Polly, the embedded insurance provider for automotive dealerships, released its annual embedded auto insurance study recently, highlighting how insurance is increasingly shaping the customer experience during the car deal.
Key Findings:
- 72% of all buyers and 87% of Gen Z and Millennials want the option to compare and buy insurance while purchasing their vehicle.
- When dealers referred buyers to an insurance solution, 76% of respondents reported higher satisfaction with the car purchase experience.
- 79% of car buyers believe they have the best deal on insurance when they walk into the dealership, but 68% find savings when they shop for insurance.
- Car buyers overwhelmingly said their experience (78%), satisfaction scores (76%), likelihood to refer the dealer (78%), and likelihood to return for service (76%) would improve if they saw savings of $80 a month on insurance.
- 71% of all buyers and 82% of Gen Z and Millennials say saving about $80 per month on insurance would make them more likely to buy a nicer vehicle or protection products.
- 59% of all buyers say insurance costs delayed their purchase, up from 38% last year. Among Gen Z and Millennials, that figure rises to 68%.
- 35% of all buyers say they have walked away from or delayed a vehicle purchase because they could not secure insurance in time. That jumps to 46% for Gen Z and Millennial buyers.
While demand for in-dealership insurance options continues to climb, many dealers have not incorporated it into their sales process in a consistent and meaningful way. 35% of respondents noted that the dealership did nothing to support their insurance needs. Yet, when dealers engage, even minimally, by referring customers to an insurance solution, satisfaction improves. 76% of respondents noted that help from the dealership in finding an insurance solution improved their overall purchase experience.
