auto dealer in black and red logo
MenuMENU
SearchSEARCH

Consumers Trying to Keep Down Insurance Costs

Though rates may be stabilizing, many pay out of pocket for repairs, shop for new carriers.

August 20, 2024
Consumers Trying to Keep Down Insurance Costs

The number of consumers shopping for new insurance was up 7% year-over-year in the second quarter, despite rates being flat.

Credit:

Pexels/Sindre Fs

2 min to read


With the cost of auto insurance on the rise in recent years, along with car prices and other expenses, consumers are employing all the avenues they can to save money on the necessity.

A LendingTree survey of 2,000 U.S. consumers found that more than a third have opted to pay out of pocket for repairs due to collisions or other incidents. The poll further revealed that 24% have regretted filing an auto insurance claim.

Meanwhile, the number of consumers shopping for new insurance keeps increasing, up 7% year-over-year in the second quarter and setting a record for the second straight quarter, according to TransUnion. That’s despite the Consumer Price Index for auto insurance being flat in May after steady increases since late 2021.

“It is very encouraging to see indicators that carriers are returning to rate adequacy, and ultimately profitability,” said TransUnion insurance business unit’s Stothhard Deal.

Despite rates showing signs of stabilizing, the LendingTree poll found that for consumers who’ve paid for repairs without their insurers’ help, 42% said they wanted to avoid an insurance rate increase as a result of filing a claim, while 59% indicated the damage was minor, and 44% said their deductibles were higher than the cost of repair.

LendingTree said 76% of survey respondents who’ve paid for repairs themselves had deductibles under $1,000 and 65% spent less than $1,000.

Of respondents who have filed insurance claims for repairs, 24% said they regretted it, 59% of those due to insurance rate bumps, 36% due to reduced vehicle value, and 33% because of a high deductible.

The survey found that 73% of consumers prefer to pay for minor repairs themselves than file a claim, and about half have paid out of pocket for damages that would’ve been covered by their insurance.

 

 

 

 

 

 

 

 

More Industry

man buckling seatbelt in car with gray interior
Awardsby Lauren LawrenceSeptember 3, 2026

Two New Rides Earn Safety Awards

Thanks to vehicle redesigns, two more vehicles have earned IIHS’ Top Safety Pick+ award that builds on the criteria of the lower Top Safety Pick award.

Read More →
Photo of phone on a surface next to a window
IndustrySeptember 1, 2026

How A Simple Phone Call Can Cause a Dealership Data Breach

Despite the sophisticated techniques fraudsters often employ today to gain access to dealerships’ valuable information, they sometimes use a somewhat old-fashioned approach.

Read More →
front of car dealership Acura of Rio Grande
Industryby Lauren LawrenceAugust 28, 2026

Texas Rooftop Gets New Owner, Name

Family-owned Lumos Auto Group acquired Acura of the Rio Grande Valley from Bill Bird and will operate the dealership as Lumos Acura.

Read More →
Ad Loading...
Businessman in a suit speaking on stage at an event with '2026 CEO Investor Day' displayed in background
Industryby Hannah MitchellAugust 28, 2026

Hyundai Feeling Electric

As the automaker looks to the balance of the decade, it plans to significantly boost its electrified powertrain lineup, including more hybrids and its first extended-range EVs.

Read More →
Auto Dealer Today, Dealer Debrief, 08/26/2026 with Lauren Lawrence
Industryby Lauren LawrenceAugust 26, 2026

Dealer Debrief: Luxury Brands are Losing Ground

The quality gap between luxury and mass-market auto brands is narrowing. Today, Lauren is discussing why.

Read More →
Red Honda Civic hybrid sedan on two lane road with green hills in background
Industryby Hannah MitchellAugust 21, 2026

August Auto Sales a Mixed Bag

An early forecast shows strong business despite consumer hurdles, and hybrids are a big piece of their affordability coping strategy.

Read More →
Ad Loading...
Six men standing in front of a Ford dealership.
Industryby Hannah MitchellAugust 14, 2026

Longtime Ford Store Changes Hands

The Virginia dealership joins a small area automotive group in a one-dealership transaction, moving from one family franchisee to another.

Read More →
car in background with hand giving a thumbs up in front
Industryby Lauren LawrenceAugust 14, 2026

Auto Loan Delinquency Rates Stabilize

Auto loans are a main driver of nonmortgage consumer debt, but delinquency rates stabilized in the second quarter across all credit risk tiers.

Read More →
Arm of mechanice reaching for car with hood open
Industryby StaffAugust 13, 2026

ASE Seeks Accurate Technician Pay, Benefits Data

New free membership trial removes cost barrier for dealerships and shops willing to contribute anonymous information to the industry data exchange.

Read More →
Ad Loading...
Photo of Dodge Durango moving down a road in sunlight
Industryby Hannah MitchellAugust 7, 2026

No Longer Worth the Price?

Mass-market auto brands are gaining ground on luxury competitors with what used to be premium features, helped along by the pressure of high vehicle prices dogging budget-conscious shoppers.

Read More →