Instead of a rating system, insurance buyers get cute jingles, silly ads and catchy phrases. Try to imagine a time in the future when the three (yes, only 3) largest auto insurance companies spend $5 billion a year promoting these jingles, ads and phrases. Don’t spend too much time imagining. It happened last year, 2019. Unbelievable. $5 billion. That same $5 billion could have paid a lot of valid claims and helped a lot of policyholders.
Want to know which companies are the best auto insurance or home insurance companies in your state? It’s easy to find out. Just click the buttons below.
Here’s a Unique Idea
A better approach could be a rating system that lets consumers know how good the products are that they are considering. After all, insurance is the last line of defense. And, people are required to buy insurance. Consumers deserve to know just how good the protection they are buying is.
ValChoice has presented this idea to the National Association of Insurance Commissioners (NAIC) on multiple occasions. While there is broad support for the idea, most commissioners believe this is the role of private industry. At ValChoice, we agree. Private industry is very capable of taking up this challenge. In fact, that’s exactly what ValChoice has done.
Does anyone think a grading system isn’t needed?
Consumers are required to buy the following types of insurance: car and health (by law) and home insurance by contract. Which company to buy their insurance from is one of the most important decisions a consumer makes. Unfortunately, there is little meaningful information to help people make this important decision.
Here at ValChoice, we find some of the cute jingles, silly ads and catchy phrases entertaining. However, we find some downright misleading. If an ad could commit fraud, some of these ads would be convicted.
What concerns us most is that advertising for insurance works. Big advertising budgets result in a few actions that are unfavorable for consumers/policyholders:
- Inundating consumers with ads creates a level of trust that is undeserved. Trust should to be earned, not bought.
- Increasing market share when prices are competitive
- The ability to hold market share when prices are not competitive
How to Deliver Transparency
Technology. Technology can solve many problems. One problem that technology can easily solve is crunching numbers and spitting out analysis that is complete, accurate and easy-to-understand.
ValChoice wants consumers to have access to information that enables them to make informed decisions. We’ve built that technology. Now it’s available, for free, to consumers.
Find out how good your insurance company is. Just click the button below. If the company is great, stay with them and tell and friend. If they’re not good, find a new company.
ValChoice does not get paid to rate insurance companies. We do rate nearly every company in the industry, by state where they do business. In total, we rate approximately 25,000 auto and home insurance companies. We know which are best and want you to know too.