According to a new survey, the automatic provision of a replacement vehicle is more important to motor policyholders than the lowest premium prices.
When choosing which motor insurance policy to select, customers will opt for good customer service over the lowest premium prices.
Bristol Business School has published research revealing that the automatic provision of a replacement vehicle is paramount for service policyholders. A total of 91% of drivers wanted a guaranteed replacement vehicle delivered to them whenever it was required. Contrary to popular opinion, only 33% of drivers believe price is the most important factor when buying motor insurance.
While 85% of respondents shop around when the time comes to renew their policies, 25% of all claimants did admit to being unhappy with the quality of service they received.
IBM professor of relationship marketing at Bristol Business School, Professor Merlin Stone, said: "The message consumers receive from insurers revolves around costs and how much money people can save by switching companies. However, our survey shows that policyholders want to hear about customer service."
The survey discovered that only 40% of claimants were provided with a car while their own was being repaired. Of this figure, 45% were provided with a replacement vehicle of an inferior model to their own.
Stone continued: "25% may not seem like a lot, as this implies that the majority of customers are happy with their insurers. However, almost all of these unhappy policyholders will take their business elsewhere."
