Information overload – UK drivers ignore insurance documents

08 August 2018

- Co-op Insurance launches personalised videos, to lead the way in providing customers with engaging and easy to understand car insurance policy information

(Pictured above: Screenshot of Co-op Insurance's personalised video)

Seven out of ten (69%) drivers do not properly read their insurance documents when renewing or starting a new car insurance policy, according to a new study released today by Co-op Insurance.*

Over half (55%) of motorists blame an overload of information as the reason for not reading their insurance documents in full.

Content being too boring (26%) and confusing language within insurance documents (22%) are also responsible for motorists swerving their documentation.

Drivers aged 45-54 years old are the worst culprits for ignoring the details, with over three quarters (78%) saying they don’t read their insurance documents in full.

Contrastingly, almost two fifths (37%) of young adults aged 18-24 claim to read their insurance documents cover to cover.

Furthermore, the study highlights that the majority (93%) of motorists think insurers should do more to make insurance documents easier to understand. In light of this, Co-op Insurance is piloting providing personalised videos to new and renewal car insurance customers, in an effort to make policy documents more engaging, transparent and easier to digest**.

Continuing to drive innovation within the General Insurance market, the personalised videos will enable Co-op customers to clearly understand what is covered as part of their insurance policy.

This will contribute to the Co-op’s ongoing strive to champion innovative approaches, having already developed tools such as Chatbot and Park Smart. Whilst a pilot scheme at this stage, if well received by customers, Co-op may commit to offering policy summary videos as standard, alongside standard policy documents for motor customers going forwards.

Nick Ansley, Head of Motor Insurance at the Co-op says:

“When it comes to insurance, clearly understanding what you’re covered for is really important and prevents complications further down the line.

“There’s a clear disconnect between customers and their policy documents, so we wanted to address this head on by trialling new ways to deliver this information. With these videos, we are taking steps to make insurance documents easier to digest, highlighting the main points of cover as well as the cost of the cover. Through a more personalised approach, we believe we can create a more transparent relationship between us as an insurance provider and our customers.”

The video will be personalised to each individual policy holder to highlight exactly what they are covered for within their car insurance policy. The personalised videos will work as a supplementary material to existing written documents.

ENDS

Media Contact:

Hannah Charlton
Press Officer
Email:hannah.charlton@coop.co.uk

Notes to editors

*Research was conducted among 2000 UK adults on behalf of Co-op Insurance by Atomik research in April 2018

** Terms & Conditions Policy document video is not designed to be a substitute for the overall insurance policy document, but is a useful addition that will highlight the key points on what is included in the customer’s insurance policy.

Policy document video will only be sent to direct customers. Customers who make mid-term adjustments will not receive the video. Longstanding customers will not receive the video.

About Co-op Insurance:

Co-op Insurance is part of Co-op Group, one of the world’s largest consumer co-ops, owned by millions of members. Alongside Co-op Insurance, we have the UK’s fifth biggest food retailer, the UK’s number one funeral services provider, and a developing legal services business.

As well as having clear financial and operational objectives, the Group is a recognised leader for its social goals and community-led programmes.