What’s different about Gen Z’s auto insurance customer lifecycle?

Auto insurers need to adjust to their customer expectations as Gen Z ages into vehicle ownership. To keep pace with this growing cohort, the key is making sure your business is constantly innovating.

All industries — even traditional sectors like banking — are transitioning to a digital-first approach to meet the digital-first expectations of the Gen Z cohort. So, to accommodate Gen Z’s high expectations for convenient experiences, insurers need to identify ways to connect with this young cohort through social media and an evolving range of digital capabilities.

What Gen Z expects from insurers

The Gen Z segment grew up in the Digital Era, a time when technology enabled instant gratification. Now, they expect their auto insurance experience to be as immediate, intuitive, and high-quality as making a purchase on Amazon. And this expectation for immediacy and intuitiveness leaves little room for insurers that lag behind.

To connect with Gen Z, you need to leverage innovative technologies that make relevant information easily accessible. Those in the Gen Z demographic want an effortless experience that seamlessly guides them to the information they need. If you serve up clunky or confusing offerings these days, you’re clearly at risk of losing younger consumers to competitors with a higher level of digital service.

Engage Gen Z online

The insurance customer lifecycle begins online for much of the Gen Z demographic. They’re accustomed to interacting with brands and finding relevant information on social media. By using a social media model to reach Gen Z, you can enable faster, more efficient dialogue with younger customers.

Online interactions can help you manage customer relations, promote customer loyalty, or boost your brand reputation on social media. Mobile telematics then enables you to establish a constant connection between you and your Gen Z customers based on their actual driving data.

Provide convenient experiences with a telematics app

While online engagement can help you manage customer relationships and attract new customers, your insurance program also needs to satisfy Gen Z’s digital expectations. With a mobile telematics program, you can create a regular touchpoint with Gen Z drivers — while capturing their telematics data.

Customers who join mobile telematics programs download their carrier’s mobile app. This app collects driving data using factors like speed, braking habits, and phone usage while driving to inform insurance policy pricing. As a result, mobile telematics gives your drivers personalized pricing and encourages safer driving. You can use mobile telematics to attract more Gen Z customers with:

Arity IQ℠: Gain instant access to actual driving behavior at the time of quote through our custom API.
Drivesight: Use the industry’s most accurate driving score to effectively predict risk and price drivers.

Leverage our telematics-fueled insights to reduce costs, grow profitability, and enhance the user experience.

Why Arity?

Our telematics technology can help create more innovative, seamless user experiences for Gen Z customers, keeping you relevant in today’s shifting market. With Arity mobility telematics solutions, you can provide the customer experience Gen Z customers expect, while creating a more modern experience for customers of all ages.