A record 57% of U.S. drivers shopped for auto insurance in 2024, and shopping kept rising through 2025. But TransUnion found that 77% of shoppers compare only 1–2 carriers — meaning most drivers settle for a quote that's far from the best available. With full-coverage premiums averaging $2,144 and carriers competing aggressively, the right strategy can save $461 to $1,100 per year.
A record 57% of U.S. auto insurance customers shopped for a new policy in 2024 — the highest rate in the 19-year history of J.D. Power's insurance shopping study, up sharply from 49% the year before. Shopping kept climbing through 2025, with auto policy shopping rising another 10.6% year-over-year in Q4, according to TransUnion's Q1 2026 Personal Lines Trends report.
But here's what the headlines miss: most of those shoppers aren't getting the best deal available. According to TransUnion, 77% of auto insurance shoppers compare just one or two carriers before making a decision. That means millions of drivers are shopping — and still overpaying.
- 57% of drivers shopped for auto insurance in 2024 — an all-time high (J.D. Power)
- Auto shopping rose another 10.6% year-over-year in Q4 2025 (TransUnion)
- 77% of shoppers compare only 1–2 carriers, missing the best deals
- Full-coverage premiums dropped 6% in 2025 to an average of $2,144 per year (Insurify)
- Median annual savings from switching: $461; potential: up to $1,100/year (LendingTree, Insurify)
The Shopping Surge, by the Numbers
The scale of the shift is significant. The LexisNexis Insurance Demand Meter found that 47.1% of auto policies-in-force were shopped at least once in the 12 months ending Q4 2025 — a 5.9-point jump from Q4 2023. That's nearly half of all auto policies being actively reconsidered in a single year.
Shopping grew across all demographics, but seniors led the way. Drivers aged 66 and older showed the strongest quarterly year-over-year growth at 11% — a notable shift for a group that has traditionally been among the most loyal policyholders. Analysts say it reflects growing frustration with premium increases that finally crossed a pain threshold after years of rate hikes. For more context on the broader switching trend, see our earlier coverage of why more drivers are switching auto insurance.
Why 77% of Shoppers Underperform
Comparing one or two quotes is like checking one gas station and assuming you've found the best price in town. Car insurance rates vary dramatically between carriers for identical coverage — sometimes by $500 to $1,000 or more per year — because each insurer uses its own actuarial models and weights factors like your driving history, credit score, and ZIP code differently.
A LendingTree survey found that 92% of drivers who switched carriers saved money. The median annual savings was $461 — roughly $38 per month. Drivers who used aggregator platforms to compare five or more quotes before going direct to their top choices reported savings of $600 to $1,200 per year, according to Insurify data.
"An object with more inertia takes more force to get it to move. But you can eventually get it to move. That's what's happening with higher-value customers." — Stephen Crewdson, Managing Director for Global Insurance Intelligence, J.D. Power
What Is Driving the Shopping Surge
Three forces are converging to push shopping to record levels. First, rate fatigue: from 2022 to 2024, the national average full-coverage premium jumped 46%, according to Insurify. Drivers who weathered those increases for years are finally shopping for relief. J.D. Power's research found that even traditionally loyal bundled customers — those with both home and auto policies together — were shopping and switching at higher rates than ever before in 2024.
Second, a newly competitive market. Insurers cut rates in 2025, with the national average full-coverage premium falling 6% to $2,144, according to Insurify. Rates dropped in 39 states, with Wyoming, Iowa, and Arkansas posting decreases of more than 20%.
Third, an advertising blitz unlike anything the industry has seen. The Big Four insurers — State Farm, Progressive, GEICO, and Allstate — collectively spent nearly $8 billion on advertising in 2024, more than double their combined spend the year before, according to S&P Global. That ad spending is working: auto shopping through the direct channel (online and app) grew 12.6% year-over-year in Q4 2025, per TransUnion.
Carrier Comparison: Who Is Best for Your Driver Profile
Not all carriers are the best fit for every driver. Rates and strengths differ significantly based on your age, driving record, location, and coverage needs. Here's how the major carriers compare:
| Carrier | Best For | Avg. Full Coverage (2025) | Standout Feature |
|---|---|---|---|
| State Farm | Good drivers, students | ~$1,900/yr | Highest shopping satisfaction (J.D. Power) |
| GEICO | Budget shoppers, federal employees | ~$1,780/yr | Consistently competitive base rates |
| Progressive | High-risk drivers, SR-22 | ~$2,010/yr | Snapshot telematics; Name Your Price tool |
| USAA | Military, veterans, families | ~$1,450/yr | Lowest rates in the industry (members only) |
| Allstate | Bundlers, new drivers | ~$2,200/yr | Drivewise telematics; strong bundle discounts |
| Nationwide | Low-mileage drivers | ~$1,950/yr | SmartRide and pay-per-mile options |
| Travelers | Homeowners bundling | ~$1,890/yr | Strong home+auto bundle discounts |
| Erie Insurance | Midwest/East Coast drivers | ~$1,640/yr | Rate Lock option; high claims satisfaction |
Source: Insurify, based on 97M+ quotes analyzed through Q4 2025. Rates reflect averages for drivers ages 20–70 with clean records and average credit. Full coverage includes liability, collision, and comprehensive. Regional availability varies; USAA eligibility is restricted to military members and their families.
