58% of drivers think they pay too much for car insurance, 29% have recently changed companies – Forbes Advisor

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Most drivers think they’re paying too much for car insurance, and many are taking action by switching car insurance companies, according to a new Forbes Advisor survey of 2,000 drivers who have insurance. automobile.

The survey revealed that 58% say they pay too much for their car insurance. Many of these drivers compared quotes from other car insurance companies, and almost a third actually switched insurers.

To what extent do you agree or disagree with the following statement: “I paid too much for car insurance”

Drivers get quotes and switch companies

Among respondents who believe they are paying too much for car insurance, more than half (68%) have obtained car insurance quotes in the past year. Of those who got quotes, 42% compared rates in the last six months. Men (84%) were more likely to compare auto insurance quotes than women (58%).

When was the last time you got car insurance quotes to compare rates from other insurers?

And many drivers have changed insurance: 29% say they have changed car insurers in 2021 or this year.

Men are more likely to change car insurance companies than women. About a quarter (26%) of female drivers surveyed said they had never changed insurer, compared to only 15% of male drivers.

And 35% of men surveyed said they had changed insurance companies since the start of 2021. That’s compared to just 26% of women.

When was the last time you changed auto insurance companies?

Why do drivers change auto insurance companies?

The number one reason drivers switch car insurance companies is price. Of those who have changed insurers since 2020, 58% said they did so to save money. The second most likely reason was to get different coverage (19%).

Women (62%) were more likely than men (52%) to say they switched insurance companies because of price. But men (24%) were more likely than women (15%) to switch coverage.

Car insurance ads are everywhere on TV and online. Advertisers won’t like a single statistic from the survey results: just 2% of drivers said that an insurance company’s ads prompted them to switch insurers.

What was the main reason you changed car insurance companies?

How Much Should Drivers Save on Car Insurance to Switch?

Most drivers said they would switch companies to save money, but how much savings are enough to justify switching insurers? More than half (62%) said they would need to save at least $200 a year to switch car insurance companies. Men were more likely than women to say they would need to save more money than women to change companies.

How much should you save each year to consider switching car insurance companies?

Saving money could be vital as inflation and the cost of living soar. Additionally, nearly half (47%) of consumers said their auto insurance rates had recently increased at renewal time or when they purchased a new policy.

The last time you renewed your auto insurance policy or purchased a new policy, did your insurance bill change?

When shopping for auto insurance, it’s wise to get quotes from multiple auto insurance companies. Request quotes for the same level of coverage from each company so you can compare companies accurately. Most drivers (83%) who bought a policy in the last 24 months got quotes from at least two insurers.

How many car insurance quotes have you compared?

Many Drivers Don’t Know Car Insurance Quotes Are Free

A potential roadblock for consumers seeking coverage is the misguided belief that getting quotes costs money. Around a quarter (27%) of respondents said getting car insurance quotes costs money sometimes or all the time. This is not the case.

More men than women mistakenly thought you had to pay to get car insurance quotes:

  • Half (50%) of men surveyed said they believed you had to pay at least some of the time to get quotes, compared to just 16% of women.
  • 61% of women correctly said you don’t usually have to pay for car insurance quotes. Only 36% of men knew it.

Do you have to pay car insurance quotes?

How to save on car insurance?

With inflation swallowing up more of your paycheck, it’s prudent to find ways to get the most out of your dollar. One way to save on car insurance is to choose a low cost vehicle insurance if you are buying a car. For example, you’ll pay less for car insurance if you drive a Honda CR-V compared to a Tesla Model S. But most drivers said they were unwilling to switch vehicles for insurance. cheap car. Only 37% said they would switch vehicles to save on coverage.

Here are more ways to save on car insurance:

  • Shop around and get quotes from several car insurance companies. This will give you a better idea of ​​whether you are paying too much.
  • Choose a higher auto insurance deductible.
  • Maximize auto insurance discounts by asking your auto insurance agent to review possible discounts.
  • If you don’t drive a lot, consider switching to a per-mile insurance policy.
  • If you’re a very good driver, ask your insurer about usage-based car insurance. These programs monitor your specific driving (such as speed and braking), calculate a driving score, and provide a potentially lower rate based on your score.

Related: The most expensive and cheapest cars to insure

Survey methodology

This online survey of 2,000 US drivers who own a car and have auto insurance was commissioned by Forbes Advisor and conducted by market research firm OnePoll, in accordance with the Market Research Society’s Code of Conduct. Data was collected May 20 and 21, 2022. Margin of error is +/- 2.2 points with 95% confidence. This survey was overseen by the OnePoll research team, a member of the MRS and a member of the American Association for Public Opinion Research (AAPOR). For full survey methodology, including geographic and demographic sample sizes, contact pr@forberadvisor.com.

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Justin D. O'Neill