On average, 65 million drivers in the U.S. — or about one in three — have a roadside breakdown each year. In fact, these events happen so frequently that there are three times
more roadside events annually than there are
windshield repairs, non-drivable accidents or
vehicle thefts combined.
These figures should be exciting to insurers.
MUTUALLY-BENEFICIAL RELATIONSHIP
Today’s auto insurance industry is increasingly
competitive. Roadside assistance has become one
of the few, and often one of the first, touchpoints
for insurers to engage with consumers and help
differentiate their brand beyond claims.
Agero research has found that nearly half of
consumers expect their insurer to be there for
them during vehicle breakdown events and that
consumers are twice as likely to turn to their auto
insurer, versus a motor club, to make a roadside
assistance request.
As a result, roadside assistance has been
shown to be a significant driver of policyholder
satisfaction and brand loyalty. Roadside coverage
can boost insurer net promoter scores (NPS) by as
much as 45 points, depending on the brand and
its existing baseline NPS. Further, our research
indicates that over half of consumers feel their
roadside assistance experience is one of the most
important factors (beyond price) they consider
when renewing or switching auto insurance.
What’s more, roadside assistance can be a boon
to such claims services as accident management.
Insurers offering roadside assistance see six times
more tow volume from the accident scene.
As policyholders get used to contacting their
carrier for roadside incidents, they become more
likely to call after an accident. This more immediate first notice of loss (FNOL) can enable earlier
Tow Truck Trickledown
@AgeroNews
Luis Quiroga
THE ROADSIDE ASSISTANCE INDUSTRY IS FACING SERIOUS ECONOMIC
HEADWINDS. HERE'S WHY INSURERS SHOULD PAY ATTENTION.