Insurance as a value-add service is an untapped market, reveals recent survey
More than half of respondents agree insurance offerings would increase company value and boost customer relationships
CHICAGO, Oct. 18, 2022 – Few in the real estate and auto dealer industries are offering insurance at the point of sale. This leaves an untapped market for these businesses along the path of purchase, according to VIU by HUB, a digital insurance brokerage platform powered by HUB International Limited (HUB), a leading global brokerage and financial services firm.
The survey conducted by Loyalty Research on behalf of VIU, found that insurance as a value-add service offers opportunities for enhanced customer support. Of respondents that do not offer insurance, a majority – 51% – indicated offering insurance products would increase their company value and reinforce relationships with their customers. Of those that currently offer insurance, almost 75% said they find strong value in doing so (See infographic).
“Value-add services, such as financing and extended warranties that realtors and auto dealers offer, can have a big impact on customer satisfaction and loyalty, especially in uncertain and volatile markets,” said Bryan Davis, EVP and Head of VIU. “However, we’ve found that companies often perceive embedded insurance to be more difficult of an offering than it actually is, causing them to miss out on potential business growth.”
Survey respondents offered two main reasons for not considering insurance as a value-add service:
- Legal concerns. Realty business owners perceived legal concerns as the biggest hurdle to offering insurance. A common response was uncertainty about their ability to legally refer customers to a particular insurance provider.
- Difficulty managing on a daily basis. Auto dealer business owners are under the impression that offering insurance would be too challenging to manage every day.
Technology is one way that HUB is simplifying insurance. VIU by HUB is a digital insurance brokerage platform built to simplify the insurance shopping, comparing, purchasing, and managing process while offering unbiased choice of carriers alongside expert advice. VIU’s technical capabilities allow the platform to be easily embedded within the workflows and systems of partner organizations, enabling them to offer insurance easily within the consumer purchasing journey.
“As consumers continue to demand more from the companies they buy from, allowing them to bundle insurance at the point-of-purchase while providing choice of insurance carriers will be viewed as a unique selling point,” said Mike Keegan, Managing Director of Strategic Partnerships at VIU. “This will not only strengthen customer relationships but lead to potential business growth today and in the future.”
To learn more about VIU by HUB, visit viubyhub.com.
About Hub International
Headquartered in Chicago, Illinois, Hub International Limited is a leading full-service global insurance broker and financial services firm providing risk management, insurance, employee benefits, retirement and wealth management products and services. With more than 14,000 employees in offices located throughout North America, HUB’s vast network of specialists brings clarity to a changing world with tailored solutions and unrelenting advocacy, so clients are ready for tomorrow. For more information, please visit www.hubinternational.com.