ND, SD, Iowa drivers enjoy lower premiums car: NAIC report

Drivers in most of the 12 states that make up the Midwest region appreciate declining average auto insurance premiums as their counterparts in other regions of the country, after the last study by the National Association of Insurance Commissioners (NAIC).

In NAIC’s “State and private expenditure for auto insurance premiums in 2003,” North Dakota drivers enjoy the lowest average auto insurance premiums in the nation, with an average annual expenditure on social insurance car $ 536.30 - 35 percent lower than the national average of $ 820.91.

Despite some improvements in the market and legislative reforms, New Jersey remains the state with the average expenditure higher, to $ 1188.42. Other countries are expensive New York, with an average expenditure of $ 1160.80 and the District of Columbia, $ 1.129.31.

According to the study, North Dakota is the least expensive, followed by South Dakota, an average expenditure of $ 563.18, Iowa, to $ 580.15.

In its report, the NAIC warns against direct comparisons between the state results. Three variables - urban population, a thousand dangers and available per capita income - are highly correlated with the figures. Other variables, covering the state of State for differences in average expenditure and contain premiums underwriting and loss adjustment costs, accident rates reduce traffic density , Auto-repair, civil liability, auto insurance and laws, such as in the case of seatbelts and speed limit. The NAIC report does not reflect all of these variables.

The figures show: In general, countries such as North Dakota, South Dakota, Iowa, and lower population lives in urban areas densely populated, and also driver, travel less miles of taxiways.

For example, only 55.8 percent of North Dakota drivers living in urban areas, compared to 94.3 percent of drivers in New Jersey, live in cities. By the same token, North Dakota driver during the year 2003, after half a million miles per kilometer of road, compared with drivers District of Columbia, on average, reached 2.70 million per thousand miles railroads and almost all (100 percent) Lived in urban areas.

Two exceptions to the spending restraint Midwest Michigan and Minnesota are the only two Middle west of the USA with an average expenditure for the national average. Michigan’s average expenditure was $ 931.14 for the year 2003, while Minnesota’s was $ 836.12. The two countries have moderate to strong population - Michigan had 74.7 per cent of the population in urban areas, while Minnesota, only 70.9 percent. Millions of kilometres of pipes per kilometre rail transport were considered moderately well: Michigan drivers of 0.82 miles, while only 0.55 driver of Minnesota.

One possible explanation for this discrepancy for Michigan, the high population density in Detroit, coupled with greater crime and fraud.

Typically, auto-national premium showed a gradual increase from 1999 to 2003.

In 1999, the average expenditure of $ 685.09, go to $ 689.27 in 2000, $ 723.11 in 2001, $ 776.78 to $ 820.91 in 2002 and 2003.

NAIC, the report compiles statistics from a variety of sources, including the American Association of Insurance Services, Inc. ISO data, the independent national statistical services, and the Property Casualty Insurance Association of America.

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