With more people on the road, the cost of car insurance is rising. In addition to inflation, the price of car parts has increased as well, so premiums are rising as well. As a result, more accidents mean higher costs for car insurance. This trend is expected to continue through 2022. What can you do to reduce your premiums? Increase your deductible, decrease your coverage or both. If you can't afford to increase your deductible, consider lowering your coverage.Auto insurers have been raising their rates because of soaring costs of repairs, replacements and rentals. Some insurers are raising their premiums by six to eight percent, and others are asking for double-digit increases. These rate hikes are part of a pattern where higher costs lead to higher prices, as businesses are adjusting their prices to cover the costs of higher costs. This is especially true for auto insurers, which struggled in the second half of 2021. Several of them outlined plans to increase rates to cover their losses.The increase in rates was the largest in the Rocky Mountains, while the lowest increases were in New England and the Southwest. The reason for the high price difference is complicated. Several factors are at play, including shortages of parts and labor, more accidents, a smaller number of rental cars, and the cost of living in different regions. The cost of car insurance is not uniform across the country; every ZIP code has its own rate structure.