North Carolina drivers will see their auto insurance rates decrease by 0.1% in 2025, making it the only state to experience a drop in rates this year, according to Lending Tree’s State of Auto Insurance 2025 report. But the report also says rates could spike in 2026. Here’s why.

Dropping comprehensive and collision coverage can cut costs — but is it an option for you? And should you do it?

Costlier cars or auto parts can increase claims costs, which take time to filter through to car-insurance rates.