Consumers of Progressive, Allstate, GEICO, and State Farm are considering switching to a new insurer, according to a new data from consumer-intelligence firm Resonate.
Within the 28 million consumers who decide to switch insurers, a number of people claimed that they could be persuaded into staying in their current company. However, 5.4 million people are determined to switch to a new insurance provider in the next year.
According to Resonate, the average consumers who plan to switch insurance provider are married, stay-at-home women, between the ages 45 to 54, with children under 18 years old.
“This [data] presents an incredible opportunity for leading companies to retain policyholders who might flee and acquire customers that are ditching their competitors; insurance companies have tens of millions of dollars at stake,” said Resonate in an article.
Attracting Transitioning Customers
Resonate highlights going over the motivations of transitioning customers and engage them into a new insurance plan. While the reasons for changing insurers vary, Resonates claim that this is the perfect opportunity for insurance companies to ‘tailor their messages’ on the group they are pointing.
One of the major reasons why consumers plan to switch insurance provider is due to a rate increase. About 8.3 million customers said they are likely to swift to another company because of budget reasons. Following rates, a massive chunk of the consumers is moving to a new provider due to having a new house or automobile. About 9.2 million switchers are considerably looking for a new service provider because they recently bought a new car.
The insurance market is a multi-trillion industry, with premiums valuing around $1.2 trillion in 2017. Life and annuity insurance comprises a huge slice, about 52 percent. Property and casualty follow with 48 percent.