Insurers have raised premiums for home and motor policies since the pandemic broke out in March last year but the move has not sparked an exodus of customers, according to DBM Consultants.

The market researcher says its survey found one in two insurance consumers neither switched nor considered changing to a new provider despite having been charged higher premiums.

Home insurance premium rose 15% and motor 8%, well below the 25-50% increase that will usually push consumers to shop for a new policy.

At the time of the survey in December last year, just 26% of home insurance customers were looking around, Executive Director Tony Williams says.

“For those not looking around, the main reason they (66%) are staying is that they believe they are getting the best price or value for money,” he told insuranceNEWS.com.au.

About 23% cited the hassle of switching or the risk it may go wrong as reasons for staying put while 44% preferred to the comfort and familiarity of having the same insurer.

“Factors driving customer switching are price, value for money and product or service reliability and quality,” he said.

“However, trust also plays a key role in driving loyalty to insurance providers.”

The survey also finds most consumers tend to buy home and motor insurance from the same insurer, believing it will result in the best price.