We recently attended the Property Insurance Report National Conference (PIR) in Monarch Beach, California hosted by Brian Sullivan of Risk Information. The conference is a highly regarded event for the property insurance industry where leading carriers and researchers share insights into major trends.
We saw many engaging, valuable presentations covering a wide variety of topics, such as drone aerial scanning, connected home services and millennial housing trends. One of the presentations that particularly resonated with us was Andrew Rose’s (CEO of Compare.com) Homeowners Insurance Shopping Going Digital?. With our own previous reporting about compare.com, a third-party comparison site for auto insurance, we were interested to see what the firm was observing in the homeowners insurance space. Rose first discussed the widely known fact that homeowners insurance lags in technological innovation and online shopping UX in comparison to auto insurance. Just this month, Compare.com launched its homeowners insurance quoting business, which is proving to be a tedious undertaking. One of the main challenges in building the quote tool is the long, complicated question sets, which negates comparison sites’ key advantage: quick and easy quotes.
We can attest to these antiquated homeowners quoting processes as we performed an in-depth look at online homeowners quote tools for 14 insurers in our October 2016 P&C Insurance Monitor Report. Based on our research, all firms pull consumer information from property records, although the information varies from firm to firm. On average, carriers ask 37 questions to obtain a homeowners quote. These questions are extremely detailed, inquiring about roofing materials, construction shapes and kitchen fixtures. Not all consumers will know the answers to these complex questions, which will ultimately lead to incorrect property information and pricing. Andrew Rose’s key recommendation during his presentation echoed a best practice we discussed in our report—firms should research various data sources in order to pre-fill as much consumer and property data as possible in the quote tool. By using different data models, carriers can slim down their quote tools to ensure accurate information and to make it easier for prospects to complete.
Brian Sullivan’s closing remarks and much-anticipated Twenty (21) Trends presentation reiterated Rose’s message and our report’s recommendations to create a simple, bindable quote that encourages action. There will be increasing pressure on property insurers to build robust quote tools that prospective clients can complete in a few easy steps. We anticipate the property insurance industry will begin responding to these online quoting challenges in 2017—something we will be tracking with our Property & Casualty Insurance Monitor research service.
For more information about our P&C Insurance Monitor research service, please contact Craig Sherter at (646) 929-5149 or firstname.lastname@example.org.