January 2008

by Onlineautoinsurance.com

Los Angeles, CA – The online auto insurance market in the United States has continued a steady growth as the new generations mature and consumers gain confidence and familiarity with the internet.

A report conducted by comScore, an industry-leading provider of insight into consumer behavior and attitudes, released a report in 2007 highlighting the growth patterns and potential of the online auto insurance market. A few statistics worth reciting are as follows:

• 31 Million internet users visited an auto insurance website in the fourth quarter of 2006
• Online policy purchases has increased 58% year over year
• More than half of customers who purchased via the agent channel in the past five years have obtained an online auto insurance quote
• 65% of consumers would consider purchasing their next policy online

Currently, direct carriers such as Progressive, Esurance and Geico are dominating the online auto insurance market by offering consumers the ability to obtain instant rates and purchase a policy online.
The high costs of creating an online policy sales platform has detained most agencies from offering their products online, although, few pioneering agencies such as Comparison Market, CarInsurance.com and Answer Financial have entered the online market creating competition among direct carriers.

As technology progresses, opportunities are evolving for the small business auto insurance brokerage desiring to offer their products online. Rating engines such as WebFSC offer brokerages online quote capabilities and insurance carriers such as Drive from Progressive are providing authorized agents and brokers the ability to obtain electronic signatures online for policy issuance.

Products such as EZ Buy, a point of sale product that allows producers to gather policy application signatures online, have helped level the playing field by giving brokerages online policy sales capabilities through authorizing carriers.

Auto Solutions Insurance Services, a California based brokerage, has expanded its auto insurance products online using the EZ Buy product. offering instant auto insurance quotes with the ability to purchase auto insurance online.

Consumers are increasingly shopping, purchasing and servicing auto insurance policies online. Auto insurers must leverage the Internet as a positive sales tool in order to compete in an ever-growing market. Successful strategies include:

• User friendly website
• Consumer personal information security
• Discounts for online policy purchase
• Fast, instant quotes online
• Ability to compare quotes from multiple carriers
• Live help from a licensed agent
• Ability to purchase a policy online and receive instant proof

http://www.OnlineAutoInsurance.comis operated by a California personal lines brokerage and offers online auto insurance quotes with the ability to purchase policies online in most US States through appointed carriers and affiliates.

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