GT Motive for Insurers

European market comparisons: A case study on the Spanish market

Spanish flag

Estimatics and motor claims management has traditionally been a complex challenge for all stakeholders – a trend we’ve seen not just within the UK market, but across the globe as well.

But, entering a new market which is already dominated by a single, primary competitor, will always be extremely difficult for anyone. To combat this, we at GT Motive draw from our successes in Spain, where we now stand as one of the two the leading, established estimatics provider in the country.

So, how did we get here?

A gap in the market for estimatics

There are many countries that have lacked competition and choice as the market is far too reliant on just one to two players. This observation was actually described as “The rule of three and four” by Boston Consulting Group in the 70s, writing that a ‘stable, competitive’ industry will never have more than 3 significant competitors.

For estimatics, the driving force behind bridging this competitor gap were insurance companies. I.e., large corporations funding small technology companies to solve the challenges they faced within the claims process and around repair estimation and predicted costs.

As a result, software was created to streamline the process all throughout the entire supply chain, and estimatics companies were born.

Bringing our vision to life

Originally created as an independent solution, GT Motive was built to bring the pain points from all stakeholders to the forefront, offering a platform that addressed all the wider problems within the claims process that often went unnoticed until the last minute.

Our vision was to ensure that bodyshops and supply chains all had a system that not only worked for them, but connected them seamlessly to other platforms used by insurance companies. Before estimatics, there was no recognised platform that could be used to agree crucial data points such as costs of repair. This was an opportunity, and GT Motive became just that; a cloud-based platform that provides users with a wealth of data, in a format and user interface that is easy to use and priced fairly, connecting everyone in the entire supply chain from any location.

Our immersion of the Spanish market

With 47 million inhabitants, 24 million cars on the road and with only 2,000 repairers within the collision repair network, Spain is 3 to 4 years behind the UK in terms of collision repair network management. What’s more, their car parc coverage is almost 13 years old.

However, the Spanish claims market was in a similar state to the UK market some 15 years ago. There was one company who had a monopoly, with 90% of motor claims processed using their solution. This meant that for us entering the market, we leant on our years of market and user research as well as our long and successful history with repairers, to understand the Spain’s’ challenges. And as a result, we were able to with them to create an effective solution which supported them operationally.

Offering users a choice

Further to this, Spain’s lack of a large repair network created a rich and open ecosystem where information could be easily exchanged between stakeholders. Whereas many were reluctant to change established processes that had worked for so long (much like the UK market some time ago), once the work providers experienced the benefits for themselves and started to implement our platform, the market was quick to notice, and adoption rapidly progressed.

Today, repairers and experts typically use both our platform and our Spanish competitor, with GT Motive processing 50% of claims in Spain and insurers now receiving data around the appraisal from both competing systems.

For us, we recognise this as a huge benefit to managing flexibility in the supply chain, as this natural competition gives users more negotiating power, fosters a greater environment for innovation and benefits everyone involved in the claims lifecycle.

Taking learnings from Spain’s progression

The existing market of estimatics being based on fixed price fees, and the perception that incorporating a new supplier will be a long and overwhelming technology projects, can put many organisations off in implementing any change.

Antonio Osuna, GT Motive Spain Sales Director commented that “when we started in the collision industry, it was tough in the beginning: resistance to change and the belief that there was only one valid standard.” But sometimes, that’s exactly what’s needed: change. And change isn’t always as daunting as it sounds.

Through collaboration and creativity, the estimatics industry can provide users with more choice, give more options to incorporate innovation, challenge existing pricing models and push a much more progressive technology ecosystem, all benefitting everyone in the entire claims process as well as customers too.

Why choose GT Motive?

We offer the very latest references, labour times and spare parts prices in our cloud-based estimating solution, and we’re constantly updating our data points to ensure our entire supply chain, from bodyshops to brokers, have the most precise data, always.

For example, new vehicle models are added bi- weekly to our OEM prices, with data being updated daily in our solution. Not only does this mean we can offer a 96-98% car parc coverage, making our system a highly reliable tool for a claims department, but it also allows our customers to instantly access the exact right data they need, from any location that has web access.

ForGT Motive, our years of global growth and success have allowed us to shake up the market and become digital front runners within the claims sector.

Our goal is to offer the most intuitive and forward-thinking solutions to insurers and repairer networks across the globe, and that starts today.

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