Eighteen Million Americans Need Collector-Vehicle Coverage
CHERRY HILL, NJ (September 8, 2005)—American Collectors Insurance, a national provider of collector-vehicle and collectibles insurance, found in a recent study that its customers spend an average of 25 hours per month on their car-collecting hobby.
An American Collectors Insurance survey of nearly 400 customers shows that “car collectors love to spend time and money on their cars,” says Laura Bergan, marketing director.
The survey also reveals that, of the consumers who buy collector-vehicle coverage directly, many do so because their agents neglected to ask them if they need it, or the agents don’t offer it. “Many independent agents have not yet capitalized on the opportunities presented by car collectors, who tend to have above-average incomes and net worth,” says Bergan. “A collector-vehicle policy is a turn-key sale for an agent, and it can generate higher customer loyalty and stronger customer relationships.”
American Collectors Insurance partners with agents and carriers to provide collector-vehicle coverage and also offers coverage directly to consumers. Approximately 7% of Americans own a collector vehicle, according to The Wall Street Journal. That means 18 million people need collector-vehicle insurance coverage.
Another key finding of the survey was that consumers chose their collector-vehicle provider based on recommendations from a friend, fellow collector or agent more than 53% of the time.
The survey data shows, Bergan says, that “agents have a golden opportunity to capture the hearts and checkbooks of collector-vehicle buffs among their clients and prospects.
“Step one: Agents can simply ask customers and prospects if they own a collector vehicle,” she says. “For collectors, that question alone will instantly build a stronger relationship since it will recognize the client’s most prized possession. More important, it lets the agent build a relationship based on factors other than price.”
Bergan adds: “Collector-vehicle insurance has become a gateway—an avenue for agents to serve consumers with discretionary income. For example, collector-vehicle publication Hemmings Motor News has a subscriber base that appeals to many agents: these consumers have, on average, household income of $139,000, a home valued at $385,000, household net worth of $1.2 million, and four collector vehicles.
“Whether an agent can tell a Pontiac from a Porsche isn’t important,” she says. “But it is vital that an agent recognize that customers’ passion for cars can translate into stronger relationships and greater loyalty.”
About American Collectors Insurance
American Collectors Insurance specializes in insurance for collector vehicles and collectibles. Based in Cherry Hill, NJ, and licensed in 48 states, American Collectors Insurance offers products directly to consumers, as well as through independent insurance agents and alliances with several major insurance organizations. For more information, visit www.AmericanCollectors.com or call (800) 620-5052.