Do You Want the Good News or the Bad News??

The good news is that only 25% of consumers shopped their auto insurance in the last year. This is down from 33% for the prior year.

The bad news is that 43% of all those shoppers changed insurance carriers. To put it in a different perspective, almost 11% of all of the insurance buying public changed insurance companies last year.

This information came from JD Powers and Associates research paper of April 29, 2012. The full report can be seen at the JD Powers  website.

Even though fewer consumers are shopping their insurance, more are actually changing insurance carriers.

Some of reduction in shoppers may be attributed to the drop in cost savings by changing insurance companies. In 2011 the savings by changing insurance companies was around $412. That savings has dropped to $359.

All of this does not seem to be slowing down the amount of money that the insurance companies spend in trying to increase their market share. The industry spent an amazing $5.7 billion last year in advertising.

A couple of interesting items to note are that 52% of shoppers started their process online and 32% got all of their insurance quotes online. Last year 34% of insurance shoppers said they prefer to buy their insurance online.

For information on license training or insurance continuing education visit our website at www.itaamerica.com