Escalating auto insurance rates are burdening car owners and contributing to inflation, despite easing consumer inflation in other areas. The persistent rise in rates, fuelled by increased car values, repair costs, and claims, has significantly impacted consumers and the Federal Reserve’s efforts to control inflation. Insurers have benefited from rising premiums, with large profit gains reported, but consumers are advised to shop around and explore cost-saving measures such as higher deductibles and defensive driving courses.