A staggering number of American drivers – about 96% – do not understand the fundamental aspects of their auto insurance policy, a new survey by insurance comparison website Insurify has found.
The survey, which interviewed more than 1,000 respondents, assessed how well drivers across America understand their auto insurance, asking them questions about their policies, what it covers, and what factors affect their insurance rates.
It found that the average driver scored only 56% on the survey – based on standard scoring standards, it would mean the respondents failed to properly understand how their auto insurance works.
Key findings of the study include:
“The average American driver spends over $1,632 on car insurance a year, but they might not even understand what that money is going towards,” commented Insurify manager of research and content Kacie Saxer-Taulbee. “We wanted to publish this report to demystify car insurance basics and help drivers make more responsible decisions when buying coverage.”