For the first time since World War II, auto insurance premiums are expected to fall. Standard and Poor's predicted that intense rate competition would put a squeeze on profit margins for auto insurers. Although S&P forecasts a healthy year of profitability, they warned that long-term earnings remain under threat.
The weakening economy is another factor in the falling auto insurance prices. And the availability of auto insurance quotes online has contributed to continued competition in the industry, which puts pressure on premiums.
Take Advantage of Flat and Falling Quotes
Prices will fall in 2008, but they've also been flat and more competitive on average for 2007. This means that you can take advantage of the bearish auto insurance market to compare quotes and save even more on your auto insurance premiums.
Some auto insurance companies have found creative ways to cut premiums, including GPS-based, Odomoter-based, and TripSense discount systems. In order to see if you qualify, you can compare quotes online for the best possible auto insurance premium.
