It’s not every day that a new F&I product comes along that can move the revenue needle for dealers right out of the gate. But all that changed with the launch of Assurant Vehicle Care. And the numbers show it. In fact, this suite of protection products has just surpassed one million in contract sales after just 12 months on the market — a noteworthy achievement over such a short time. But that’s not all. To date, over 450 dealerships selling AVC have seen an average per vehicle revenue increase of $494 along with a 13% average increase in vehicle service contract penetration. Additionally, over 400 dealers saw a 25% increase in ancillary penetration and a products-per-deal increase of 38% — all in a high inflation environment. We're excited to see what AVC can do for even more dealers in the coming year. I just did a final read through for proofing and made two tiny tweaks in blue. Besides that it is ready to go live.
F&I designed from the ground up for today’s customer
How was AVC able to perform so well for dealers right from the start? The reason is pretty straightforward. It was redesigned from the ground up to meet the needs of today’s customer — and dealer. From product design and pricing to training and claims, no stone was left unturned. The result is a broad suite of protection products that maximize dealership profit and customer protection AVC gives customers what ordinary products don’t — more coverage, more choice, and, ultimately, more value. Dealers benefit from revenue-maximizing products that come with a suite of needs-based marketing tools, easy claims, participation options for all products, and dedicated support from F&I experts.
Getting the details right to satisfy customers
One real-world example of the way that AVC’s expanded protection has proven itself with dealers and customers is windshield protection. Our legacy product offered windshield repair for small cracks but did not provide replacement when cracks were beyond repair. This represented a significant gap in coverage for customers. Today, with Assurant Vehicle Care, those premium policy holders who experience windshield damage beyond repair qualify for whole windshield replacement — a major leap forward from the perception of consumers wary of protection loopholes. And while windshield is a comparatively small piece of the F&I pie, this is a great example of leaving no opportunity uncovered in product redesign.
Pre-paid maintenance that improves dealer revenue
Another place where AVC has shined at the dealership is with pre-paid maintenance. Traditionally, managing a pre-paid program has been overly complex and burdensome, with a separate form and program for each vehicle make, model, year, and customer driving profile. With AVC, we simplified the term and mile options to give customers more flexibility in using their reimbursements. We also designed the plan in such a way that even if the manufacturer offers complementary maintenance on new vehicles, our plans can still be used after those services are completed. It also allows for real-time pricing adjustments to immediately compensate dealers for any spikes in maintenance costs. This can yield significant cost savings for the dealership over time — especially in fast-moving inflationary environments.
F&I that works for your customers
The list of innovations achieved by Assurant Vehicle Care continues. Transaction times have been significantly reduced by improved training. Fewer forms and more efficient processes across the board mean less hassle and a faster customer experience. There has also been a major increase in lender approvals and program consistency, which helps improve attachment opportunities. One of the biggest advances on the customer front is the addition of Assurant Vehicle Care Online, an easy-to-use digital car care and contract management system that simplifies the customer experience when accessing product information and claims.
Assurant Vehicle Care is transformative for dealers operating in today’s highly competitive market, where maximizing performance in every area of the store is crucial to not only meeting your monthly numbers, but also exceeding them. So you can make more of today and start building for tomorrow’s opportunities.
Talk to an expert to learn how Assurant Vehicle Care can help drive more performance and profit at your business.
