One in three US drivers drove uninsured at some point last year, according to a Coverage Professor survey of 1,000 licensed drivers.
The findings point to a deepening affordability problem with direct implications for brokers. Clients who lapse, downgrade, or cancel coverage represent both an E&O risk and a re-engagement opportunity. Agents who identify the warning signs early are better positioned to intervene before a policy falls off entirely.
The survey found 56% of drivers delayed a renewal or missed a payment in the past year. An additional 32% canceled a policy outright to cut costs. Among those who reduced or dropped coverage, 44% cited premium increases as the primary reason.
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The Zebra projects the average US driver will pay $2,256 annually in auto insurance premiums in 2026. Americans are spending 2.6% of annual income on auto insurance. The Zebra warned that if the economy weakens, some drivers may forego coverage altogether.
The financial pressure is forcing trade-offs with basic necessities. Drivers who dropped insurance redirected the money toward groceries (45%), rent or mortgage payments (41%), and utilities (37%). On the other side, 37% cut back on groceries and 34% took on a second job or side hustle to afford premiums.
High earners are not immune. Nearly half (47%) of drivers earning more than $100,000 annually canceled a policy at some point, more than middle-income (31%) and low-income drivers (29%). Among the high-income group, 60% said rising premiums drove the decision.
The Insurance Research Council found the share of uninsured drivers rose from 11% to 14% between 2019 and 2022, continuing a trend that predates the Coverage Professor survey. That growth cost insured motorists $16 billion in uninsured motorist coverage, according to Answer Financial.
Social attitudes are also shifting. Three-quarters of respondents (76%) said going without coverage is becoming more socially acceptable. Around 23% said they personally know friends or family who have done so, with acceptance rates between 73% and 78% across all income brackets.
Among uninsured drivers, 49% said they drove more cautiously without coverage, while 40% reported feeling anxious behind the wheel. At the same time, 61% said they engaged in behaviors they later regretted. Those included phone use while driving (17%) and speeding or aggressive driving (14%).
Drivers take on more risk to manage costs
The affordability squeeze is also showing up in coverage choices. The share of policies with deductibles of $1,000 or higher climbed from 23% in 2022 to 33% in 2025. Households are taking on greater risk retention to keep premiums affordable, a pattern LexisNexis described as a market where brokers face clients who are "both more cost-conscious and more willing to move."
Younger drivers showed the highest risk tolerance. Among Gen Z and millennial respondents, 61% said they were more willing to take chances with their coverage to manage their budgets. That share was higher than any other age cohort.
Renewals emerge as a key pressure point
The data signals the value of proactive outreach before renewal deadlines. Nearly half (48%) of new auto policies are now bought online, up from 36% five years ago per JD Power's 2026 study. The annual shop rate hit a record 47.3%, with clients pulling an average 3.5 quotes.
Missed or delayed payments are often the first indicator of a lapse in progress. Agents with visibility into client payment behavior have the clearest window to act before a policy is lost.
