Industry Analysis & Industry Trends
The number of cars registered indicates industry demand for individual automotive insurance; therefore, an increase in car purchases will necessarily benefit automobile insurance providers. An increase in interest rates and renewed investment activity will also facilitate industry growth over the next five years. While discount retailers such as Geico and Progressive are expected to continue growing, pricing competition is set to cool as the economy slowly improves.... purchase to read more
Industry Report - Industry Locations Chapter
The Automobile Insurance industry is concentrated in the Southeast, Great Lakes and Mid-Atlantic regions. The distribution of industry establishments closely follows domestic population trends, particularly urbanization trends. Providers charge higher premiums in locations where there are more cars on the road, largely because this increases the likelihood of accidents. Auto insurance is also more expensive in urban regions because of the higher probability of theft or vandalism. For consumers, the most expensive cities to insure a car include Detroit, MI; Philadelphia, PA; and New Orleans, LA.
The Southeast region accounts for the largest share of industry establishments, estimated at 26.4% of the total, while also accounting for the highest portion of the total US population... purchase to read more