Take a T.R.I.P. with Regent

Living up to it's reputation for offering the widest choice of quality insurance products, Regent Insurance leads the way with the introduction of yet another innovative product.  T.R.I.P. stands for "Travel Related Insurance Premiums" and is based on the pay as you drive concept, with the insurance premium directly related to the number of kilometers traveled.

According to Jono Soames, General Manager, Regent Broker Division: "We believe that the South African motorist has a definite need for this type of insurance. Motor Insurance is generally seen as very expensive and our product affords the motorist who does not travel a great deal, the opportunity to reduce the cost of motoring and vehicle ownership."

Says Jono: "The pay per kilometer concept for motor insurance has been very well-received in overseas markets, including the United Kingdom and the U.S.A.  We believe this way of calculating insurance premiums will become increasingly popular with the motoring public of South Africa".

Insurance based on the pay per km concept provides a more immediate feedback loop to the driver, by changing the cost of insurance dynamically with a change of risk. This reduction is then immediately reflected in the cost of car insurance for that month.  A secondary benefit is enhanced security due to the 24/7 aspects of vehicle location.  And with the threat of global warming, champions of  "green" campaigns overseas believe that products based on the pay as you drive concept encourage motorists to think twice before they get behind the wheel, thereby contributing to more environmental-friendly behaviour.   However whether this type of product will change behaviour in a South African society heavily dependant on motor vehicle transport due to a lack of public transport is debatable.

Brokers are chosen distribution channel

Says Jono: "At Regent, we know that despite the immense levels of "noise" that Direct Insurers make in their advertising about " going direct" and "cutting out the middle-man", the majority of South Africans still choose to insure via their brokers, whose support we value immensely. Brokers are therefore our preferred channel for marketing this product."

However a major challenge in bringing the product to the market has been ensuring that we are able to collect all of the information that we require to charge the correct premiums, and at the same time cater for the relationship between the Broker and their client.

Unlike our opposition in this segment of the market, it has always
been our intention to keep the Broker involved and our internal systems have been adapted to cater for this.

WITH T.R.I.P. FROM REGENT:
* The broker earns full commission
* The client enjoys highly competitive premiums
* There is no joining fee
* The first 500 km per month is FREE
* No premium is charged for distance traveled in excess of 2 800 km per month

While we still intend launching an advertising campaign to create an awareness of our T.R.I.P product amongst the motoring public, we definitely see Brokers as the primary distribution channel for our product.  Any advertising will direct the public towards their Brokers in the first instance.

Regent believes that with the appropriate levels of public awareness
and the support of our brokers, the T.R.I.P product will be very well-
received. 

Should you wish to find out more about Regent T.R.I.P, please call us on 0861 900 801 or contact your broker.