Insurance industry not matching customer expectations for green parts – Solera

The insurance industry is not matching customer’s expectations for green vehicle repair options.

That was according to claims firm Solera’s latest research, which revealed there was a growing driver appetite for sustainable repair options.

Released at March’s Insurtech Insights conference, data showed that less than a third (32%) of drivers were offered the choice between new or used parts, despite 53% showing concern over the environmental impact of vehicle repairs and maintenance.

And just 23% drivers have heard from their auto insurer about sustainable policy options.

The study surveyed over 8,000 drivers across Europe.

Speaking to Insurance Times, Tom Hart, Solera’s claims sales director for the UK and Ireland, said: “A lot of claims get completely blocked and it’s the end customer that is suffering that delay and frustration.”

Proposition

The research also revealed that around 45% of drivers believed that green parts were more costly than newer car parts.

But to help fulfill consumer demands, Solera launched its Sustainable Estimatics proposition – this provides information to minimise the CO2 emissions of the claim managed by the insurer.

It also aims to help an insurer and body shop network better manage accounts.

“We are able to unblock some of those claims,” Hart said.

“Where previously the parts are on backorder, it recycles parts’ availability.”

He also felt the offering had been key since the Covid-19 pandemic, which he felt was a “game changing moment” that saw more insurers adopt green policy wording.

Arnaud Agostini, international managing director of Solera, added: “Insurers and garages can play a vital role in helping customers understand the green options available and by doing so, can help themselves attract more business.”