Only One In Three Home Insurance Policies Automatically Renewed
A new study from Vantage Research and Researchcraft suggests that half of all home insurance buyers are struggling in the current economic climate, resulting in only one in three automatically renewing with their insurer.
The majority of homeowners surveyed were open to the idea of switching provider, however, for many consumers specific aspects of service from an insurer were just as important as price.
The research also suggests that while two-thirds of regular switchers have used price comparison sites, consumers have widespread concerns about them, with up to three quarters of respondents worried about the amount of personal information they are expected to divulge.
Other key findings relate to discounts, some of which can be “hugely influential”, while others are “relatively unimportant”.
For example 24% of people surveyed would be more likely to renew an existing policy if offered discounts on other insurances.
Finally, money-off vouchers may be a waste of time as they influence only a minority of frequent changers.
Commenting on the finding, Vantage Research director, Julian Bridgewater, said: “This research shows that consumers are ever more prepared to shop around for home insurance… but also indicates a range of ways in which customers can be retained, beyond merely reducing premiums.”
According to figures from consultancy firm, Accenture, UK insurers are losing 20% of their customers each year, with £3.3 billion lost in motor and home insurance premiums alone.
