Insurance Technology Featured Article

Gocompare: One Third of UK Drivers Auto-Renewed their Motor Insurance Policy

February 26, 2013

Gocompare.com, one of the most comprehensive insurance comparison services in the U.K., committed to finding the right product at the best price, and dedicated itself to saving time and money for users. The firm recently conducted a set of research and found that 8.7 million (31 percent) of U.K. drivers permitted their car insurer to automatically extend their policy for another year.

After the thorough study, the company found that almost half (48 percent) the U.K. drivers were driven to act by the need to save money, and 35 percent just didn’t trust their insurer to give them the best deal year after year.

The research indicates that three million (10 percent) drivers have been with the same insurer for 10 years or more, and 11.6 million (41 percent) stayed with the same insurer for three years or longer.

Scott Kelly, head of motor services at Gocompare.com, commented, “Drivers who allow their car insurance policies to auto-renew and expect to get the best deal are kidding themselves. Renewal documents often start by explaining that you don’t need to do anything for your cover to continue. Unfortunately, they don’t explain that doing nothing is the worst thing to do if you want to be sure you’re getting the most competitive premium and still have the cover you need.”

Apart from these percentages, 86 percent of drivers still agree insurers give better deals to new customers than those renewing.

In addition, Gocompare.com also found that just over half of these drivers act intelligently and use a comparison site to check their renewal premium against those offered by other car insurers, whereas 15 percent rely on telephonic survey with insurers. Others visit their websites.

Just 3 percent approach an insurance broker to arrange their cover for them.

“Auto-renewing your policy almost certainly benefits your insurer far more than it does you, and although it may seem more convenient to file and forget your renewal documents, spending a few minutes comparing premiums and cover levels from numerous providers could save you hundreds of pounds a year,” Kelly added.

Gocompare.com was launched in November 2006, and claims that it is one of the first comparison sites to focus on displaying product features rather than just listing prices. The company even allows users to compare and buy a wide variety of other products and services, including financial, travel and business products – plus utilities and other household services.




Edited by Braden Becker

Article comments powered by Disqus

Related Insurance Technology Articles

Summer Camp: A Paying Gig for Young App Testers

For most people, the thought of summer camp involves nature trails, canoeing, and for those of us raised on summer camp movies, payback delivered to the snooty camp across the lake or even burgeoning romance. But one summer camp actually puts young people's imaginations to work by testing apps and the like, and even going so far as to pay said young people for the time and effort involved. [ Read More ]
08/18/2014

Cyber Risk Insurance - Bridging the Gap between Insurance Providers and Companies Insured

The hottest topic in the insurance world today is "cyber risk insurance", or coverage for the response to and fallout from cyber crime and breaches. As Reuters recently highlighted, the cyber insurance market is set to double in 2014 over 2013 - heady times indeed for a traditionally slow-growth industry in search of new markets. [ Read More ]
08/14/2014

Usage of Telemedicine to Increase in US, says Towers Watson

Telemedicine technology is catching up very fast all over the world, making use of IT to exchange medical data to deliver consultations, procedures, exams and monitoring services over vast geographic distances. [ Read More ]
08/12/2014

American National Launches Social Business Program with Hearsay Social

American National Insurance Company, founded in 1905, has announced the launch of a social business program in association with Hearsay Social, provider of enterprise-ready solutions to build business through social sales and marketing. [ Read More ]
08/12/2014
FREE Insurance Technology enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!