Motor insurance purchases more likely with AI
New research has revealed that consumers are more likely to complete motor insurance purchases if their decision is backed by AI technology.
According to Consumer Intelligence, 69% of respondents who used AI to support their decision-making regarding an insurance purchase or renewal said it made them more likely to complete the purchase.
A further 28% say it helped even if it did not change the outcome, while just three per cent said they found it unhelpful.
The research also found that 28% of consumers now use ChatGPT or similar AI tools to help navigate or search the internet, with 30% of this number saying they use it to shop for insurance. This equates to eight per cent of the population using AI to help them find the most appropriate insurance policies.
Personalised experience
Ian Hughes, CEO of Consumer Intelligence, said: “AI makes consumers more likely to complete a purchase decision, not less. That is good news for insurers and for comparison platforms.
“Price comparison sites were built to help consumers navigate complexity. That need has not gone away. What is changing is that consumers now expect a more personalised experience, one that helps them understand what they are getting, not just what they are paying.
“The platforms and insurers that use AI to surface meaningful differences in cover, and help consumers understand trade-offs, will strengthen their position. There is also a significant retention opportunity here. If AI helps consumers feel more confident completing decisions, it can be as powerful a tool for renewals as it is for new business.
“AI is a tool for enhancing the comparison model, not replacing it.”
