Auto Insurers Lose Loyals
Shopping surge for better premiums seen, even among longtime policy holders

Shopping for auto insurance rose 18% in the second quarter, double the bump among home insurance shoppers.
Pexels/Jonathan Cooper
Auto insurance policy holders appear to be getting less loyal as premiums increase, new data show.
A TransUnion survey found that 42% of shoppers in the segment switched insurers in the past year and a half, and a quarter of those who switched in the past six months left insurers they’d been with for six years.
Baby boomers and members of generation X made up the greatest number of the formerly longtime customers who switched loyalties, TransUnion said.
Shopping for auto insurance rose 18% year-over-year in the second quarter, double the bump among home insurance shoppers, the consumer credit reporting agency said.
“It’s possible that we’ll see the growth in auto insurance shopping continue to decline as many consumers have already secured lower premiums,” said Patrick Foy, senior director of strategic planning for the company’s insurance business.
“However, property insurance premiums continue to rise, so consumers will likely shop for less expensive alternatives. That may also prompt many to shop for auto insurance because for many customers, bundled policies remain key to overall savings.”
Insurers could increase loyalty by reaching out to policy holders when they get quotes from competitors or approach life changes, such as shopping for new vehicles, TransUnion advised.
Originally posted on F&I and Showroom
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