Auto insurance shopping up 18% in Q2 2025, home insurance up 9%.

Auto insurance shopping increased 18% in Q2 2025 compared to the same period in 2024, while home insurance shopping rose 9% year-over-year, according to TransUnion research. The growth in auto insurance shopping may decline as many consumers have already secured lower premiums, but property insurance premiums continue to rise, prompting consumers to seek less expensive alternatives.

Auto insurance shopping surged by 18% in Q2 2025 compared to the same period in 2024, while home insurance shopping increased by 9%, according to TransUnion research [1]. This significant uptick in insurance shopping activity is attributed to various factors, including rising property insurance premiums and consumers' ongoing search for more affordable alternatives.

Patrick Foy, senior director of strategic planning for TransUnion's insurance business, commented, "It’s possible that we’ll see the growth in auto insurance shopping continue to decline as many consumers have already secured lower premiums. However, property insurance premiums continue to rise, so consumers will likely shop for less expensive alternatives. That may also prompt many to shop for auto insurance because for many customers, bundled policies remain key to overall savings."

TransUnion's latest consumer survey revealed that 42% of auto insurance shoppers switched insurers in the past year and a half, with a quarter of recent switchers being previously loyal customers of over 6 years. This indicates a trend of increased consumer mobility and loyalty, challenging traditional retention strategies.

Insurance carriers have responded to this increased competition by ramping up their marketing spend by 23% year-over-year across multiple channels. The emphasis on direct mail and branding campaigns has been particularly notable, with a focus on specialty lines such as motorcycle, pet insurance, identity theft protection, and recreational vehicles. TransUnion's case study demonstrated that clean data management led to $1 million in reduced direct mail costs and nearly $5 million in additional revenue for one carrier. This underscores the importance of accurate and clean data for effective marketing.

The report also highlights the need for carriers to employ data-driven, personalized approaches to anticipate life events that naturally create opportunities for engagement. For instance, knowing when a customer obtains a competitor insurance quote or shops for an auto loan or mortgage loan can help carriers create meaningful customer interactions.

As the insurance market continues to evolve, carriers must balance the need for aggressive marketing with the importance of maintaining customer trust. Ensuring that marketing campaigns are targeted and effective will be crucial for retaining and acquiring customers in this increasingly competitive landscape.

References:
[1] https://www.stocktitan.net/news/TRU/trans-union-finds-auto-insurance-shopping-peaked-in-march-and-7fpcd6e0h81e.html
[2] https://www.ainvest.com/news/trupanion-q2-2025-earnings-profitability-breakthrough-high-growth-niche-market-2508/