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How will tariffs affect home, car insurance prices?

'You've got the cost of materials like lumber and drywall, which are imported goods,' Mark Friedlander at the Insurance Information Institute says
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WEST PALM BEACH, Fla. — WPTV continues to track how the tariffs may affect you and your money.

On Tuesday, we looked at the impact on home and car insurance costs in Florida and whether premiums could rise.

WATCH BELOW: How tariffs could affect insurance prices

How will tariffs affect home, car insurance prices?

There are a lot of factors that go into the cost of insurance: the risk from weather, inflation and now we may have to add tariffs.

"When we talk about the tariffs, the terms we like to use are economic dislocation," Mark Friedlander at the Insurance Information Institute told WPTV on Tuesday.

Friedlander discussed what tariffs may do to homeowners insurance because of higher prices.

"You've got the cost of materials like lumber and drywall, which are imported goods, and also furnishings, and other materials inside your home, appliances, furnishings, clothing, as we know most of it is manufactured outside the U.S.," Friedlander said.

WATCH BELOW: Mark Friedlander outlines how tariffs could impact home construction costs

How could tariffs impact home construction costs?

No one knows yet how high premiums may go, but the National Association of Home Builders estimated the tariffs could raise home construction costs by $3 billion unless there are exemptions.

But how will tariffs impact car insurance costs?

"We believe the tariffs will be more noticeable to drivers and their auto insurance policies than homeowners and their homeowners policies," Matt Brannon at Insurify told WPTV. "That's because the U.S. is more reliant on foreign nations for auto parts."

Brannon said Insurify estimates the tariffs, if they are enacted, could force auto insurance costs to rise three to four times faster.

Matt Sczesny is determined every day to help you find solutions in Florida's coverage collapse. If you have a question or comment on homeowners insurance, you can reach out to him any time.
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