How Would Auto Insurance Company Know if I Am Unemployed?

They won't unless you tell them on the application. Some insurance companies use occupations and education level as an underwriting factor. A Doctor who has a degree is generally considered a better risk as opposed someone who has not graduated high school and works construction.
 
The moment you apply for an insurance they will they will definite know, because you are going to fill up their application form. Aside from that they will ask some requirement such as tax receipt etc.If they missed that information we'll your lucky enough... ;p
 
I've never heard of a company that requires proof of employment for auto insurance. They simply ask occupation for underwriting reasons. Being unemployed is no different than being an unskilled worker as far as underwriting.
 
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