Auto insurance

92% of policyholders who recently switched auto insurance companies saved money, but most don’t ask for additional quotes

The vast majority of policyholders who change auto insurance company save money (92%). And those potential savings can be significant, with 26% of policyholders saving $200 or more per year after switching their auto insurance coverage to a new provider (more on that later).

But despite this, most policyholders (65%) do not get outside quotes for comparison purposes when their car insurance policies need to be renewed. By region, a higher percentage of policyholders in the North East (70%) and West (69%) do not shop.

Age also appears to play a role in the likelihood that a person shop around for better car insurance rates. Baby boomers – ages 57 to 76 – are more likely not to shop for a lower rate until their policy renews at 77%. Here is an overview:

Even more striking, only 48% of consumers whose car insurance premiums increased during their last renewal sought lower insurance premiums. This means that the majority did not take the time to compare insurance companies, even after their rates increased.

When policyholders purchase additional quotes after a rate increase, they approach the process differently. Here’s how their last renewal went:

  • 28% checked rates with only one other insurance company

  • 13% got quotes from two insurers

  • 7% made an effort to obtain three or more quotes from competing insurers

Interestingly, most policyholders (80%) stayed with their original insurer even after looking for a lower rate. In fact, 89% of consumers whose price increased stayed with the same car insurer.

This is a graphic on the change of insurer

{“backgroundColor”:”white”,”content”:”u003C/pu003Ennu003Cpu003EThe vast majority of policyholders who u003Cspanu003Eu003Ca class=”ShortcodeLink–root ShortcodeLink- -black” title=”Switching car insurance companies: when and how to do it” href=”https://www.valuepenguin.com/switching-car-insurance-companies-when- you- should-do”u003Swap car insurance companyu003C/au003Eu003C/spanu003E to save money (92%). And those potential savings can be significant, 26% of policyholders saving $200 or more one year after switching auto insurance coverage to a new provider (more on that later).u003C/pu003Ennu003Cp u003EBut despite this, most policyholders (65%) do not get outside quotes for comparison when their car insurance policies need to be renewed.By region, a higher percentage of policyholders in the North East (70%) and the Oue st (69%) do not shop.u003C/pu003Ennu003Cpu003EAge also appears to play a role in the likelihood that a person u003Cspanu003Eu003Ca class=”ShortcodeLink–root ShortcodeLink–black” title=”Compare auto insurance quotes online” href=”https://www.valuepenguin.com/auto-insurance “u003Shop around for better car insurance rates car insuranceu003C/au003Eu003C/spanu003E. Baby boomers aged 57-76 are more likely not to shop for a lower rate until their policy renews at 77%. Here is an overview:u003C/pu003Ennu003Cpu003Eu003Cdiv class=”ShortcodeImageResponsive–root”u003En u003Cfigure class=”ShortcodeImage–root” u003E n u003Cpicture class=”ShortcodeImage–picture”u003En u003Csourcen media=”(max-width: 607.5px)”n data-srcset=”https:/ /res .cloudinary.com/value-penguin/image/upload/c_limit,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-gen-m_nvdz8t 1x, https: // res.cloudinary.com/value-penguin/image/upload/c_limit,dpr_2.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-gen-m_nvdz8t 2x”n/ u003En u003Cimg alt=”This is a graph about comparing car insurance quotes, by generation” class=”lazyload” data-src=”https://res.cloudinary .com/value-penguin/image/upload/c_limit,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-gen_lijg8j” src=”https:// res .cloudinary.com/value-penguin/image/upload/c_limit,dpr_2.0,e_blur:1000,f_auto,h_1600,q_1,w_1600/v1/auto-insurance-gen_lijg8j” data-srcset= “https://res.cloudinary.com/value-penguin/image/upload/c_limit,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto- insurance-gen_lijg8j 1x , https://res.cloudinary.com/value-penguin/image/upload/c_limit,dpr_2.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance -gen_lijg8j 2x “u003En u003C/pictureu003En u003C/figureu003Enu003C/divu003Enu003C/pu003Ennu003Cp u003Even more strikingly, just 48% of consumers whose auto insurance premiums went up during their last renewal sought lower insurance premiums. This means that the majority did not take the time to compare insurance companies even after their rates increased. the process differently. Here’s how their most recent renewal went:u003C/pu003Ennu003Cpu003Eu003Cdiv class=”ShortcodeList–root “u003Enn u003Cdiv class= “ShortcodeList –content ShortcodeList–content-margin”u003En u003Cdiv class=”ShortcodeList–column”u003En u003Cul class=”ListUnordered–root ListUnordered–bullet” u003E n u003Cli class=”ListUnordered–list-item”u003En 28% verified rates with only one other insurance companyn u003C/liu003En u003Cli class =”ListUnordered–list -item”u003En 13% got quotes from two insurersn u003C/liu003En u003Cli class=”ListUnordered–list-item” u003En 7% made an effort to obtain three or more quotes from competing insurersn u003C/liu003En u003C/ulu003En u003C/divu003En u003C /divu003Enu003C /divu003Ennu003C/pu003Ennu003Cpu003Eu003Cdiv class=”ShortcodeBorder–root ShortcodeBorder–with-padding “u003Eu003C/pu003E nnu003Cpu003EInteresting fact , most policyholders (80%) stayed with their original end carrier even after shopping around for a lower rate. In fact, 89% of consumers whose rate increased stayed with the same auto insurer. n nu003Cpu003Eu003Cdiv class=”ShortcodeImageResponsive–root”u003En u003Cfigure class=”ShortcodeImage–root”u003En u003Cpicture class=”ShortcodeImage–image “u003En u003Csourcen media=”(max width: 607.5px)”n data-srcset=”https://res.cloudinary.com/value-penguin/ image/upload/c_limit,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-insurer-m_kei23o 1x, https://res.cloudinary.com/value-penguin /image /upload/c_limit,dpr_2.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-insurer-m_kei23o 2x”n/u003En u003Cimg alt=”This is a graph about insurer change” class=”lazyload” data-src=”https://res.cloudinary.com/value-penguin/image/upload/c_limit ,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-insurer_xazxfo” src=”https://res.cloudinar y.com/value-penguin/image/upload/c_limit,dpr_2.0,e_blur:1000,f_auto,h_1600,q_1,w_1600/v1/auto-insurance-insurer_xazxfo” data-srcset= “https://res.cloudinary.com /value-penguin/image/upload/c_limit,dpr_1.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-insurer_xazxfo 1x , https://res.cloudinary.com/value-penguin/image/upload/c_limit,dpr_2.0,f_auto,h_1600,q_auto,w_1600/v1/auto-insurance-insurer_xazxfo 2x “u003En u003C/pictureu003En u003C/figureu003Enu003C/divu003Enu003C/pu003Ennu003Cpu003E”,” padding”:”double”}