What You Should Do Now
The current market is one of the most favorable for shoppers in years — rates have dropped, carriers are competing aggressively for new business, and digital tools make comparison faster than ever. Here's the strategy that actually works:
Start 30–45 Days Before Your Renewal
Quotes are most accurate in this window, and insurers release their most competitive pricing when they know your renewal is approaching. Starting early also gives you time to verify quotes and avoid any coverage lapse.
Use an Aggregator to Compare at Least 5 Carriers
Sites like The Zebra, Insurify, and NerdWallet let you compare 8–10 quotes in one session. This is the step most shoppers skip. Only comparing 2 carriers puts you in the 77% who leave money on the table. Note which 2–3 come back the lowest.
Get Direct Quotes from Your Top 2–3 Options
Call or go online directly to finalize pricing with your top candidates. Direct quotes sometimes differ from aggregator estimates, and agents can apply additional discounts — employer groups, loyalty rates, and multi-policy pricing — not always captured in comparison tools.
Compare Coverage, Not Just Price
Know your current policy's liability limits and deductibles before you shop. Many drivers switch to a cheaper carrier without realizing they've reduced their coverage. Match or improve your existing coverage, then compare price — not the other way around.
Sign Up for Telematics to Unlock More Savings
All major carriers now offer telematics programs. Safe drivers typically save 10–30% off their premium. Progressive Snapshot even offers a discount just for enrolling, before you've driven a single mile — making it one of the lowest-risk ways to test additional savings.
A lapse in coverage — even one day — can raise your rates with your next carrier by 10–15%. Always confirm your new policy's start date aligns with your existing policy's cancellation date. Your new insurer will typically handle this coordination if you ask.
Looking Ahead: The 2026 Rate Outlook
For 2026, Insurify projects the national average full-coverage premium will tick up a modest 1% to $2,158. But that national figure hides major state-level variation — rates are expected to rise in 35 states and fall in 15. If you're in a state facing increases, acting before your next renewal is especially important.
The shopping surge itself shows no signs of slowing. TransUnion's analysis suggests record shopping rates represent a permanent behavioral shift, not just a reaction to 2022–2024 price spikes. Carriers are responding by spending more on customer acquisition and cutting rates to compete. That competition benefits shoppers — but only those who actually use it.
To see how average premiums vary where you live, explore our car insurance by state hub. If you're deciding whether to stay with or switch from a specific carrier, our GEICO auto insurance review is a good benchmark for what a competitive offer looks like.
Frequently Asked Questions
At least five. TransUnion found that 77% of shoppers compare only 1–2 carriers and miss the best deals available. Use an aggregator platform to get 8–10 initial quotes quickly, then get direct quotes from your top 2–3 options to confirm final pricing.
Start 30–45 days before your policy renewal date. Insurers release their most competitive pricing in this window when they know they might lose your business. Quotes pulled too early or too late tend to be less accurate and less favorable.
No. Insurance quotes use a soft pull on your credit, which does not affect your credit score. You can get as many insurance quotes as you like without any credit impact.
Not always. Bundle discounts typically range from 10–15%, but that doesn't guarantee the bundled total beats pricing home and auto separately with two different carriers. Always price both scenarios before deciding. If unbundling saves more, take it.
Telematics programs track your driving behavior through an app or plug-in device. Safe drivers typically save 10–30% on their premium. Progressive Snapshot, Allstate Drivewise, and State Farm Drive Safe & Save are the most widely available programs. If you drive safely and under average mileage, telematics is one of the fastest ways to cut your rate.
- J.D. Power — 2025 U.S. Insurance Shopping Study
- Insurance Journal — Property, Auto Insurance Shopping Up as Consumers Feel Economic Pressures (March 2026)
- LexisNexis Risk Solutions — Insurance Demand Meter
- Insurify — 2025 Auto Insurance Rate Report
- Insurance Journal — After Falling 6% in 2025, Average Auto Insurance Cost Will Stabilize in 2026, Says Insurify
- S&P Global — Progressive's Advertising Expenditure Hits Record High in 2024
- Bankrate — Why Even the Most Loyal Customers Are Shopping Around for Insurance
- TransUnion — Q1 2026 Insurance Personal Lines Trends and Perspectives Report