Toronto, Ontario — U.S. consumer auto insurance shopping grew 9.4 percent year-over-year in the second quarter of 2025, according to the latest Insurance Demand Meter from LexisNexis Risk Solutions.
The quarterly report showed new policies rose 3.6 percent, while 46.5 percent of policies-in-force had been shopped at least once in the past year. LexisNexis said that is the highest rate since the metre launched in 2020.
“Policyholders, often those with the highest lifetime value, will help determine the growth and profitability outcomes for the industry,” said Jeff Batiste, senior vice-president and general manager of U.S. auto and home insurance at LexisNexis in a release. He added that carriers should not lose sight of retention as shopping activity climbs among smaller households and individual drivers.
Nearly 40 percent of rate filings among the top 25 auto insurers included reductions in Q2, averaging four percent. LexisNexis said the decreases helped sustain higher new business activity. Rate increases averaged 4.4 percent in the same period.
Shopping connected to new vehicle purchases has risen nine percent since January 2022. In Q2 2025, individual drivers and single-vehicle households shopped and switched at higher rates than multi-vehicle households. LexisNexis said the trend points to growing affordability concerns among rate-sensitive consumers.
The direct channel continued to lead, growing 22.8 percent year-over-year, while shopping by existing policyholders (10.1 percent) outpaced activity from the uninsured (7.6 percent).
By state, Hawaii and New Jersey were the only ones to see shopping growth above 20 percent. New Jersey, Texas, California and Florida recorded the highest volumes overall.
