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The Domino Effect of Higher Insurance Costs
How Overlapping Crises Are Reshaping the Insurance Industry
It’s not just the price of groceries or housing spiraling out of control — insurance premiums are quietly becoming the next major economic burden for millions of Americans. For years, the insurance market seemed insulated, humming along with its familiar promise: you pay, we protect. But that promise is now unraveling, and the reasons behind it are deeply troubling.
Health insurance is increasingly unaffordable, with nearly half of Americans now reporting difficulty paying medical bills. Consolidation within the health insurance industry has fueled this crisis, as fewer companies dominate the market and exercise near-monopolistic power. Need a specialist? Prepare for endless denials and loopholes designed to cut costs for insurers at your expense.
Auto insurance — essential for most working families — is another growing burden. Rates have soared, driven not just by inflation but by the growing frequency of climate-related disasters. Hurricanes, wildfires, and floods are destroying vehicles on an unprecedented scale, forcing insurers to pass these costs onto consumers. If your car is damaged in a flood or wildfire, expect sky-high deductibles and painstaking claims processes that often leave you worse off.
