Internet is the most popular source of information to UK consumers to find out about insurance products. Over 50 per cent use the internet
The main reason for buying insurance direct online, as opposed to using a financial advisor, insurance intermediary or a bank or building society, is price – a perception that it is cheaper to go direct.
The findings are all part of a new research project undertaken by the DMA Financial Services Council.
The research shows that price and the way information is made available prior to quote/ purchase are key purchase decision influencers when buying life and income protection insurance. The brand of the provider is a significant influencer when buying private health insurance and personal accident insurance.
The main reasons stated for purchasing life, income protection, private health and personal accident insurances are house purchases or increased awareness of the need due to bereavement or illness.
Chair of the DMA Financial Services Council, Eric Austin, says, “ Use of the internet as a tool for both researching and buying products is predictably high. Price is a key trigger in the purchase pattern. Although understandable, it is clearly important that consumers are also aware of their cover included and any exclusions. Overall, this research provides great insight into consumer behaviour and show that targeting and relevance of offer will continue to be key drivers.”