Aggregators Lead the Charge to Sell Auto Insurance on the Web; New Report from Meridien Examines Online Insurance Market
2 January 2001
Aggregators Lead the Charge to Sell Auto Insurance on the Web; New Report from Meridien Examines Online Insurance Market
NEWTON, Mass.--Jan. 2, 2001--Aggregators in the United States and Europe are leading the charge to sell auto and other insurance over the Internet, but only a few of these sites will survive, says a report, just released by Meridien Research, which focuses on the aggregators in the online insurance space. Since aggregators earn one-time commissions on new sales, the winners will need a full range of insurance products and the ability to both compare products and close sales online instead of just providing price quotes.The report, "Auto Insurance Aggregators: The On-Ramp to the Internet," provides the first in-depth look at aggregators and covers the global landscape of online auto insurance.
"The insurance industry has traditionally been a very conservative industry. Banks and brokerage firms have raced to the Internet to aid their clients but in general insurers have lagged behind. Today, however they are realizing that this channel cannot be ignored and are investing in the technology needed. As this happens and customers become more confident in making purchases over the Web we are likely to see online sales comprising a greater portion of insurance revenues," said Dave Potterton, Meridien's research director for e-Financial Services.
The Web is an ideal sales vehicle for auto insurance because it's more cost-effective than traditional sales channels and provides consumers with convenience and savings. But just how fast the online sales will grow is hard to forecast since consumer acceptance in this area has been difficult to predict, Meridien said.
About 1 percent of personal insurance policies in the U.S. are bought over the Internet today, with auto policies the most popular. Because auto insurance is a standardized product and a less emotional buy than homeowners, health or life insurance, consumers are less likely to depend on an agent. Consumers have an incentive to shop online because premiums can vary greatly among insurers.
The report can be purchased by calling (617) 796-2863. The table of contents and abstract are available at www.meridien-research.com.
About Meridien Research
Meridien Research of Newton, MA, provides insight, advice and focus to users and providers of financial industry technology. Using a combination of interactive services and in-depth, written reports, the firm helps its customers achieve a clear competitive advantage in the marketplace. Meridien Research targets three technology areas of strategic importance to financial services firms: eFinancial Services, Trading & Risk Management and Customer Relationship Management. Each practice provides constant monitoring of industry happenings along, detailing future predicted issues and challenges. Visit www.meridien-research.com/press to register for announcements as new research becomes available. For media relations, contact Parallax LLC at 1.781.235.7025 or parallax@meridien-research.com.