High gas prices and other inflation issues have caused more drivers to search for new auto insurance in an attempt to lower their rates, according to a recent report from JD Power.
The rate at which drivers were given new auto insurance quotes increased by 11.8% in the second quarter of 2022, and the switch rate increased by 3.6%, according to JD Power’s Quarterly Shopping List Report.
“Even some of the top carriers are taking extra measures to stay profitable in this challenging environment,” JD Power stated in its report.
Car insurance companies with the highest levels of loyalty included Amica, USAA, Erie, NJM and MAPFRE. On the other side, providers with lower loyalty rates included Kemper, Progressive, ACG, National General and GEICO.
If you are looking for ways to lower your auto costs, you could consider switching your insurance coverage provider. Visit Credible to find your personalized car insurance quote without affecting your credit score.
66% OF AMERICANS REDUCE DRIVING AMID HIGH GAS PRICES: SURVEY
Consumers consider usage-based auto insurance
As consumers consider switching their auto insurance, they are looking to change their premium type to one with a usage-based program, the report said.
“As consumers search for lower premiums they are increasing turning to usage-based insurance programs to help alleviate the increased mobility costs,” JD Power said. “Since LIST began tracking both shopping and overall usage of UBI, we’ve seen a steady increase in adoption, particularly by those in the lower self-reported credit tiers, a trend that is likely to continue as macroeconomic pressures continue to impact consumers – those particularly who are price-sensitive.”
Over the first quarter, there was a