US motor policy costs rise again, now up 13.4% y/y

US motor insurance policy costs accelerated again in November, rising 13.4% versus November 2021, the second highest annual rate on record behind a 2021 recovery from pandemic rebates, a monthly inflation report from the  US Bureau of Labor Statistics (BLS) has indicated.

November is the eighth month of uninterrupted increase in the headline annual policy inflation figure from a 4.2% annual reading set in March. Policy inflation is double-digit for the third month running.

That puts motor insurance inflation ever further above the headline consumer inflation reading, which eased back another 0.7 points in November to a 7.1% annual rate, now well below its 9.0% peak from June.

Tenants' and household insurance, left seasonally unadjusted by BLS, has wavered within an arm’s length of zero throughout the year, now at a positive 0.6% in November, but still down fractionally on pre-pandemic levels.

The monthly move to the 7.1% headline inflation rate was driven by increases in the sub-index for shelter, more than offsetting decreases in energy costs, the BLS had said in its statement.

Did you get value from this story?  Sign up to our free daily newsletters and get stories like this sent straight to your inbox.