
The release also noted that the MSRP does not always correspond to a car buyer’s actual purchase price that price tends to depend on product demand. That is is $1,575 (4.7%) higher than last year. The overall average manufacturer’s suggested retail price (MSRP) of the new vehicles in their 2023 “Your Driving Costs” study is $34,876, according to AAA. “When the average yearly cost was only $10,728, or $894 monthly.” “This is a sharp increase from 2022,” AAA outlined in a press release.

The AAA study found that the average cost of owning and operating a new vehicle has significantly increased in 2023, with car owners paying $12,182 a year or $1,015 a month. Some other options to save money include paid-in-full discounts, paperless billing and automatic payments. “If you can incorporate your home policy, your life insurance policy, your auto insurance policy all under one policy, one carrier, there’s certainly significant discounts for that, as well as if you have multiple vehicles,” Ali said. She also recommended investing in a multi-policy plan through your insurance carrier. “Many providers also offer good student discounts, teen driving discounts.” “You can also take a defensive driving course,” Ali said. She suggested other ways to save big bucks on high auto insurance rates. “People who drive safely and don’t have sudden stops, don’t tailgate, abide by the speed limits, this is certainly a great option for them,” Ali added.

“So that basically is when you have a device put on your vehicle that allows or basically sends data back to your insurance provider regarding your driving behaviors,” said Ragina Ali, manager of AAA’s public and government affairs in Maryland and D.C.
Aaa paperless billing drivers#
Telematics programs offer insurance companies more insight into a driver’s habits to better assess risk by recording data from your car and can be used to provide discounts to drivers who avoid accidents and other dangerous situations, according to Bankrate. But AAA says you can save money by enrolling in a telematics program through your insurance company. You may have recently noticed the steep cost of car insurance policies.Įxperts blame it on inflation, supply shortages and expensive auto repairs.
