More drivers drop vehicle insurance to cope with recession

A growing number of drivers are said to be dropping their vehicle insurance in an attempt to save money during the recession.

According to KARK-4 News in Arkansas, one longtime agent estimates that instead of simply seeking vehicle insurance, up to 15 to 20 percent of his clients have let their premiums lapse. "It's been a shock. I thought we were somewhat in a recession-proof business because it's required for everyone to have," Chris Pringle told the television station, going on to say that many other customers are currently shopping around for the lowest rates they can find.

The station also noted that Little Rock police have ticketed 713 drivers this year alone for failing to provide proof of insurance, compared to 720 for all of 2008. A recent report in USA Today also notes that many people may consider dropping insurance policies as a way to survive the recession. Instead though, the newspaper suggests that shopping around for the lowest-priced policies makes better sense in the long run because of the risks of not having insurance.

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