ALLSTATE TESTING ‘YOUR CHOICE’

A new auto insurance plan introduced by Allstate Corp. in Tennessee attempts to drive the market away from a price obsession and refocus attention on products and features. Called the “Your Choice” option, the plan promises Tennessee policyholders it will pay for an accident without a rate increase.

“We are giving something to motorists of all demographics something the insurance market has never offered, so our focus is to shift the discussion away from cost,” Michael Brewer, Allstate’s senior communications consultant in Nashville said. “The advertising message has always been about price, but insurance is not a commodity. We want people to realize that.”

Allstate is introducing the plan in Tennessee, Utah and Oregon. The product will be refined based on those results.

Tennessee was chosen as a debut market, Brewer said, because it has a mix of urban, suburban and small towns that provide the best cross-section for evaluating new products.

The rates drivers pay will still be based on underwriting standards. Among the features Allstate is now offering are:

The product was crafted based upon consumer surveys asking what aspects of insurance they find most irritating, and how they would like it changed.