8221; discovered a few security flaws that made those cars much easier to steal, a phenomenon that has proliferated on TikTok.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">&#8220;Never before have we seen videos that were watched by millions and millions of people that show how to take a phone charger to steal a car,&#8221; Holeman said.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">Also adding to rising insurance costs is the fact that<\/span><a href=\"https:\/\/www.fitchratings.com\/research\/insurance\/us-commercial-auto-insurance-profits-struggle-amid-inflation-litigation-27-09-2023\"> <span style=\"font-weight: 400;\">more consumers are hiring attorneys to represent them<\/span><\/a><span style=\"font-weight: 400;\"> when filing auto insurance claims. That increases the potential for larger payouts, which hits insurance companies&#8217; bottom lines.<\/span><\/p>\n\n\n\n<p><span style=\"font-weight: 400;\">&#8220;You can&#8217;t watch a football game or your favorite program on TV or listen to the radio without hearing ads for attorneys who are urging you that if you don&#8217;t like what you&#8217;re getting from your insurance company, you can call them, and they&#8217;re going to make it right,&#8221; Holeman said. It&#8217;s just one more way owning a car is getting more complicated\u2014and expensive.<\/span><\/p>\n\n\n\n<p><i><span style=\"font-weight: 400;\">Written by Natalie P. McNeal, Data Work By Wade ZhouStory, Editing by Jeff Inglis, Copy Editing by Paris Close.<\/span><\/i><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The General crunched Bureau of Labor Statistics data to determine how much the cost of owning a car has risen since 2010.<\/p>\n","protected":false},"author":7,"featured_media":3958,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[55],"tags":[],"class_list":["post-3953","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-car-and-driving-basics"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Like Car Prices, the Annual Cost of Car Ownership is Also Up<\/title>\n<meta name=\"description\" content=\"The General crunched Bureau of Labor Statistics data to determine how much the cost of owning a car has risen since 2010.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.thegeneral.com\/going-places\/blog\/car-and-driving-basics\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Like Car Prices, the Annual Cost of Car Ownership is Also Up\" \/>\n<meta property=\"og:description\" content=\"The General crunched Bureau of Labor Statistics data to determine how much the cost of owning a car has risen since 2010.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.thegeneral.com\/going-places\/blog\/car-and-driving-basics\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\/\" \/>\n<meta property=\"og:site_name\" content=\"Going Places\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/TheGeneralAuto\/\" \/>\n<meta property=\"article:published_time\" content=\"2023-12-13T02:05:13+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2025-08-27T17:57:55+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.thegeneral.com\/going-places\/wp-content\/uploads\/2024\/11\/Feature-Image-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1200\" \/>\n\t<meta property=\"og:image:height\" content=\"675\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"The General Insurance Team\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"The General Insurance Team\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/blog\\\/car-and-driving-basics\\\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/blog\\\/car-and-driving-basics\\\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\\\/\"},\"author\":{\"name\":\"The General Insurance Team\",\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/#\\\/schema\\\/person\\\/ee18b484a79eeadcbe365de7b5c65ec1\"},\"headline\":\"Like Car Prices, the Annual Cost of Car Ownership is Also Up\",\"datePublished\":\"2023-12-13T02:05:13+00:00\",\"dateModified\":\"2025-08-27T17:57:55+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/blog\\\/car-and-driving-basics\\\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\\\/\"},\"wordCount\":610,\"publisher\":{\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/#organization\"},\"image\":{\"@id\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/blog\\\/car-and-driving-basics\\\/like-car-prices-the-annual-cost-of-car-ownership-is-also-up\\\/#primaryimage\"},\"thumbnailUrl\":\"https:\\\/\\\/www.thegeneral.com\\\/going-places\\\/wp-content\\\/uploads\\\/2024\\\/11\\\/Feature-Image-1.jpg\",\"articleSection\":[\"Car &amp; 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