Study: Consumers Will Shop Around for Affordable Auto Insurance

A recent study finds that many consumers may be in a "hunker down mentality" when it comes to staying with their auto insurance company.

The study from J.D. Power and Associates reports that 28 percent of consumers report that they are currently in the market for a new auto insurance company - down from 36 percent last year. The company notes that the industry-wide customer retention rate for auto insurance is about 90 percent.

Jeremy Bowler of J.D. Power said that the economy is a significant reason for the trend, since along with trying to ride out the recession, many people are also staying with current providers because they tend to feel more secure with companies they already know.

That said, the study also finds that consumers are still willing to shop for new policies when it comes to saving money. The survey found that about a quarter of customers who cited money as a reason to change policies were motivated by a recent price increase.

Bowler also noted that consumers aren't motivated completely by prices, since they are also looking for auto insurance companies that will provide a high level of service.