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As Premiums Increase, Nearly 70% of Americans Are Reviewing Their Insurance Policies

New Survey from Trusted Choice® Reveals Consumer Uncertainty and Behavior on Insurance Coverage.

ALEXANDRIA, VA (December 12, 2023) – Extreme natural disasters. Daunting supply chain challenges. Surging inflation. Runaway litigation. Soaring reinsurance costs. These compounding challenges are profoundly affecting Americans' insurance premiums in unprecedented ways. According to a new survey released today by Trusted Choice—the national consumer brand representing the members of the Independent Insurance Agents & Brokers of America (the Big “I")—a full one-third of Americans (32.8%) say they are unaware that external economic factors are affecting insurance rates. Over two-thirds (69.3%) have put their insurance policies under review, with nearly half (45.8%) citing rising premiums as the catalyst.

"Consumers are grappling with increased insurance costs, yet many of them don't realize the extent that economic pressures and market dynamics are affecting their rates," said Charles Symington, Big "I" president & CEO. "Because independent insurance agents work with multiple insurance companies, they are uniquely positioned to work with consumers to help them take a good hard look at their policies, offer various coverage solutions and approach the challenging market with a holistic perspective to help ensure their clients aren't left vulnerable."

Among the study's key findings:

  • Higher Deductibles: 46.6% of Americans have considered or already taken a higher deductible to save money on insurance
  • Going Uninsured: 22% have considered going uninsured to save money
  • Making a Switch: 83% would switch insurance providers for lower cost premiums, while 59.5% would switch for better coverage
  • Call My Agent: 56.3% buy insurance through an insurance agent versus 36.3% who buy online through an insurance company's website



 "We acknowledge that the current environment is prompting consumers to opt for higher deductibles, switch coverage solely based on cost, or even go uninsured. However, these are not often the wisest or most effective strategies," said Kevin Brandt, executive director of Trusted Choice. "It's crucial for consumers to ask the right questions, engage in close collaboration with their independent insurance agents, and learn about what's affecting their coverage. At this time, it's more important than ever to work with an agent who offers choice, solutions, and advocates for their clients so policyholders can be empowered to make informed decisions to chart a path forward."

In the face of the changing and complex insurance landscape, consumers are encouraged to take an active role in safeguarding their financial well-being. Trusted Choice recommends that individuals stay in touch with their agents not only to ask questions to assess their current coverage, but also to inquire about current market dynamics, evolving premium pricing, and seek guidance on optimizing their insurance portfolios. This proactive approach helps consumers make informed decisions aligned with their unique needs and financial goals.

“During periods of increased uncertainty, people need to review their coverage wisely. Having the right professionals by your side is crucial in navigating through these turbulent times," added Symington. “Independent agents bring added value, fostering genuine connections with their clients and the communities they work in. They offer personalized guidance, unwavering customer support, and a diverse range of options from multiple carriers—all geared toward prioritizing the unique needs of their clients above all else."

To learn more about the survey or to find a Trusted Choice independent agent, visit www.trustedchoice.com

Methodology

National survey via mobile targeting ages 25+ who have home, auto and/or business insurance.

About Trusted Choice® and the Big “I"

Trusted Choice® is the national consumer brand representing the members of the Independent Insurance Agents & Brokers of America (the Big “I"). Founded in 1896, Big “I" is the nation's oldest and largest national association of independent insurance agents and brokers. Trusted Choice independent agents offer consumers all types of insurance—property, casualty, life, health, employee benefit plans and retirement products—from a variety of insurance companies. There are over 25,000 member agencies nationally offering customized advice and solutions to families and businesses. Learn more at trustedchoice.com and independentagent.com.

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Alexandria VA 22314
​phone: 800.221.7917
fax: 703.683.7556
email: info@iiaba.net

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