In this paper, an approach for analyzing brand loyalty and brand switching behavior in car insurance market is presented. A two-choice model by Blumen, et al. that uses Markov chain is adopted as a main technique for estimating brand parameters. Survey data have been collected through personal interviews with questionnaires. Following the application of the model to the data, it is found that there are five leading companies in car insurance market where the number of potential brand switchers is larger than that of brand loyal customers. Therefore, differentiation of this product along with the conversion of this low-involvement product to a high-involvement one could make car insurance stand out against a somewhat undifferentiated field of competitors.