Toronto, Ontario -- Drivers in the U.S., Canada and Australia are keeping their vehicles and their auto insurance policies for longer than ever before.
A new study from Compare the Market has found that more than a third (34 percent) of Australian, Canadian and American vehicles are more than 10 years old. At the same time, only about five percent of American and Canadian vehicles were manufactured within the past year. In Australia, about four percent of vehicles were less than a year old.
The research, conducted by Compare the Market, surveyed over 3,000 respondents across Canada, the United States and Australia. The median age of a vehicle was about six years in Australia and Canada and seven years in the U.S.
The study also revealed that the average Canadian driver had remained with their auto insurer for about five years. About a quarter (23 percent) kept the same insurers for at least 10 years.
While the average American respondent had also been with their insurer for the past five years, slightly more (27 percent) have remained with their auto insurer for a decade or more. In both countries, about 29 percent of drivers have switched providers within the past three years.
Among Australian drivers, a somewhat smaller number (17 percent) have remained loyal to a particular insurer for a decade or more. About one-in-three drivers (34 percent) switched insurers within the past three years.
The survey also explored Canadians’ intentions to purchase vehicles in the next 12 months. Just over half (51 percent) of respondents said they were considering buying either a new or used vehicle.
Of these, 35 percent were planning to purchase a new vehicle, while 16 percent intended to buy used. Another 27 percent were unsure, and 22 percent said they planned to keep their current vehicle.
The most commonly cited reasons for considering a new vehicle included the desire for a larger vehicle (16 percent), newer technology features (15 percent), improved fuel efficiency (13 percent), mechanical issues with their current vehicle (12 percent), and enhanced safety features (10 percent).
The findings reflect ongoing shifts in consumer priorities and behaviours amid evolving automotive technology, market availability, and economic considerations.
