Online Property Insurance Market Predicted to Grow

Purchasing auto insurance online has become a well-​established practice. Now that consumers have grown comfortable with that process, they are looking to make other insurance purchases online. A new comScore report shows that the property insurance industry may be the next sector poised to make big gains online as people look for an easy way to purchase coverage for their homes or apartments.

Currently, few consumers are requesting property insurance quotes online as the following figures show for the first part of 2010:

  • Auto insurance 20.2 million
  • Homeowners insurance 500,000
  • Renters insurance 400,000

Despite the low numbers in comparison to the automobile insurance industry, experts say the numbers are growing. Consumers who have been purchasing property insurance online, not surprisingly, also spend more time engaged with the Internet than with TV. For example, 49% of these consumers spend 20+ hours a week online while only 36% say they spend 20+ hours a week watching TV.  However, slightly more of these consumers say they watch more TV than spend time online, when the level of engagement with either medium falls below 20 hours a week.

Susan Kleinman, comScore director says, “[w]ith consumers already very accustomed to submitting quotes and purchasing auto insurance online, the foundation is in place for them to use the Internet to obtain quotes and to purchase homeowners and renters insurance.”  The findings also suggest that, for now, property insurance marketers who want to build online traffic should use TV ads as one way to reach potential customers.

[Source:  comScore Releases 2010 U.S. Online Property Insurance Report. comScore​.com. 17 Nov. 2010. Web. 9 Dec. 2010] 
Kathy Crosett
Kathy is the Vice President of Research for SalesFuel. She holds a Masters in Business Administration from the University of Vermont and oversees a staff of researchers, writers and content providers for SalesFuel. Previously, she was co-​owner of several small businesses in the health care services sector.