EP. 9 - Streamlining Car Sales with Automated Auto Insurance Verification

Back to all episodes

Transcript

Speaker 1  0:00  
Ever find yourself about to drive off the lot with your dream car and, bam, you're totally stuck waiting for what feels like forever while they verify your insurance? 

Speaker 2  0:09  
Yeah, it's not exactly the most thrilling part of buying a car. It's like the excitement screeches to a halt. But you know what? Today we're actually diving into that, believe it or not, that a whole world of auto insurance verification. But get this, it's going high tech. 

Speaker 2  0:30  
Right? It's not like flying cars or anything, but still, it's a big deal. We've actually got excerpts from this MeasureOne article, automated auto insurance verification for car dealerships. 

Speaker 2  0:45  
It gets into, like, a major pain point in the whole car buying process. You hit it right on the head, that waiting game for insurance verification. It's a drag.

Speaker 1  0:52  
Oh, tell me about it. My last car, I swear it took longer than the actual test drive. I was ready to, like, I don't know, learn origami or something, anything to pass the time. But okay, so the article doesn't just talk about the wait times. It actually gets into why this verification is so important in the first place.

Speaker 2  1:10  
Yeah, it's not just some random thing they make you do. I mean, think about it, driving without insurance. It's illegal, plain and simple. Most places, at least, right? Makes sense. And for dealerships, they can get hit with huge penalties if they let someone drive off the lot without it. So this whole verification thing, it's about protecting everyone the dealership, the buyer, everyone else on the road too.

Speaker 1  1:30  
Okay, so it's like a legal safety net, but it's got to be about the money too, right? I mean, dealerships are businesses, after all.

Speaker 2  1:36  
especially when it comes to financing, which, let's be real, that's how most people buy cards these days, right? So verifying insurance protects them financially. If, say, a buyer defaults on a loan or gets into an accident, the insurance coverage it often determines whether the dealership's even gonna see a dime of their money back. Ah, okay, that makes a lot of sense. So it's like this weird win win situation, buyers know they're covered if something goes wrong. And dealerships, well, they get some peace of mind knowing they've done their homework.

Speaker 1  2:05  
Exactly. It's all about managing that risk for sure. 

Speaker 2  2:09  
But I gotta ask, how does automation even work in this whole thing? Like, is there some high tech scanner they bust out at the dealership?

Speaker 1  2:16  
It's actually way cooler than that. Think software, direct connections. It's wild. Okay, now you're speaking my language, so instead of digging through paperwork and making a million phone calls, dealerships can now verify insurance instantly, using the specialized software.

Speaker 2  2:29  
Okay, so less paperwork, less waiting more time to actually enjoy that new car smell. I'm all for it, but seriously, how does it actually work? 

Speaker 1  2:39  
So picture this these automated systems. They connect directly with insurance databases. They use these things called APIs, like a digital messenger that lets different systems talk to each other, share information super fast. So instead of being put on hold and listening to elevator music, you get instant verification. It's like having a direct line to the insurance company

Speaker 2  2:57  
 And because it's all automated, it's way more efficient, less room for human error to you know, typos, misplaced files, all that stuff. 

Speaker 1  3:07  
Yeah, no more mishearing something over the phone or dealing with bad handwriting. I can definitely see how that would be a game changer, especially with something as important as insurance. It's not like ordering a pizza, right? You want to make sure the information's Right, absolutely.

Speaker 2  3:19  
And it's not just good for the buyer. It streamlines the entire process for the dealership too.

Speaker 1  3:25  
Speaking of the dealership, the article mentioned cost savings as a major benefit. What do they mean by that?

Speaker 2  3:32  
Well, think about it, less time spent on manual verification means you need fewer employees to handle it and less paperwork, of course, fewer delays. It all adds up.

Speaker 1  3:43  
So I gotta play devil's advocate here for a second, right? So if a dealership's saving money because they don't need as many people to, you know, process all this stuff, does that mean some people are gonna lose their jobs? 

