While shopping for home insurance in 2016, brothers Ross and Chris Diedrich became frustrated with how difficult it was to purchase homeowner’s insurance and compare quotes online. In their efforts to search for a system that compares policies online, the brothers instead found lead aggregation websites that sold their personal information to multiple third parties who provided non-differentiated, non-customized insurance information in a mass marketing barrage.
The original method of insurance shopping involved carving out time to visit physical offices, choose an agent, review policy information in-person and maintain the relationship. Covered pioneered a 21st-century approach to insurance with its simple digital marketplace, rapid, customized and accurate quotes, and approachable and licensed insurance agents whose main focus is to find customers the best policy at the best price from top carriers.
The founders knew there had to be a better solution, which led them to create Covered, a digital insurance marketplace that makes insurance easy to understand and painless to purchase. Covered is an independent insurance agency, which allows it to provide trustworthy, unbiased quotes from multiple leading carriers to homeowners.
“As our company grew, we quickly discovered many groups used similar forms of information transfer protocols and standards,” said Ross Diedrich, Covered’s CEO. “By using this standardized information, Covered is able to create products that span multiple mortgage and insurance channels and simplify the consumer experience with only a handful of pertinent questions. This, taken with its proprietary technology, leads to a best-in-class smart and simple insurance questionnaire. That means a better experience for users.”
Covered’s key guiding principles are to remain customer-centric and to create an exceptional consumer experience. Here’s how the company has accomplished this:
- Being an independent insurance agency offering multiple carrier options
- Delivering a clean and simple marketplace where consumers can truly compare apples to apples in terms of policy options
- Providing educational tools throughout to ensure a confident, informed decision
- Never selling consumer data
- Meeting consumers where they prefer to connect, whether digitally, via text or over the phone
“We are different because no matter what direction we take our service offerings, our consumer-facing, customer focus remains at the center of all we do,” Diedrich said. “Accurate comparison and name-brand carrier choice are at the core of our beliefs, values and products. We believe our customers greatly appreciate that choice and are more loyal as a result.”
A core part of Covered’s philosophy is to meet consumers when they need guidance most – in the home purchase process. Through partnerships with lenders, servicers and real estate agents, Covered arms mortgage professionals with the proper tools to guide their clients and provide more control over the process, reducing unnecessary closing delays as a result.
Covered ensures first-time homebuyers are no longer left in the dark when searching for the right insurance policy to fit their needs. The company also closes the loop by delivering evidence of insurance right back to the lender, saving time for everyone involved.
With continued margin compression and new customer acquisition costs more than 5x greater than the costs of keeping existing customers, lenders and servicers are looking for opportunities to increase customer retention. Covered’s marketplace is a natural mortgage product extension that proactively assists customers, drives positive customer engagement and builds brand loyalty.
“Ultimately, having a consumer-facing brand builds trust and allows us to offer the best service to our customers,” Diedrich said.
PRODUCT: Covered Insurance Solutions — Home Insurance Marketplace
SNAPSHOT: Covered Insurance Solutions’ digital marketplace combines intuitive technology with a human touch to help new and existing homeowners quickly quote, compare and purchase the right coverage at the best price in minutes. As a full-service provider, Covered makes sure clients get the best value for their insurance with top carriers at the best prices while being able to bundle home policies with auto, motorcycle, umbrella, RV, pet and other personal lines to further reduce expense and hassle.
