27th September 2016
Carrot Insurance wins marketing and engagement award at the UK Broker Awards 2016
Carrot Car Insurance, one of Trak Global Group’s top brands, won the Best Marketing and Customer Engagement accolade at the UK Brokers Awards Ceremony held at The Brewery in London.
Carrot is regarded as one of the most innovative, customer-centric providers in the young driver User Based Insurance market. Much of their focus is placed on creating high levels of customer engagement in order to stimulate an improvement in driving behaviour to maximise the rewards customers are able to earn, and consequently reduce exposure to any risk; improving road safety across the UK.
Inexperienced drivers historically have the highest accident frequency and consequently poorest loss ratio, making insurance for young drivers expensive for both insurer and policyholder. Over 80% of Carrot customers are within their first two years of driving, making the customer base the most likely to be involved in an accident.
Carrot Insurance, was up against some stiff competition for the Award category of Best Marketing and Customer Engagement, from the likes of Devitt Insurance Services, ISIS Insurance Services, Pedal cover Insurance and Staveley Head. Top and upcoming insurance companies from across the country.
Dougie Watt, Operations Director – Trak Global Insurance Services, received the award on behalf of everyone at Carrot Insurance, said:
“A fully deserving win. Very happy to have picked this up on behalf of everyone who puts so much hard work into Carrot every single day.
In launching Carrot, the intention was to encourage safer driving behaviour through the provision of incentive, rather than the threat of penalty. With a 17-18yr old core customer base, stimulating interest in their driving behaviour and engagement in their reward-earning potential was seen as key to delivering both a superior customer experience, and a profitable underwriting return.”
Analysis of previous underwriting performance demonstrated a linear relationship between policyholders with a positive driving score who earn cash rewards, and a lower claims frequency.
Critically, it also highlighted that policyholders are three times more likely to have a crash if their Driving Style score is between +1 and -10; and those policyholders that checked their Driving Style score more than 4 times a week are 39% less likely to be involved in a fault-based accident.
By encouraging customers to check their data more frequently (via their online Dashboard on desktop and tablet, or the Carrot mobile app on iOS and Android) it was expected to increase the number of safe, happy customers, and create an improved underwriting return.
Carrot interacts with its customers far more frequently than a typical broker/policyholder relationship, on both a push and pull basis. Carrot has a highly proactive approach to risk-management based engagement which has seen a 42% in accident frequency reduction. This was recognised and as a result they were awarded a Prince Michael International Road Safety Award in 2015.
Gillian Louden, Insurance Marketing Manager commented: “Carrot is the future of car insurance for the younger and newer drivers. Engaging younger drivers and informing them about the benefits of telematics boxes in cars can be challenging. But with a great team of young people, Carrot is working closely with their main customers.
Carrot Insurance rewards drivers for their positive behaviour and as a result, 72% of customers have received cash rewards for improved and good driving.
We aim to speak to our customers frequently to obtain first-hand feedback on ways of improving service delivery, be it through quarterly customer satisfaction surveys, social media forums and customer engagement events.”
Carrot Insurance intervenes with customers on a regular basis improve driving behaviour so that they become safer drivers. In the last 18 months Risk Management have made a total of 27,202 interventions via email, text message or phone call. Over the same period 2154 individual customers were issued a formal excessive speeding warning. Of those 1393 (65%) positively changed their driving behaviour.
These statistics show that working with younger drivers to improve their driving style works to improve driver safety across the UK. For more information about Carrot Insurance visit the Carrot Insurance website
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