The average American driver hasn’t shopped around for car insurance since 2003, a new study shows.
With the average driver being under the same policy with the same company for 12 years, 1 in 4 haven’t seen a change in more than 16 years, and 7 percent have stuck with the same company for more than 30 years.
“Americans may think loyalty pays off, but when it comes to insurance, that’s not always the case,” Laura Adams, InsuranceQuotes.com’s senior analyst, said in a press release. “If you haven’t shopped for auto insurance since the ’90s, it’s probably safe to say that you’re not getting the best deal.”
Adams says that most people make the mistake of shopping around for rates when they buy a new car, but rates fluctuate all the time and you don’t need to wait for your renewal date to switch companies or policies.
The issue seems to be education. The study says that 46 percent of Americans don’t know that you can switch companies at any time. Also, many drivers find the process of shopping around or switching too time consuming (62 percent), frustrating (44 percent) and complicated (40 percent).
Adams recommends shopping around for car insurance at least once a year to make sure you’re getting the best deal.