Should You Change Car Insurance Companies?

Every year auto insurance premiums continue to climb, but is it always wise to change car insurance companies? How do you know whether it’s worth it to change providers? In this article we walk you through the complicated and personal decision of selecting a car insurance company.

Price Shopping

Even if you are happy with your car insurance company, you should plan to price shop at least every year. The price of insurance is constantly changing and each insurer prices their policies differently, so it’s always worth checking whether there are better prices for you. Most drivers don’t realize that prices may change significantly even if there is no change in their current situation or driving behavior! Be sure to set a calendar invite to remind yourself to price shop before your policy renews – it can be easy to forget.

How do I price shop?

In the past, price shopping consisted of entering your information with multiple different insurers and comparing prices one-at-a-time. This process was repetitive and burdensome. Now, however, the process of price shopping has gotten very easy with new online quoting engines. These comparison sites have made price shopping easy and significantly reduced the time it takes! Two of the most common quoting engines are PolicyGenius and The Zebra. Both have very easy to use interfaces and can get you a set of policy quotes in minutes.

The Zebra Change Car Insurance Portal
Screenshot of The Zebra’s easy to use portal.

An alternative to price shop is to buy car insurance through a broker. A broker’s job is to constantly price shop on your behalf and give you advice on whether you should switch your car insurance company. For more information on using a broker, see our article on the subject.

What else should drive your decision to change your car insurance?

While price is important, it is not the only thing worth considering when changing car insurance companies. There are three other things you should also consider:

  1. Policy Coverage
  2. Impact to Your Other Policies
  3. Customer Service

Let’s elaborate on these below:

1. Policy Coverage

When considering whether to change car insurance companies, you will need check the key terms of both your existing and new policies. Several terms are straightforward, including liability coverage, property coverage, collision, and comprehensive. What many drivers miss are the various other add-ons that many car insurance companies also offer. These add-ons vary by insurer and include many things you might find valuable, such as roadside assistance or providing a rental car in the event of an accident.

2. Impact to Your Other Policies

Bundling is the practice of an insurance company reducing the cost of insurance if you have multiple policies with them. For example, buying home and auto insurance from the same company. This practice is prevalent in the insurance industry and can be a great way to save money! When price shopping, however, you must consider whether switching your auto insurance company raises your price on other policies.

And if you have an umbrella insurance policy you must be extra careful! Many insurers will only sell you an umbrella policy if you also have your auto and home insurance policies from the same company. To fully understand the broader impact of changing your car insurance company you will likely need to call your existing auto insurer.

3. Customer Service

The day when you need to use your auto insurance will likely be one of the most stressful days of your life. On that day, you will hope that your insurance company has great customer service and will alleviate (not add to!) some of that stress. Luckily, JD Power conducts an annual survey on an insurer’s customer experience when policyholders make a claim (i.e. during an accident). JD Power’s survey includes many key components such as repair times and use of technology – things that will make your life easier.

While many of the largest insurance companies you know rank well, you may be surprised to see the top 3 names: Amica, NJM, and Eerie. The full results of the survey are below and may be helpful as you compare insurance options:

JD Power Auto Insurance Claims Satisfaction Chart

Is it difficult to change car insurance companies?

Not at all! Car insurance companies want your business and make it very easy to change your insurer. If you decide to change car insurance companies, work with your new insurer and they will make the process easy!


Car insurance is expensive and many policies are similar. It is likely that you’ll want to buy from an insurance company that offers you the best price. Without price shopping and soliciting new care insurance quotes, however, you will never know the best price or coverage for you!

Scroll to Top