A quarter of consumers who changed motor insurer in 2002 used the internet to do so, according to a survey by consultancy eBenchmarkers.
By the end of 2002 the number of motor insurance policies initiated online was 2 million per month.
The survey also forecast that 40% of new motor policies will be generated through the internet by the end of next year.
The survey is good news for online motor insurers battling for a slice of the annual £8bn motor market. The survey claims that online insurers are set for an increasing share of the £1.5bn of annual premiums generated by policyholders switching insurers each year.
Meanwhile the research found that streamlined application processes had a significant impact on sales results.
Conversion rates were as high as 80% for insurers with the shortest processes.
