Polly Study Expects Auto Insurance Market to Improve

Discover how insurance conversations impact F&I profit with customers spending $264 more on average.

Polly released our Quarterly Embedded Auto Insurance Report today. In this quarter’s report, Polly analyzed 384,121 vehicle sales at 19 dealer groups with 178 rooftops. Results show:  

• Insurance Conversations Impact F&I Profit: Customers in Polly’s data set who received insurance quotes spent an average of $264 more in the F&I office than those who did not. 
• Insurance Saving are Linked to Even More Profit: Dealerships in the data set saw an average $636 increase in back-end gross when car buyers saved on their new insurance. 
• 2024 is a Big Embedded Market Opportunity: The data shows that the hard auto insurance market of 2023 is set to improve dramatically in 2024. 

Chief Marketing Officer Mike Burgiss said: “The data from 384,121 vehicle transactions reinforces what we already knew to be true: an insurance program in the dealership correlates to an increase in dealership profitability. When customers just receive insurance quotes, back-end gross lifts by $264 on average just though the anticipation of savings. But when car buyers switch insurance and save, back-end gross lifts by a stunning $636 compared to customers who don’t see insurance in the process.”

Polly’s data couldn’t come at a better time for dealers, as post-COVID margins.

Article originally published on AutoSuccess.