John Velasco, the Senior Editor at Tom's Guide, reported that his car insurance premium increased from $595 in 2021 to $895 in 2025 despite no major changes to his vehicle. He made this statement on X on February 22.
"The only thing that's changed is that my car's 4 years older," said Velasco.
According to New Jersey 101.5, car insurance premiums in New Jersey have risen sharply, with insurers implementing an average increase of 17.2% in 2025. This follows a double-digit percentage hike in 2024 and a 6% increase in 2023. The average annual cost of auto insurance in the state is projected to reach nearly $2,400.
John's X post
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Agency Forward reports that third-party litigation funding (TPLF) allows outside investors to finance lawsuits in exchange for a share of settlements, increasing litigation and financial strain on insurers. This drives up premiums and reduces coverage availability as carriers pass rising legal costs onto policyholders. Between 2018 and 2023, litigation management expenses for the Property & Casualty industry surged by 19%, adding $4-5 billion in costs.
Florida has successfully implemented legal reforms aimed at curbing litigation abuse, particularly through measures restricting the "assignment of benefits" (AOB) scheme, which was widely exploited to drive up insurance claims and legal costs. As a result, the state has seen notable improvements in its insurance market, with Citizens Property Insurance Corp. announcing an average rate reduction of 5.6% for 2025. These changes have also contributed to a decrease in litigation-related expenses for insurers, proving that addressing systemic legal inefficiencies can yield tangible benefits for both providers and consumers, according to The James Madison Institute.
According to his X profile, Velasco is a retired YouTuber and Senior Editor at Tom’s Guide with extensive experience in consumer technology journalism. He is also the co-founder of Red Bank Pulse and has previously worked for major tech publications including Spy.com, Digital Trends, PhoneArena, Android Authority, and VR Source.