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Q1 2026

Quarterly Embedded Auto Insurance Report

Insurance Insights for Auto Dealers

Polly Quarterly Report

Polly's Embedded Insurance Report

Insurance Becomes a More Predictable Driver of Deal Performance

  • When customers purchased insurance, F&I gross increased by 35%, or $564 more per deal—reinforcing that deeper engagement drives stronger results.

  • Top-performing dealerships saw F&I lift ranging from 8% to 47%, with consistent quoting tied to more predictable outcomes over time.

  • Insurance market friction has dropped significantly, with only 2% of buyers struggling to secure coverage in Q1 2026, down from 15–20% in 2023.

  • Median monthly insurance rates continued to decline to $168 in Q1 2026, helping stabilize affordability and reduce payment volatility.

Insurance is shifting from a dealership add-on to a standard part of the sales workflow. It's helping dealers reduce buying friction, improve affordability, and keep deals moving.

Already have an insurance solution? Curious how it compares? The Polly quarterly report highlights how insurance is consistently improving car buying performance.

Download the report to see more.

Send Me The Report!

Insurance Becomes a More Predictable Driver of Deal Performance

Polly's Embedded Insurance Report

  • When customers purchased insurance, F&I gross increased by 35%, or $564 more per deal—reinforcing that deeper engagement drives stronger results.

  • Top-performing dealerships saw F&I lift ranging from 8% to 47%, with consistent quoting tied to more predictable outcomes over time.

  • Insurance market friction has dropped significantly, with only 2% of buyers struggling to secure coverage in Q1 2026, down from 15–20% in 2023.

  • Median monthly insurance rates continued to decline to $168 in Q1 2026, helping stabilize affordability and reduce payment volatility.

Insurance is shifting from a dealership add-on to a standard part of the sales workflow. It's helping dealers reduce buying friction, improve affordability, and keep deals moving.

Already have an insurance solution? Curious how it compares? The Polly quarterly report highlights how insurance is consistently improving car buying performance.

Download the report to see more.

Send Me The Report!

The Experts

Weili Yuh

Weili Yuh
SVP of  Underwriting

Sonia Xing

Sonia Xing
VP of Acquisition Analytics

Kalin Kostadinov

Kalin Kostadinov
Director of  Analytics

Methodology

Embedded auto insurance market opportunity data from Q1 2024 through Q1 2026, defined as new policies per car buyer engaged in an insurance conversation at the dealership, weighted by consumer mix and insurance carrier risk appetite.

The dataset comprises of 1,285,740 vehicle retail sales transactions covering the period from January’22 to March’26, with an average 30 thousand transactions per month.

The sales transactions are as reported by 147 distinct dealership groups with between 1 and 42 stores, with the median group reporting more than 3,500 transactions over the 3 years period. As the dealership level variation is a main source of heterogeneity in the data, the data have been imputed using ARIMA models to create  an additional synthetic 50,000 transactions to account for some dealerships not reporting in some months. 

The data comes from the Authenticom feed for the dealership groups, except for a large dealership group in the Northeast that has provided a separate file with sales data.    

The dataset covers at least 10,000 transactions for each of 24 distinct vehicle brands, with the top 5 of FORD, TOYOTA, HONDA, KIA and CHEVROLET covering 42% of all sales.

The sales are nationally representative with 90% coming from 23 geographically diverse states with more than 10,000 sales each.

Top 10 Dealership are selected each quarter among the high-Polly-engagement dealerships, meaning at least 50 quotes and quoting at least 2% of car buyers each month. 

Hard-to-Insure represents the share of car buyers who requested a quote from Polly, and either did not find a single carrier to insure them, or all quotes received where for $800 a month or higher. 

Insurance rate data is based on 1.5 million insurance quotes over the past 14 quarters from 9 insurance carriers for car buyers in all 50 states.