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Shopping for Cheaper Insurance Rates at All-Time-High

Man's hands holding binoculars on squash colored background indicating searching for cheaper insurance rates

More Americans are looking to unbundle their home and auto insurance to find cheaper alternatives than ever before, according to a recent report from J.D. Power.

Auto insurance costs surged 14.5% in February, growing two times faster than inflation's 6% rise. The search for cheaper insurance is why 42% of survey participants said they shopped for new plans, and 41% noted it was because their rate had increased by 20% or more.

Usage-Based Plans vs. Bundling

For decades, bundling auto and homeowners insurance has been appealing to consumers as it offered cost savings. The recent surge in prices in auto insurance, however, is forcing many to consider usage-based insurance (UBI) instead.

Homeowners Insurance Search Increases Too

A recent TransUnion report has shown that shopping homeowners insurance has increased as well, likely due to the unbundling surge. Many homeowners have felt that if they are looking for new auto coverage, they should see if there are lower costs on their homeowners as well.

TransUnion also