I’ve heard that insurers can sometimes tell when customers are shopping for better rates and may adjust pricing or retention behavior based on that.
Is that actually true? Do they get notified when you request quotes from other companies, or is it more based on modeling/assumptions?
I understand that rates themselves are filed and approved by the state, but I’m curious if there’s any flexibility in how those rates are applied—for example, holding off on a larger increase (or applying a smaller one) if a customer seems likely to shop or switch, versus being more aggressive with increases for customers who don’t shop.
Also, if shopping activity does matter at all, is there a “best way” to get quotes (aggregators, independent agents, direct carriers, etc.) that makes your current insurer more likely to offer a better renewal outcome?
Do Insurance Companies (Auto and Home) Know when Shop around for Quotes?
byu/RedFox1920 inInsurance
Posted by RedFox1920
1 Comment
Some carriers and agents get notifications when reports are pulled. It may result in your agent reaching out to review your policy or such, but it does not result in pricing adjustments or retention offers as rates are approved by the state.
As for the best way to shop around, avoid aggregators as they just sell your info to a bunch of agents. Hit up the direct carriers and at least a couple of independent agents.