Professor Meike Eilert recently shared her insights with WalletHub regarding travelers car insurance. Read on WalletHub.com.

How important should Travelers Insurance reviews be to potential customers?

I think reviews, in general, should be important to potential customers because they contain valuable information about the likely experience that they may have with the insurance provider. Consumers need to be able to discern helpful from unhelpful reviews though which can be challenging on the internet. Credible websites, blogs, or magazines can help consumers get a better idea of how Travelers performs, also relative to their competition.

Why do insurance companies like Travelers spend so much money on commercials?

Commercials are a great way to create awareness and remind consumers that a brand exists, especially in a highly competitive market. Since commercials have a broad reach, it is also a great opportunity to talk about the benefits of the insurance product, and you will see that companies in this market often compare their product to one of their competitors. So really it is a way to stay competitive and in the consumer’s consideration set.

Do national companies like Travelers tend to be a better deal for consumers vs. a local insurance company? 

The answer to this question really depends on what consumers value. In terms of the cost to benefit ratio, a national insurance company can provide better deals because of the size of its operations. However, local insurance companies – and local companies in general – tend to value being a reputable community member. Thus, a consumer might get better, more personalized service there. Local insurance companies can provide value in many other ways so national companies like Travelers definitely need to understand how they can differentiate themselves.