Insurance, Use cases

Examples of Referral Marketing at North American Insurance Carriers

Last Modified: 21/02/2025
11 min read

Author:
Alex Pandya - Marketing Manager

We’ve looked at examples of insurance referral marketing programs globally in this article, and explained why referral marketing is a natural fit for insurers here, and even the wider strategic marketing options for insurance carriers. But we wanted to take a closer look at the prevalence of insurance referral marketing programs across North America in this instance.

Of course, given the sheer size of the North American insurance market, both geographically and in terms of pure financial numbers (premiums paid, number insured, sums invested), you’d expect to see a diversity of players across life insurance, property and casualty and health insurance. But the nature of insurance regulation in the United States is just one of the factors which means that there are almost six thousand insurance companies across the nation. Because insurers are regulated by State laws, which have precedence over Federal law, an insurer needs to be licensed in each State it wants to operate in, whether as domestic, foreign or alien. And as each State has its own laws and regulations, this can affect the the marketing and advertising an insurer can do in any particular State, which could potentially restrict the ability to run referral programs, at least to the extent to which rewards and incentives can be offered.

Meanwhile, in Canada, which has a lower population and only ten provinces, there are over 150 insurers that are regulated by federal and provincial regulators. Marketing conduct is typically overseen by Superintendents of Insurance.

Leaving aside the complexities of insurance regulation, it’s clear that referral programs are a common part of insurance marketing in North America and it’s not hard to understand why given that North American insurers face a highly competitive market where the costs of paid search and affiliate marketing are high. When you consider that research shows that referred-in customers are more valuable than those acquired from other channels, and that referral has become an everyday feature of customers’ lives, with eight out of ten customers wanting to be able to refer their favorite brands and 95% claiming to to have referred at least one friend in the past year, it’s no surprise to see this. In fact, one particular reason why referral works so well for North American insurance carriers is that it’s difficult for the average John Doe to distinguish between one insurer and another, or one policy from another (particularly with small print written in confusing legal terms). Which is why getting trusted recommendations from friends, family and colleagues who are or were policyholders of an insurer is the most convincing marketing message possible.

Below, we’ve summarized the insurance referral programs currently available across North America:

1. Trupanion

Trupanion, the Washington based, leading cat and dog insurance provider in the United States, Canada, Australia, and Puerto Rico, provides comprehensive insurance plans that cover hereditary & congenital conditions.

Trupanion’s referral program for breeders offers referrers a choice of vouchers worth US$25 for each successful referral (up to US$600 a year).

2. Square One

Vancouver’s Square One offers provides customizable property insurance for homeowners, landlords, and tenants with personalized limits, coverages, and deductibles. The brand won Best Home Insurance Agency – Canada at the Wealth and Finance International Global Insurance and Risk Management Awards 2022.

Square One offers rewards across different stages of the customer journey. A referred-in friend gets a C$10 Amazon gift card for requesting a quote while the referrer will get a $25 account credit when their friend takes out a policy.

3. CRN Insurance

CNR is an independent insurance agency based in the United States and representing several highly rated insurers for Personal, Commercial, and Life-related insurance products.

CNR has an open program allowing anyone to refer, whether or not they are a customer, and pays referrers US$25 to referrers for each new policyholder acquired. The new customer does not appear to get a reward.

While we have no inside information as to how well this program performs, we think this is a very basic program that could drive much more if upgraded. For example, while the copy explains how it works, it’s just a simple form asking who referred you and doesn’t really grab a visitor’s attention or showcase the rewards.

4. Excalibur Insurance

Based in Ontario, Canada, Excalibur Insurance has a fundamental and overt ethical mission statement. It specializes in home and motor insurance, but also offers health, farm, business, recreation, and other – more niche – cover.

Their referral program provides three types of reward when a referred-in friend asks for a quote and both the referrers and friend: (i) receive a C$20 Tim Hortons voucher; (ii) are entered into a monthly draw with a prize of C$100; and (iii) are also entered into an annual draw to win a prize worth $2500. While the rewards are enticing, the referral process is very simple and requires that the referred-in friend either ring for a quote and name the referrer or fill in a very short form with contact details and the name of the referrer.

5. Spivey Insurance Group

Spivey’s landing page is similar in structure to that of CNR Insurance, but with an additional incentive of possibly winning $1,000 in a draw slated for end-of-the-year. This is on top of the guaranteed $10 per referral scheme.

Spivey has also emphasized customer goodwill, together with a sense of community, to link positive feelings with the brand. In a bid to simplify the referral process, they’ve used a form where visitors can fill up all the details needed to refer a friend, peer, or family member.

6. American Collectors Insurance

American Collectors Insurance is a leading provider of classic and collector car insurance policies, based in New Jersey. The company has been insuring collector vehicles for over 40 years, and they have earned a reputation for their excellent customer service and comprehensive coverage options.

The American Collectors Insurance referral program rewards their customers and the new member or partner with 1 complimentary digital issue of the current Automobilia Resource Magazine. The Existing customer can also earn increased rewards for multiple referrals. For 5 referrals, the existing member or partner will receive a complimentary digital Collector Car Encyclopedia by Hemmings when 5 new potential members request a quote from American Collectors Insurance. For 10 referrals, it’s a 1-Year Print Subscription to Hemmings Classic Car. For 15, they’ll get 1 “Do Not Touch” license plate cover. Lastly, for 20 referrals, the existing member or partner will receive an “Ultimate Evangelist Swag Pack”.

