Car insurance costs could rise 7% by year's end amid tariffs: Analysis

(NewsNation) — Car insurance premiums have skyrocketed in recent years, and President Donald Trump's tariffs could drive them even higher.

The cost of full-coverage car insurance could jump 7% to an average of $2,472 a year by the end of 2025 if prolonged tariffs lead to significant insurer losses, according to a new Insurify analysis.

Even without tariffs, drivers can expect a 4% rate increase in the second half of the year, the insurance comparison site projected in its forecast.

In some states — like Rhode Island, Michigan, Maine and Delaware — insurance costs could be up more than 12% by year's end.

The latest projections mark a sharp turnaround from the first half of 2025, when car insurance rates held steady nationwide and even fell in 27 states, Insurify said.

Now, tariffs on a