Speaker 2  3:55  
That's a really good question, and it's something the article actually addresses. And yeah, it's true, some tasks might become automated, but it's not like everyone's suddenly out of a job. This technology, it also opens up opportunities for different roles within the dealership.

Speaker 1  4:09  
So it's more about a shift in the types of skills that are needed exactly.

Speaker 2  4:14  
You might need fewer people to manually check insurance, but now you need folks who can manage these systems, troubleshoot any issues, help customers navigate all the digital stuff. 

Speaker 1  4:24  
It's like with any new tech, it's not always about eliminating jobs. It's about adapting to the changing landscape and picking up new skills, right? 

Speaker 2  4:31  
And those new skills, they often come with better pay too, which is a win for employees. 

Speaker 1  4:36  
That's a good point. It's easy to just focus on the downsides, but seeing the opportunities for growth. That's important too. It's all about perspective.

Speaker 1  4:43  
I like that. So we've talked about how this benefits dealerships, the efficiency, the cost savings, all that. But what about us, the everyday car buyers, besides not having to wait so long, of course. 

Speaker 2  4:55  
Well, one thing that I think often gets overlooked is that this could actually lead to lower insurance premiums. First. Safe drivers lower premiums. 

Speaker 1  5:01  
Okay, now you're talking, how does that work? Exactly like does the system give me a discount for not speeding or something,

Speaker 2  5:06  
Not quite but it's in the ballpark. These systems, they give insurance companies access to way more data so they can assess risk more accurately, see how likely you are to get into an accident if you're a safe driver, clean record, all that this tech can actually work in your favor. Might mean lower premiums.

Speaker 1  5:25  
So it's like, it's not just about making the verification faster. It's about using all that data to make things more personalized, maybe even a little fairer when it comes to how much we pay for insurance. Yeah, that's pretty cool. .

Speaker 2  5:37  
Actually, it is—Shows how tech can be good for businesses and for us regular folks, but like with anything new, gotta look at the whole picture, right? The good and the well, the maybe not so good, right?

Speaker 1  5:47  
Right? And the article did touch on some of those potential downsides, like privacy, for example, we are talking about sharing some pretty personal info here, right? Our insurance details and who knows what else? 

Speaker 2  6:00  
That's a big one, for sure. And the article actually addresses that. They use this phrase. They say consumers need to permit access to their data for this to work, meaning you actually have a choice.

Speaker 1  6:11  
Okay, so they can't just, like, I don't know, go snooping around in my stuff without my permission. 

Speaker 2  6:17  
Okay, kind of like those terms and conditions you scroll through a million times a day, right? 

Speaker 1  6:23  
Yeah. So I guess it's up to us to decide if that convenience, that instant verification, if it's worth sharing our day exactly, you have the power. Okay, that does make me feel a little better about the whole thing. But what about security? I mean, once my info is out there, how do I know some hacker isn't gonna get their hands on it, right?

Speaker 2  6:41  
And that's a valid concern. No system is perfect, right? But there are a lot of regulations and safeguards in place to protect your data, especially sensitive stuff like insurance details, think strict security standards, encryption, all that good stuff. 

Speaker 1  6:57  
It's not like they're just writing it down on a sticky note and sticking it to a computer monitor. 

Speaker 2  7:01  
Definitely not security is a huge priority for these companies, and honestly, even the old school ways of doing things like paper files, phone calls, they have their own weaknesses. Paperwork gets lost, conversations get overheard. Digital systems, when done right, can be way more secure. 

Speaker 1  7:18  
That's a good point. I never really thought about it like that. So sometimes going digital can be even safer than the old fashioned way. 

Speaker 2  7:26  
Interesting, for sure, but I think the key takeaway here is awareness. We need to be informed. Know how our data is being used, and always, always advocate for our privacy rights.

Speaker 1  7:35  
So educate ourselves. Make informed decisions all that good stuff.

Speaker 2  7:39  
Yes, and policy makers, regulators, they have a big role to play too, right, making sure these companies are playing by the rules. 

