Insurance Marketing Through History

Posted by Active under Active Insurance News, Latest News

Insurance has always represented a challenge to the advertising industry. It’s not sexy, there is no tangible product to see, it’s not a pleasurable purchase to consumers and historically insurers have always been greeted with scepticism. What has changed in recent years is the way insurance has been sold. Going back to the sixties and seventies, Yellow Pages and Thomson Local was the place people looked – full stop – as the phenomenon that is the Internet was not even a concept. Insurers and brokers ploughed their budgets into these directories and even utilised alphabetically relative names to get to the front of each heading such as a.aaardvark and a multitude of dots after their name. This is not dissimilar to modern techniques used for SEO work to gain position on natural rankings in search engines. In fact at its peak, these directories dedicated even a coloured edge specifically for their insurance sections, it was that lucrative.

Marketing for name recognition is no different now as it was thirty years ago. Amongst the most memorable was the campaign in the early eighties for Commercial Union where their tag line was “we won’t make a drama out of a crisis”. Bizarrely, after years of huge investment and branding, following the purchase of Commercial Union by Norwich Union (now Aviva) they dropped the name completely. Other household names who also also invested heavily in their name also saw this disappear when purchased or merged. Notable casualties include Guardian Royal Exchange ‘GRE’, Eagle Star (now owned by Zurich – though they have retained the name for direct business) and General Accident.

The Direct Line group revolutionised advertising and shook up the industry when they vowed to champion the consumer and offer their products direct to consumers and have maintained this stance to this day as they also refuse to subscribe to comparison sites. The challenge they have currently is to advertise this fact continually in the face of overpowering campaigns and, it must be said, ease of use when the time comes for a customer to purchase a policy. These comparison sites have now saturated television screens to such an extent that it is not uncommon for insurance adverts to appear one after another. Will these campaigns be remembered in history? We have meerkats, rotund opera singers, singing girls and cartoons, all of which are insurance irrelevant. It obviously works as the author remembers them! Or is it just relentless brainwashing? So where next for marketing strategies for these players? It will be interesting to see how insurance is portrayed over the next ten years. will insurance companies rather than aggregators advertising particular markets such as empty property insurance, short term car insurance or cheap tradesman liability insurance with a view to attracting them online?

Private Hire Insurance – London PCO Minicab Insurance

Posted by Active under Active Insurance News, Latest News, Taxi News

The most common form of taxis operating in London is the iconic London Black Cab. Not only are they safe to travel in and around London but all the drivers go thorough vigorous checks and must have taxi insurance cover in place before they are able to use their cabs for hire and reward. Another popular form of transport is the London minicabs officially known as private hire vehicles. As with black cabs these vehicles have to be licensed by the London Public Carriage Office (PCO) and must have private hire insurance. This type of insurance policy is commonly known as minicab insurance. Most of the private hire vehicles are either 5 seat saloon types of vehicles or 7 seat MPV’s. Some are even licensed to carry up to 9 passengers and will require having a private hire minibus insurance policy in place.

Public Hire and Private Hire Vehicles

Through the UK including London there are primarily two types of vehicles that are licensed to be used as hire and reward. The public hire vehicles are taxis such as the London black cabs and are also known as Hackney Carriages. The public hire vehicles must have a public hire taxi insurance policy in place and these are the only types of vehicles that can be hailed on the street by the public. Also these are the only types of vehicles that can advertise or imply that they are a ‘Taxi’ cab. The private hire licensed vehicles cannot display the sign ‘Taxi’ and can only carry passengers that have pre-booked their journey, usually through a minicab booking office. It is illegal for a private hire vehicle to pick a passenger on a street that have not pre-booked their journey as this would not only contravene the condition of the drivers private hire licence but it may also invalidate their private hire insurance policy.

Private Hire (Minicab) Licensing

After many years of campaigning by various groups, the Private Hire Vehicle (London) Act was passed in to law in 1998. The overseeing body that was given the responsibility of licensing was passed on to the Public Carriage Office (PCO) who also is responsible for licensing London’s black cabs.

There is still a major problem in London where the customers fail to differentiate the difference between a licensed private hire vehicle and unlicensed vehicles who illegally tout for taxi business throughout London and many other parts of the country. These touts tend to prey on tourists in the City or late night revellers at pubs, restaurants and clubs.

Passengers should know that the Public Carriage Office (PCO) issues three types of licenses to the private hire trade.

• The Operators Licence – This license is issued to the minicab company that operates by accepting pre-booked journeys to carry one or more fare paying customers. The private hire operator must display their licence at their place of business. This licence must be displayed in a place where it is easily visible by the public. If the business has an office or a shop front where the members of public can go to and make a booking then they ideally should also have a taxi office public liability insurance cover in place as well.
• Private Hire Vehicle Licence – This licence is issued to ensure that all vehicles used for hire and reward use have been tested and fit for this use. In London private hire vehicles display the licence on both the front and rear windows of the vehicles. The expiration date is visible on these licenses. Customers should query any vehicle that does not have a valid private hire licence. Before the vehicle is issued with a licence, a private hire insurance certificate or covernote must be produced to ensure that the correct insurance cover is in place.
• Private Hire Drivers Licence – For minicab drivers to obtain a private hire licence most licensing authorities have implemented some form of knowledge tests. Also the driver is checked with the Criminal Records Bureau (CRB) for any criminal convictions or cautions. Once the licensing authority is satisfied the driver is a ‘fit and proper’ person, they will then issue a licence. Any customer can ask to see this licence before commencing their journey. It is a condition of the licence that it must be clearly displayed whilst they are using their vehicle for hire and reward use.

Certain types of vehicles such as wedding cars and funeral vehicles are exempt from the private hire licensing regulation.

Active Insurance is a UK leading broker offering low cost private hire insurance also known as minicab insurance including vehicles licensed by London Public Carraige Office PCO.