Direct product to target experienced drivers
AXA has today launched AXA Car Insurance, a direct car insurance product offering a range of features and services.
The new product will focus on those who have ‘proven’ experience - fewer accidents, more years driving and fewer convictions - and rewards these drivers with comprehensive cover at a competitive price.
AXA personal lines director Mike Keating said the offering was 'complimentary' to the intermediary motor market, and assured brokers it was not a threat to their books of business.
This new product complements AXA’s existing motor insurance offerings. Swiftcover provides on-line car insurance aimed at the younger, internet savvy purchaser while the AXA product sold through brokers uses a sophisticated risk profiling structure to generate highly competitive quotes for safer, low risk drivers and offers dedicated claims handlers as well as simplified policy wording.
AXA’s new product has a NCD scale that rewards drivers for continued good driving with a rising level of discount up to 90%, the highest level in the market, for any driver who has been claim free for eight years or more.
On top of this, AXA Car Insurance provides features important to experienced drivers such as courtesy cars made available in instances of fire and theft and not just while the car is being repaired. Nearly 50% more drivers with experience rated a courtesy car as important than those with less experience.
Tina Shortle, marketing director for AXA Insurance said: “Our research identified a gap in the market for those aged 45-65, with an excellent driving record and a more discerning attitude towards motor cover. This ‘experienced driver’ category wants added extras such as a courtesy car but they also want it at a competitive price. We’ve designed the new direct product to meet these needs and have also made it available through the channels they prefer, which is online or by phone.”
Research from AXA has shown that the experienced driver, like all motorists, wants a good price for their cover – in fact price was cited as important by more drivers with eight or more years experience than those with less.
According to research, a third of those who have been driving for just 1-2 years consider themselves experienced and this rises to half for those who have been driving for 2-3 years.
Shortle concluded: “Experienced drivers make up well over a third of the driving population. We want to show them that their experience counts with a great product and price. We believe that AXA Car Insurance can soon become a leading player in the market.”