Speaker 1  7:45  
Yeah, totally. It's like this big team effort, consumers, companies and the government, all working together to find that balance, you know, between innovation, convenience, all that, and our right to privacy,

Speaker 2  7:57  
Exactly. And that balance is going to be an ongoing conversation, for sure, especially as tech keeps evolving, becoming more, I don't know, intertwined with our lives. 

Speaker 1  8:06  
Speaking of intertwined, the article mostly focused on car dealerships, but then it kind of hinted at other possibilities, right? Like, where else could we use this instant verification stuff? 

Speaker 2  8:15  
Oh man, that's where things get really interesting. Imagine, like any situation where you need to prove you've got insurance, rental cars filing a claim, even ride sharing companies making sure their drivers are covered. The possibilities are huge.

Speaker 1  8:28  
Wow, you're right. It could change so many industries. But let's zoom out even more for a second. This whole concept, instant verification with data. Where do you see that going in the future? 

Speaker 2  8:40  
I mean, beyond just insurance, it's pretty mind blowing when you really think about it, this tech, it has the potential to completely change any process that relies on verifying information. 

Speaker 1  8:50  
It really makes you think, doesn't it like it's cool and all, but what happens when we have instant access to everything? Is that always a good thing? 

Speaker 2  8:58  
That's the question, isn't it? The million dollar question. It's easy to get caught up in the excitement the Gee Whiz of new technology, right, right, but we can't forget about the trade offs, the potential downsides. I mean, think about data breaches, for example. Oh yeah, true. Even with all the security measures in place, there's always that risk, right? Someone somewhere trying to break in get their hands on our information.

Speaker 1  9:22  
Yeah, you're right. Makes you think twice about clicking. I agree on those terms and conditions. 

Speaker 2  9:27  
And then there are the ethical questions, the big picture stuff, like, how do we make sure this technology is being used responsibly, that it's not, you know, creating new problems or making old ones even worse, right?

Speaker 1  9:39  
Right! And we talked about the lower insurance rates for safe drivers, which is great, but what about everyone else, the ones who maybe don't have a perfect record? Could this kind of technology actually end up hurting them?

Speaker 2  9:53  
It's definitely something we need to be really, really careful about, because these algorithms, even when they're designed with the best of intention. 

Speaker 1  10:02  
Is they can still have biases built in, because they're designed by people, and people are biased, right? 

Speaker 2  10:05  
Exactly. So we need to make sure we've got a variety of voices, different perspectives involved in developing this tech. Otherwise, we're just repeating the same mistakes. 

Speaker 1  10:14  
That's a really good point. It's not just about the technology itself. It's about who's creating it and what values they're bringing to the table. 

Speaker 2  10:22  
100%—technology is just a tool at the end of the day, and like any tool, it can be used for good or, well, not so good. 

Speaker 1  10:31  
It all depends on us. So I guess what we've been talking about, it's really just the tip of the iceberg, this whole deep dive.

Speaker 2  10:35  
 It's really just the beginning of the conversation. As this technology keeps growing, becoming more common, we're gonna have to keep asking these tough questions about data, about privacy, about fairness, all of it.

Speaker 2  10:48  
Absolutely

Speaker 1  10:50  
And for anyone listening who maybe wants to learn more, we definitely recommend checking out that measure, one article, automated auto insurance verification for car dealerships. We'll be sure to link it in the show notes. It's a great starting point for understanding this whole thing for sure. Well, on that note, I think it's time to wrap up our little deep dive into the world of automated auto insurance verification.

Speaker 2  11:11  
It's been fun. 

Speaker 1  11:13  
Yeah, it has. And honestly, little mind blowing at times. 

Speaker 2  11:18  
Who knew insurers could be so interesting? Right? It's the future, baby.

Speaker 1  11:20  
It is. But until that future gets here, folks, stay informed, stay curious, and keep those engines running, we'll catch you on the next deep dive.