A new survey from J.D. Power revealed that more than half (54%) of new buyers of auto insurance initiated their policy purchase by applying for an insurance rate quote online.
So clearly the trend is to research and compare rates online before speaking with a customer service representative or an insurance agent.
The insurance industry spent $5 billion on marketing and advertising last year, with the top four companies spending more than half of that figure!
More Consumers Switching
Of the insurance customers who said they shopped for insurance in 2011, 40 percent switched insurance companies, up from 33 percent in 2010.
That must mean there are some serious savings out there, so it always pays to shop around, even if it’s a pain in the you know what.
Companies like Esurance even provide a discount for switching auto insurance companies…
American Family Tops 2011 U.S. Insurance Shopping Study
The company was followed closely by Auto-Owners Insurance and Erie Insurance.
Mercury, Allstate, and Progressive were bottom dwellers, while Geico, State Farm, and Farmers were above the industry average.
Read more: Are online insurance quotes accurate?