Five tips to help you sell more telematics

In today’s world, consumers expect more from auto insurance than the “one-policy-fits-all” approach. As they demand more personalization and new ways to save, it’s clear that the future of insurance includes telematics. By offering telematics solutions to their customers, agents can help match their clients’ particular lifestyles and driving habits to their insurance needs.

Combining telecommunications and informatics, telematics is designed to measure and evaluate an individual’s driving behaviors. Telematics work by retrieving and analyzing information collected from devices installed in a vehicle or on a mobile device. In some cases, telematics system can pull information directly from the vehicle’s computer systems or the manufacturer’s car application. Telematics is an instrumental tool to help drivers better manage their driving habits, stay safe on the road, and, in some cases reduce their auto insurance costs.

To better serve its customers, Nationwide offers two telematics solutions—SmartRide® and SmartMiles®. SmartRide is a program that measures driving behavior and rewards safe drivers with a discount. Drivers typically receive an immediate enrollment discount that’s replaced by an earned discount based on how safely they drive. Through SmartMiles, customers get traditional Nationwide auto coverage but with a flexible monthly premium that’s based on mileage data, which is gathered through telematics.

The availability and specifics of these programs can vary based on a client’s location. That said, as a trusted advisor, it’s critical that you understand telematics and how to position its benefits with your book of business. Be the agent who can help their clients choose the right usage-based insurance option with these selling tips:

1. Offer Nationwide telematics with every quote

Telematics continues to increase in popularity, and more and more consumers are utilizing these solutions for their insurance needs. According to a recent report from TransUnion, 28% of consumers shopping for auto insurance are presented with a telematics-based policy option. Of those presented with a telematics-based option, 61% opted for that form of coverage.¹

Telematics programs can help you save your customers money and strengthen relationships. You can also use it to grow your business since offering Nationwide telematics to prospects can differentiate you from the competition.

Benefits of the Nationwide telematics program:

• With SmartMiles, those who drive less usually pay less than they would with a traditional policy
• SmartMiles customers may save an average of 33% compared to a traditional Nationwide auto policy²
• SmartRide is a safe-driving program that provides an immediate 15% enrollment discount in most states and up to 40% off premium at renewal
• 92% of customers who participate in SmartRide may earn a discount at the end of the program³
• Nationwide is ranked #1 in customer satisfaction among usage-based auto insurers by J.D. Power⁴
• Customers who participate and earn a telematics discount can earn an additional discount on their Nationwide homeowners policy in select states

2. Spread the word about telematics on social media

Social media is one of the most powerful tools in your sales toolbox. 72.5% of Americans are active on social media⁵.

Since a greater number of people are spending more time online than ever before, it’s the perfect time to get the word out about “SmartRide” and “SmartMiles” on social media.

3. Understand privacy concerns

Customers can be hesitant to share their driving data without knowing how it will be used and where it will go. Therefore, it’s important to anticipate this concern and address it when necessary.

Assure them that Nationwide takes customer data security very seriously and is committed to protecting it. The information collected is used only for insurance purposes related to the SmartRide or SmartMiles programs and is never sold to any third parties. Additionally, drivers can easily see their driving data that is gathered through the app or online web portal.

4. Learn more about our competitive advantages

It’s necessary to understand and educate customers on what sets SmartRide® and SmartMiles® apart, as knowing the benefits makes selling it much easier. Here are the top two advantages:

• Policyholders can mix and match programs individual vehicles on the same policy with SmartRide and SmartMiles programs and have the option to exclude certain vehicles from participation.

• Customers can rest easy knowing they will not be surcharged as a result of participating in our SmartRide program.

You can learn more about the unique advantages of SmartMiles and SmartRide here.

5. Share positive experiences with telematics

Be sure to talk about the successes you or your customers may have had while using telematics. These personal testimonials make the product more “real” and relatable to your customers and will help them feel reassured about trying it.

If you’re eligible, consider trying SmartMiles and SmartRide yourself. You can also test drive the SmartRide mobile app by requesting a demo here. Understanding firsthand how the program works will help you better explain it to customers.

Using these five steps to offer personalized auto premiums with Nationwide telematics makes building relationships and growing your business easier than ever. Not sure where to start? Learn more about Nationwide’s telematics offerings here.