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

Nominating Committee for 2015 Novarica Research Council Impact Awards Announced

For those on the technology implementation and management side of the insurance industry the research and advisory firm Novarica is no doubt a very familiar one. The company provides information, insights, and perspectives to industry professionals on a variety of topics and hosts the Novarica Insurance Technology Research Council, a moderated knowledge-sharing community of more than 325 senior IT executives representing more than 300 North American insurers. [ Read More ]
11/19/2014

Kofax to Improve Claims Processing for General Insurance and Asset Management Provider

Improving the business processes associated with mission critical insurance interactions is at the top of most insurers' lists regardless of where they are located around the world. An example of the universality of the need to improve such processes through software automation, which not only improves business process efficiency but also reduces costs while improving the customer experience, is a recent announcement from business process automation specialists Irvine, CA-based Kofax. [ Read More ]
11/19/2014

MedeAnalytics Announces Partnership with Wellmark

MedeAnalytics Employer Reporting software provides healthcare providers with cost-analysis and reporting tools they can use to improve plans and better serve customers. MedeAnalytics recently announced that it will be working with Wellmark Blue Cross and Blue Shield to enhance services for insurance recipients in Iowa and South Dakota. [ Read More ]
11/18/2014

Texas Mutual Insurance Company Implements Guidewire Systems

Guidewire Software has recently announced that Texas Mutual Insurance Company has selected Guidewire products to help fulfill specific business needs. Guidewire strives to bring technology to insurers differently than other vendors. Guidewire prides itself on understanding the P/C industry, the challenges involved and insurers' expectations. [ Read More ]
11/17/2014
FREE Insurance Technology enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!