U.S. Auto Insurance Policies Purchased Online Up 7 Percent In 2008 Versus Year Ago Despite Soft Consumer Demand

Auto Insurance E-Servicing Growth Trend Also Continues in 2008

RESTON, VA, April 2, 2009 – Comscore, Inc. (NASDAQ: SCOR), a leader in measuring the digital world, today released a study of online activity for the auto insurance market in 2008, which showed that consumers submitted requests for 32 million online quotes and purchased a record 2.4 million policies online during the year. Although the number of quotes requested online declined by 1 percent due to weaker consumer demand in the current economic environment, the number of auto insurance policies purchased online increased by 7 percent, indicating the increasing importance of online as a transactional medium.

Growth in Online Auto Insurance Activities
2008 vs. 2007
Total U.S. – Home/Work/University Locations
Source: Comscore Insights: Online Auto Insurance 2008 Year in Review
Auto Insurance Activity Transactions (000)
2007 2008 Percent Change
Policies Purchased 2,145 2,304 7%
Requests for Quotes Submitted 32,353 32,109 -1%

“The current weakness in U.S. consumer demand has affected nearly every industry, and auto insurance certainly has not been immune from the impact,” said Kevin Levitt, Comscore vice president. “With fewer consumers purchasing cars, there is less demand underlying auto insurance purchasing. Despite these conditions, however, the number of policies purchased online is still growing, which underscores how important the Internet has become as a transactional medium for the auto insurance industry.”

E-Servicing Yields Cost-Savings to Auto Insurers

Other online auto insurance activities continuing to pick up steam included e-servicing activities such as online payments and policy management. E-servicing, in general, has represented a positive trend in the industry from both the consumer and insurer point of view. For consumers, e-servicing can reduce the time and hassle of managing one’s policy, while minimizing paper transactions. For the insurer, e-servicing often represents a significant cost savings by reducing the need for customer service and material costs.

In 2008, total e-servicing visits at seven leading auto insurer sites grew by 6 percent to 127 million visits. This growth was driven by an increase in visits to both the online payments sections (up 5 percent) and policy management sections (up 6 percent) of the respective sites.

Growth in Auto Insurer E-Servicing Visits*
2008 vs. 2007
Total U.S. – Home/Work/University Locations
Source: Comscore Insights: Online Auto Insurance 2008 Year in Review
Section of Web Sites Total Visits (000)
2007 2008 Percent Change
Payment Section 51,734 54,500 5%
Policy Management** 68,836 72,744 6%
Total e-Servicing 120,571 127,244 6

*Sites included in analysis: Allstate.com, Esurance.com, GEICO.com, Nationwide.com, Progressive.com, ProgressiveAgent.com, StateFarm.com
** Policy management includes viewing and changing coverage, adding or removing a driver, adding or removing a car, and changing an address

“Many consumers prefer online policy management, because it gives them direct control of their policy and a streamlined means of making policy adjustments and payments,” added Mr. Levitt. “The insurers also derive a particular benefit, especially in the current economy, by being able to reduce costs of service while enhancing the quality of their long-term relationship with consumers.”

About Comscore Insights

Comscore Insights is a subscription based briefing service dedicated to the auto insurance industry. Subscribers gain access to Comscore briefs, industry analysts and private webinars focused on the key issues facing the industry. The 2009 report schedule includes “Online Auto Insurance 2008 Year in Review,” “2009 Online Auto Insurance Report,” “Who is the Online Auto Insurance Shopper?,” “Best Practices in Online Acquisition,” and more. Leveraging Comscore’s proprietary data and industry experts, Comscore Insights serves c-level executives, marketers and consultants with valuable market intelligence to drive strategy, marketing and risk management decisions.

To request more information about Comscore Insights and pricing, please contact klevitt@comscore.com.

About Comscore

Comscore, Inc. (NASDAQ: SCOR) is a global leader in measuring the digital world. For more information, please visit www.comscore.com/companyinfo.