Want a cheaper rate on your car insurance? Try buying a house.
That’s the revelation from a recent analysis by the non-profit Consumer Federation of America, which discovered that Florida renters, on average, pay $279 more for car insurance – or about 10 percent higher – than those who own their homes. And apparently, the insurance companies are not shy about the fact home ownership is factored into their rates, except in California, where the practice is illegal.
This is troubling on a number of levels. First, there is the fact that its discriminatory and more likely to mean that lower-income and minority communities pay higher car insurance rates. Secondly, there is the fact that insurers are making it tougher for drivers who probably need it the most to obtain adequate liability coverage. Continue reading →