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Tariffs and Car Insurance: What Drivers Need to Know in 2025

October 17th, 2025

1 min. read

By Mark Rodgers

Why Tariffs Will Make Car Insurance Even More Expensive

Car insurance rates keep climbing—but did you know tariffs on auto parts and new cars could be a major reason why? 🚗💰 If tariffs are placed on companies that supply vehicle parts to the U.S., the cost to repair and replace cars will increase—and so will your insurance premiums. Today, we’ll break down why this is happening and what you can do to protect yourself.

✔️ The hidden connection: How tariffs drive up repair costs, insurance claims, and, ultimately, your rates.
✔️ The used car boom: Why tariffs on new vehicles also impact used car prices—and your insurance.
✔️ The lagging effect: Why you’re feeling the impact now, even if tariffs are months away.
✔️ How to lower your costs: Four simple ways to keep your insurance premiums manageable.

💬 We want to hear from you! Have you noticed your auto insurance rates going up? Share your thoughts in the comments below!