--- title: Drivers Are Shopping Around for Cheaper Car Insurance as Premiums Soar description: According to J.D. Power, auto insurance prices are up 14.5% — and as a result, drivers have begun "shopping around" to save money. authors: - name: Pete Grieve role: Lead News Reporter url: https://money.com/author/pete-grieve/ bio: Pete Grieve is a personal finance reporter. In his time at Money, Pete has covered everything from car buying to credit cards to the housing market. education: University of Chicago, BA Political Science at_money_since: 2022 articles: 597 covers: - Insurance - Banking - Business - Career Advice - Credit - Credit Cards - Debt - Economy and Politics - Education - Health and Wellness - Housing - Identity Theft - Investing - Lifestyle - Loans - Mortgages - Personal Finance - Professional Services - Retirement - Shopping - Taxes social: - https://twitter.com/pete_grieve - https://linkedin.com/in/pete-grieve-b5aa02138 - https://www.facebook.com/petegrieve4 published: '2023-04-27T19:44:09.000Z' modified: '2024-02-29T16:32:23.000Z' section: Insurance tags: - News word_count: 377 canonical: https://money.com/shop-around-cheap-car-insurance/ type: NewsArticle source: structured-blocks --- > **Disclosure:** We research all brands listed and may earn a fee from our partners. Research and financial considerations may influence how brands are displayed. Not all brands are included. [Learn more](https://money.com/page/disclaimer/). ![Hands holding small car with insurance shield graphics in the background](https://img.money.com/2023/04/News-People-Shopping-Car-Insurance.jpg) As [car insurance](https://money.com/best-auto-insurance/) premiums soar, customers are increasingly shopping around and switching companies in search of better deals. According to a [report](https://www.jdpower.com/business/press-releases/2023-us-insurance-shopping-study) released Thursday by J.D. Power, a consumer insights company, auto insurance prices were up 14.5% in the past year as of February — more than double the overall [inflation rate](https://money.com/march-2023-inflation-interest-rates-market/) in the economy. Insurers are [hiking premiums](https://money.com/why-auto-insurance-prices-higher/) as they deal with rising car repair costs, expensive medical care prices and high numbers of serious accidents. As a result, when customers are coming up for renewal on their insurance policies, they’re becoming more likely to experience sticker shock — and feel motivated to look for options with other insurers. “Auto insurance customers are starting to shop for insurance like they shop for gas,” Stephen Crewdson, senior director of insurance business intelligence at J.D. Power, said in the report. ## What the research says Higher prices are driving customers to look for savings with different auto insurance companies. - In March, 4.1% of auto insurance customers said they had switched insurers in the past quarter. That's up from an average of 3.4% in 2021, according to J.D. Power. - The percentage of customers who said they [shopped around for insurance](https://money.com/compare-car-insurance-rates/) — meaning they compared various companies to find the cheapest offer — was 13.1% in March: the highest level in nearly two years and well above the 2021 average of 11.4%. - The new consumer habit of shopping around for [car insurance](https://money.com/best-cheap-car-insurance/) is also impacting companies' performance. - J.D. Power reported that Geico in particular has aggressively raised prices in recent months. It may be part of the reason why Progressive leaped over the company to become the second-largest [auto insurer](https://money.com/how-much-is-car-insurance/) in the U.S. (State Farm is No. 1.) ## Bottom line Rising auto insurance prices are chipping away at Americans’ budgets and making consumers more conscious of how much they’re spending. The average driver spent $197 per month on auto insurance in March, up from $184 a year ago, according to the [Federal Reserve](https://fred.stlouisfed.org/series/PCU9241269241261). And auto coverage isn’t the only form of insurance that’s getting way more expensive in 2023: [Home insurance premiums](https://money.com/home-insurance-costs-rise-2023-forecast/) are expected to go up 9% this year after prices rose 7% in 2022, according to a recent report from Insurify, a Massachusetts-based insurance marketplace. ## **More on Car Insurance** | | | --- | | **Money’s Top Picks** [8 Best Car Insurance Companies of 2024](https://money.com/best-auto-insurance/) [6 Best Commercial Auto Insurance Companies](https://money.com/best-commercial-auto-insurance-companies/) [7 Best Car Insurance Companies in Florida](https://money.com/best-car-insurance-florida/) **Car Insurance Reviews** [CURE Auto Insurance Review](https://money.com/cure-auto-insurance-review/) [AAA Auto Insurance Review](https://money.com/aaa-auto-insurance-review/) [Lemonade Car Insurance Review](https://money.com/lemonade-car-insurance-review/) **Learn More** [How to Lower Car Insurance Premiums](https://money.com/how-to-lower-car-insurance-premiums/) [Tips for First-Time Car Insurance Buyers](https://money.com/tips-for-first-time-car-insurance-buyers/) [How Does Car Insurance Work?](https://money.com/how-does-car-insurance-work/) | ```json { "@context": "https://schema.org", "@graph": [ { "@type": "BreadcrumbList", "@id": "https://money.com/shop-around-cheap-car-insurance/#breadcrumb", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://money.com" }, { "@type": "ListItem", "position": 2, "name": "Insurance", "item": "https://money.com/insurance/" }, { "@type": "ListItem", "position": 3, "name": "Car Insurance", "item": "https://money.com/car-insurance/" }, { "@type": "ListItem", "position": 4, "name": "Drivers Are Shopping Around for Cheaper Car Insurance as Premiums Soar" } ] }, { "@type": "WebSite", "@id": "https://money.com/#website", "url": "https://money.com", "name": "Money", "publisher": { "@id": "https://money.com/#organization" } }, { "@type": "WebPage", "@id": "https://money.com/shop-around-cheap-car-insurance/#webpage", "url": "https://money.com/shop-around-cheap-car-insurance/", "name": "Drivers Are Shopping Around for Cheaper Car Insurance as Premiums Soar", "isPartOf": { "@id": "https://money.com/#website" }, "datePublished": "2023-04-27T19:44:09.000Z", "mainEntity": { "@id": "https://money.com/shop-around-cheap-car-insurance/" }, "inLanguage": "en-US", "breadcrumb": { "@id": "https://money.com/shop-around-cheap-car-insurance/#breadcrumb" }, "dateModified": "2024-02-29T16:32:23.000Z" }, { "@type": "NewsArticle", "headline": "Drivers Are Shopping Around for Cheaper Car Insurance as Premiums Soar", "articleSection": "Insurance", "image": [ { "@type": "ImageObject", "url": "https://img.money.com/2023/04/News-People-Shopping-Car-Insurance.jpg", "width": 2880, "height": 1920, "caption": "News-People-Shopping-Car-Insurance" } ], "author": [ { "@type": "Person", "name": "Pete Grieve", "url": "https://money.com/author/pete-grieve/", "@id": "https://money.com/author/pete-grieve/#author", "description": "Pete Grieve is a personal finance reporter. 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