The Insurance Research Council says several factors are associated with state-to-state differences, including economic conditions, insurance costs, and state insurance laws and regulations. The result is a system in which uninsured driving can remain undetected until a collision occurs. The NAIC reported that the countrywide average auto insurance expenditure was $1,281 in 2023, up 13.98% from the previous year. Public revenues covered roughly 9% of all motor vehicle crash costs in 2019, amounting to about $30 billion, or $230 in added taxes for every U.S. household. A driver may technically comply with state insurance requirements and still carry limits too low to cover serious injuries, medical bills, lost income, or long-term care.