Bain Certified Net Promoter Score® by J.D. Power now available!

Why Buy the Study?

Following 2 years of stability, insurer combined ratios in the personal lines auto insurance market rose to 104.6 in 2015—the weakest results during the past 6 years. Despite this strain in profitability, direct premiums written (DPW) in personal lines auto insurance increased by 4.8% year over year to $199 billion in 2015, marking the third consecutive year of strong premium growth. This growth is partly attributable to rate hikes, as many insurers have filed for rate increases during the past 12 to 18 months.

In a mature industry such as personal lines property and casualty insurance, where the growth of one insurance company typically comes at the expense of another, it is imperative that insurers understand why customers are shopping and switching to certain companies and not to others.

The J.D. Power 2018 U.S. Insurance Shopping StudySM provides an in-depth look at the entire auto insurance policy selection process to understand which customers are shopping; what triggers their shopping; their attitudes toward and perceptions of auto insurance brands; and how they make their final purchase decision. The study explores the most critical drivers of winning new customers by reviewing various differentiators in the marketplace:

The study explores the most critical drivers of winning new customers looking at various differentiators in the marketplace:

  • Insurer business models
  • Customers by generational group
  • Sales channels (agent, website, call center, aggregators)

A study subscription provides access to the insights and tools needed to gain a comprehensive, in-depth understanding of how your company is performing and to identify key areas needing improvement.

Study deliverables include:

  • Customized executive presentation and in-person discussion that includes data-driven, actionable recommendations for achieving such strategic goals as closing performance gaps with key competitors and/or top performers in the study
  • Competitive benchmarking through survey data and industry reports created by J.D. Power
  • Analytical tools for performance insights and peer comparisons
  • Ongoing thought leadership, including white papers and access to webinars on vital industry topics

The 2018 study focuses on the following five key components of the auto insurance shopping and purchase process:

  • The Shopping Process: Which customers are shopping? What are they shopping for and why?
  • Closing the Sale: How do a company’s quote and conquest rates compare to competitors’ rates? How do a company’s distribution channels perform? Why do avoiders, considerers, and quote/lost shoppers decide not to do business with an insurer?
  • Onboarding Satisfaction: How do the profiled insurers rank in the overall Purchase Experience Index? What drives customer satisfaction with the purchase experience? The study provides a broad understanding of how insurers can improve the purchase experience across three key touch points: Policy Offerings; Price; and Distribution Channel (Agent; Call Center Service Representative; and Website)
  • Brand Image: Is a company’s brand recalled, recognized, or unknown? How do customers view a company’s brand? Has that view changed over time?
  • Retention and Defection: Which customers are at risk of defection? Which retention strategies are most effective? What motivates defectors to leave the incumbent insurer and purchase from a new insurer?

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