These are my most recent monthly State Farm vehicle insurance payments, from most recent ($114.35) to sometime back in 2021 ($69.32). I have no control over how much or little they decide to take out of my bank account every month. I noticed it steadily going up over the months until suddenly my December payment DECREASED by $16.75. I really don’t feel like contacting my insurance company with this trifling question but I am curious what affects their fluctuating prices.
$114.35 (December 2025) $131.10 (November 2025) $131.10 $131.10 $131.10 $131.10 $131.10 $122.45 $122.45 $122.45 $122.45 $122.45 $122.45 $121.87 $121.87 $121.87 $121.87 $121.87 $121.87 $100.89 $100.89 $100.89 $100.89 $100.89 $100.89 $95.40 $84.24 $83.56 $83.56 $69.32 (January 2021)
Their reason for doing this is “dynamic service cost estimates can change the costs of the service” but it’s really just arbitrary
Insurance companies can charge whatever they want and people have to pay or they can’t afford Healthcare. You pay or you die
Insurance is a racket.
This is vehicle insurance, not health insurance.
This is how every insurance adjusts rates.
But yeah car insurance is maybe even more of a scam because you are legally required to pay it if you want to drive a car which is a requirement to participate in society.
There are usually two factors that can cause auto insurance rates to change:
- Something happened to you personally that caused your rates to change. Like if you were in an accident (and especially if you were deemed at fault), or if you’re vehicle changed in some way. There are other factors too, but those are probably the most common ones.
- Your zip code was reassessed and is now deemed to be more or less risky from an insurance perspective. This decision is separated from your personal actions, but it can still have an impact on your individual rates. And there’s no really transparency on how or why the insurance company comes to a conclusion on this aspect. Which sucks.
My guess is the second factor is thinking into play for you and your rates.
You can also just change insurance companies when 2 happens. My rates doubled two years ago, so I switched providers and went back down to the rate I was at previously. Very common.
I did this two years when state farm raised my rates and gave me some bullshit reason that simple math proved false. My new agency has actually decreased my rates every year since.
Don’t forget data brokers and car manufacturers selling everyone’s personal info to insurabce companies
Yeah the zip code reassessment seems like the most likely explanation. Maybe the rate of accidents, car thefts and vandalism went down in OP’s zip code, so the insurance company lowered their premium.
I recently moved one mile away to a different zip code and GEICO increased my premium from $130 to $175 which I understand is very expensive for what I’m getting for coverage. I’ve never filed a claim, never been at fault for an accident, my car isn’t worth much and my only traffic violation was speeding more than a decade ago. Weirdly enough my pet insurance premium decreased by $25 when I moved. 🤷♂️
Replacement costs on everything are going up thanks to Trump’s tariffs. So insurance costs on everything are going up:
https://finance.yahoo.com/personal-finance/insurance/article/tariffs-car-insurance-210219360.html
Also health insurance:
https://www.kff.org/quick-take/tariffs-are-driving-2026-health-insurance-premiums-up/
Homeowners & Commercial insurance:
https://www.brickergraydon.com/insights/publications/the-impact-of-tariffs-on-the-insurance-industry
Okay I know Trump is a sebaceous cyst on Earth’s asshole but this is an entirely different matter. I’m wondering why my insurance went DOWN after starting ridiculously low then steadily climbing.
Also, it’s increasing while the value of your car is decreasing. In Texas we used to be able to insure a car for a maximum amount. I could keep full coverage on my kids cars with a $10k max and it was only slightly higher than justhaving liability. Texas has taken away that option.
Yes but I’m wondering why my last payment DECREASED 🤔
I’ve seen my rates decrease automatically when a driver on the insurance reaches a particular age. Usually there’s a notice sent.
Sometimes there’s s discount if you go a certain number of months/years without a ticket or accident.
Nobody reads the sidebar…
Did I violate a sidebar rule?
