A new report published by Bankrate indicates that Floridian motorists are paying the second-highest auto insurance premiums in the nation, only faring better than Louisiana.
Florida residents on average pay 4.42 percent of their annual income towards auto insurance, amounting to an average of $2,762 per year, nearly $1,000 more than the national average.
When the state’s largest metro areas are analyzed, Tampa and Miami drivers spend the highest percentage of income on their car insurance, delegating an eye-popping 4.49 percent and 5.58 percent of their annual income to auto insurance coverage, respectively.
One reason these states may experience high true costs is that hurricanes and flooding are common, which may drive up insurance rates.
“Paired with the relatively low median incomes in [Florida], residents end up putting a significant portion of their budget toward car insurance,” the report states.
Florida is especially costly for teenage drivers, with an average year-long premium coming out to $5,805, or $483 a month. This figure is just under $2,000 the national average of $3,852.
Causing an accident can leave drivers expecting a $1,046 average increase in their annual rates, while a single speeding ticket can push rates over $500 higher.
Insurance isn’t the only spot hurting car owners’ wallets as of late. Gas in Florida experienced another sharp increase in price this past week, reaching an average of $4.20 a gallon on Monday, up 10 cents from two weeks prior, reaching as high as $4.42 a gallon in some counties.
Getting no reprieve from exorbitant costs, Floridians are paying over a dollar per gallon higher at the pumps than a year ago, but help could be on the way.
Gov. Ron DeSantis on Friday signed a tax break, centered around the rapidly rising cost of fuel. While the governor initially sought to put forth a one-year gas tax into place, the state Legislature only agreed to a one-month window.
“There are certain things when you have inflation that you can dial back,” said DeSantis. “You can’t really just not get around to your job. You have to fill up your gas tank. This is particularly for people who need to fill up for work. We have to make a difference.”
The Legislature ultimately decided to enact the gas tax holiday for October of this year, citing the fact that it would most directly benefit Floridians as October is the month with the fewest out-of-state visitors.