As I’ve written about in the past, there are plenty of things I would like to see changed in the insurance market. Two important things are having:
–a more uniform set of rules between states and provinces – this would make it much easier to bring in more competition between companies, for companies to operate in all 50 states and perhaps in all of Canada as well. I doubt we’ll ever get there but if get closer to it, it would be a huge positive
–more transparency in rates: I think it’s reasonable to be able to search for insurance in similar ways to shopping for airfare. I do understand that it’s not as simple as looking for an airfare on Kayak.com, but it could certainly be made easier than calling every company out there to get a quote.
Still Far But There Is Hope
Just take a look at a screenshot like this:
And the result:
This is a service from CoverHound which has been getting some funding. I’m still not convinced that the insurance companies will let services like this keep “pounding” their websites for quotes but hopefully, if one of them becomes big enough, it will mean losing business if they ban the search engine from displaying their quotes. For airfares, that is what ended up happening to American Airlines which among others, refused to have its results displayed in Orbitz for some time. In the end, it meant losing business and AA ended up reversing course. Clearly, there are no players as big as Kayak or Orbitz in the insurance search space but I do have hope that it will come at some point.
This will also make shopping for insurance a much easier process which could mean more consumers buying more types of insurance, shopping through mobile devices, etc.