Although auto insurance shopping volumes have been steadily increasing in recent years, customer loyalty to specific insurance brands has been largely dismissed, a new report by LexisNexis Risk Solutions found.
LexisNexis examined 3.5 billion consumer shopping transactions since 2009 to prepare its report, identifying any key trends throughout the years that could help insurers better sell their products.
“When it comes to buying insurance, today’s consumers no longer exhibit the brand loyalty of even a decade ago,” the data aggregation company commented on its report.
LexisNexis attributed this decrease in brand loyalty to the continued investment in insurer ad spending, plus the ability to easily quote through websites, apps, and comparative ratings sites – all these factors “empowered consumers to shop and switch their insurance more quickly and easily than ever before.”
Some important findings of the report include:
- Insurance shopping volumes have grown each year since 2009
- 75% of households have shopped for auto insurance within the last five years
- Nearly 40% of all households have shopped for auto insurance within the last year
- Homeowners are three times more likely to shop for auto insurance when they list their house for sale
“Consumers are shopping insurance with greater frequency,” LexisNexis summarized in its report. “Even traditionally stable, high-value consumers are shopping at higher rates. This gives [insurers] the opportunity to make [their] offerings shine to a larger, more diverse and more active market.”