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Most drivers think they pay too much for car insurance, and many take action by changing car insurance companies, according to a new survey by Forbes Advisor of 2,000 drivers who have car insurance.
The survey found that 58% say they overpay for auto insurance. Many of these drivers have compared prices from other auto insurance companies, and nearly a third have already changed insurers.
To what extent do you agree or disagree with the following statement: “I overpay for auto insurance”
Drivers get quotes and switch companies
Among respondents who believe they overpay for auto insurance, more than half (68%) have received auto insurance quotes within the past year. Of those who received quotes, 42% compared rates within the past six months. Men (84%) were more likely to compare car insurance rates than women (58%).
When was the last time you got auto insurance quotes to compare rates from other insurance companies?
And many drivers have changed to another insurance company: 29% said they changed car insurance companies in 2021 or this year.
Men are more willing to change car insurance companies than women. About a quarter (26%) of female drivers surveyed said they had never changed insurance companies compared to only 15% of men.
And 35% of men surveyed said they had changed insurance companies since the beginning of 2021. This compared to only 26% of women.
When was the last time you switched car insurance companies?
Why do drivers change car insurance companies?
The biggest reason for changing drivers for auto insurance companies is price. Among those who have changed insurance companies since 2020, 58% said they did so to save money. The second most likely reason is to get different coverage (19%).
Women (62%) were more likely to say they changed insurance companies because of price than men (52%). But men (24%) were more likely than women (15%) to switch for a different coverage.
Car insurance ads are all over TV and on the Internet. Advertisers won’t like one statistic from the survey results – only 2% of drivers said insurance company ads inspired them to change insurance companies.
What is the main reason to switch car insurance companies?
How much do drivers need to save on car insurance to switch?
Most drivers said they would switch companies to save money, but how much savings would be enough to justify switching an insurance company? More than half (62%) said they would need to save at least $200 annually to switch car insurance companies. Men were more likely than women to say they would need to save more money than women to switch businesses.
How much should you save annually in order to consider switching car insurance companies?
Saving money can be vital with rising inflation and the cost of living. Additionally, nearly half (47%) of consumers said their car insurance rates had recently increased at the time of renewal or when purchasing a new insurance policy.
The last time you renewed your auto insurance policy or bought a new one, did your insurance bill change?
When shopping for car insurance, it is wise to get quotes from several car insurance companies. Request quotes for the same level of coverage from each company so you can compare companies accurately. Most drivers (83%) who have shopped for an insurance policy in the past 24 months have received quotes from at least two insurance companies.
How many auto insurance rates have you compared?
Many drivers do not know that car insurance rates are free
One potential barrier to consumers shopping for coverage is the misconception that getting quotes costs money. About a quarter of respondents (27%) said that getting auto insurance quotes costs money either part-time or all-time. no.
More men than women wrongly believed that you should pay to get car insurance quotes:
- Half (50%) of men surveyed said they think you have to pay at least some time to get quotes compared to only 16% of women
- 61% of women correctly said you don’t usually have to pay to get quotes for car insurance. Only 36% of men know this.
Do you have to pay car insurance rates?
How can you save on car insurance?
As inflation swallows more of your paycheck, it’s wise to find ways to get more out of your dollar. One way to save on car insurance is to choose a car with low insurance costs if you are buying a car. For example, you’ll pay less for car insurance if you drive a Honda CR-V than a Tesla Model S..but most drivers said they weren’t willing to change vehicles for cheap car insurance. Only 37% said they would change vehicles to provide coverage.
Here are other ways to save on car insurance:
- Shop and get quotes from many car insurance companies. This will give you a better idea if you are overpaying.
- Choose a higher car insurance discount.
- Increase your auto insurance deductions by asking your auto insurance agent to review possible deductions.
- If you don’t drive often, consider switching to a pay-per-mile insurance policy.
- If you are a really good driver, ask your insurance company about usage-based auto insurance. These programs monitor your specific driving (such as speed and braking), calculate your driving score, and provide a potentially lower rate based on your score.
Related: Most expensive and least expensive cars to insure
This online survey of 2,000 American drivers who own a car and have auto insurance was conducted by Forbes Advisor and conducted by market research firm OnePoll, according to the Market Research Association’s Code of Conduct. Data were collected from May 20 to 21, 2022. The margin of error was +/- 2.2 points with a confidence of 95%. This survey was overseen by the OnePoll research team, which is a member of the MRS and has a joint membership in the American Association for Public Opinion Research (AAPOR). For a complete survey methodology, including geographic and demographic sample sizes, contact firstname.lastname@example.org.
Best car insurance companies 2022
With so many options for car insurance companies, it can be hard to know where to start finding the right car insurance. We’ve evaluated insurance companies to find the best car insurance companies, so you don’t have to.
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