Being number 1 isn't always the greatest thing. Detroiters know that all too well.
Here's another not-so-great-to-be-number-one thing.
The website NerdWallet looked at the average insurance rates of 125 of the largest U.S. cities, and yes, you guessed it; the site found that Detroit had the highest average car insurance rates in the nation.
To arrive at that conclusion, NerdWallet used the profile of a 26-year-old male without any history of accidents, insuring a 2012 Toyota Camry with extended coverage (100/300/50 with a $500 deductible).
The site also noted that Detroit’s average car insurance rates are more than ten times that of the Winston-Salem, N.C., which has the lowest average of all the cities.
The site showed that the average insurance rate in Detroit came to $10,723.22. New Orleans ranked number two with an average annual premium rate of $4,309.61.
The site noted:
The city’s rates are so high that Mike Duggan, Detroit’s newly elected mayor, made lowering car insurance premiums a major part of his campaign platform.
Politics and law play a major role in a city’s car insurance rates. All of the most expensive cities for car insurance were in states with no-fault car insurance laws. Large cities such as New York and Los Angeles have cheaper average premiums than small cities such as Grand Rapids and Baton Rouge, which are in no-fault states.
We first spotted this story at Metro Times. -- Allan Lengel
