Telematics: What’s in it for you?
Overcoming the perception of low purchase intent
Currently a quarter or less of agents offer telematics to a quarter or less of their customers, citing low purchase intent as the main reason for not talking about telematic programs. However, according to Nationwide’s Agency Forward Report 55% of agents believe that by offering telematics programs they’re able to provide their clients with a more competitive price and 36% say that it helps them retain their clients.1 Customers demand more personalization and new ways to save money, it’s clear that the future of insurance includes telematics. Nationwide is here to help agents stay ahead of the competition, protect their book of business, and retain customers by helping them provide the personalization and control their customers’ desire.
Currently a quarter or less of agents offer telematics to a quarter or fewer of their customers, citing low purchase intent as the main reason for not talking about telematic programs.
Truth behind customer intent to purchase
Roughly half of agents agree that the biggest advantages for clients who adopt telematics is that it provides them with better pricing. Nationwide Agency Forward survey data suggests that 65% of consumers would be willing to allow telematics to capture their data if it provided an insurance premium discount. Customers who are enrolled in telematics are saving an average of more than 20% compared with a traditional policy.1 Consumer data shows that customers are willing to try telematics for a discount. Customers shopping for insurance typically have a reason for calling, and it’s usually because people are looking to save money. Offering telematics-based solutions not only provides them with better rates it also increases their loyalty as a customer. In fact, data shows that drivers who participated in the SmartRide® program had first term retention rates 5.7 percentage points higher than the Nationwide average.2
Start the telematics conversation today
With more savings for your clients and an easier sales process for you, it’s a win-win. Start the telematics conversation with your clients today. To learn more about how telematics can help you grow your business, visit nationwide.com/agents/telematics.