Solving The Profitability Puzzle - Addressing Auto Insurance Quote Manipulation
Advancements in quote management and policy management systems have made it easier for carriers to identify patterns of quote manipulation by agents.
The agent component of quote manipulation involves insurance agents using their knowledge of the insurance system to alter information and secure lower premiums for clients.
To address the issue of quote manipulation, the fundamental strategy for carriers revolves around rigorous verification processes.
Insurers should understand the importance of proactive measures by carriers, especially in agent-driven channels, to combat quote manipulation.
A specific study highlighted the practice of quoting multiple individuals from the same household on the same day to find a more favorable rate, based on who is designated as the primary insured.