Perhaps these rewards are well tailored to their demographic, but we wonder if a choice of rewards, including cash, vouchers or discounts off the next renewal, might increase the number of referrals.

7. Evertree Insurance (Formerly Prosper Insurance)

Evertree Insurance Solutions provides personal and commercial insurance coverage for individuals and businesses based in Virginia Beach. The company’s offerings include auto insurance, homeowners insurance, and commercial insurance policies and are one of the fastest growing agencies in Virginia with over 100 employees and serving Virginia, Tennessee, North Carolina, District of Columbia, South Carolina, Maryland, Georgia, and Kentucky.

At the time of writing Prosper Insurance ran a referral program rewarded their customers with a $20 PayPal payout for every friend that gets a quote from them. To participate, the referrer had to have an active policy. Rewards were paid out for any valid quotes, whether or not the referred-in friend took out a policy. However, since Prosper Insurance’s acquisition by EverTree, the program appears to be stalled or removed.

8. Ethos

Ethos Life Insurance is a digital life insurance company that offers affordable and reliable life insurance policies, based in California. Ethos aims to make life insurance accessible to everyone by offering policies that are easy to understand and purchase.

The Ethos Life Insurance referral program offers a $50 Amazon gift card for each referred-in friend that completes an application and a medical exam, and an additional $100 Amazon gift card if they are later approved and take out a policy. The referred-in customer also receives a reward in the form of a $50 Amazon gift card and there is no limit to the number of referrals a person can make.

9. Root Insurance

Root Insurance is a US-based car insurance company that uses telematics technology to offer personalized insurance rates based on a customer’s driving habits. With a focus on using data and technology to improve the insurance experience, Root Insurance aims to provide customers with fair and affordable rates. In 2020, the referral program drove 10% of all new customers.

Root’s referral program allows anyone to refer friends and family. For each successful referral, the referrer gets between $10 to $100, depending on the State where he or she resides. Customers can claim rewards in the app, get paid via bank account transfer or Paypal, get a prepaid Visa card or choose a gift card to any of the provided vendors. There is no explicit reward for the friend.

10. Policygenius

Policygenius is a leading online insurance marketplace that makes it easy for consumers to compare and buy insurance policies online. Policygenius offers a wide range of insurance products, including life insurance, disability insurance, and pet insurance, from top-rated insurance companies. Their program has been successful, with 25% of new customers coming from referrals in 2020.

Policygenius’ referral program rewards the referrer with a $100 Amazon gift card after the referred-in friend is approved by an insurer for life insurance application and a further $50 after their friend reviews their home & auto insurance quotes with an agent. There is a maximum limit of $450 that can be earned in any calender year.

11. Embrace Pet Insurance

Embrace Pet Insurance is a pet insurance company based in Cleveland, Ohio, that offers comprehensive insurance coverage for cats and dogs. Embrace’s policies cover a wide range of conditions, including accidents, illnesses, and hereditary conditions.

At the time of updating this article, the referral program looks to be paused/no longer available, but when it was live the program rewarded the referrer with a $25 gift card for their first successful referral and then donated the same amount to charities like The Cleveland Animal Protective League, KodiakCare and RedRover for every subsequent referral.

12. Fabric

Fabric is an online life insurance company that provides coverage in all 50 states in the United States. With Fabric, customers can apply for life insurance online and can get an answer in minutes.

At the time of updating this article, the Fabric referral program seems to be paused/no longer available, but previously existing customers and non-customers could receive $25 for each friend who received an offer for life insurance. There was a limit of $100 that a person could receive in referral rewards.

13. Healthy Paws Pet Insurance

Healthy Paws Pet Insurance is a provider of pet insurance for cats and dogs in the United States. They offer a comprehensive pet insurance plan that covers accidents and illnesses, and the company has an A+ rating with the Better Business Bureau.

Healthy Paws are currently updating their program at the time of writing and a newer version will be coming later in the year (2024). The historical Healthy Paws’ referral program had no direct reward for either the referrer or referred-in customer but for every completed referral, they’d donate $25 to homeless pets on behalf of the referrer.

14. Kin.

Kin Insurance is an insurance technology company that provides home insurance in several States across the United States. Their sophisticated platform allows customers to get a quote and purchase insurance online in just a few minutes.

Kin’s referral program rewards the referrer with a $20 gift card when someone they refer signs up for a quote. The maximum amount of reward is dependent on State laws and cannot exceed $100 per person. At this time, Kin’s referral program is only available in Florida, USA.

15. Ladder Life

Ladder Life is a digital life insurance company that offers flexible, affordable policies to its customers. The company launched in 2017 and is headquartered in Palo Alto, California. With its easy online application process and customizable policies, Ladder Life has quickly become a popular choice for those seeking life insurance coverage.

Through their referral program, existing Ladder Life customers can refer friends and family to the company and earn $50 or $25 PayPal credit (depending on the State) per referral, up to a maximum of $1,000. for each successful referral. Referred-in customers will not receive a reward.

16. Bestow

Bestow is another digital life insurance company that offers affordable, no-exam policies to its customers, based in Dallas, Texas. Bestow’s policies can be purchased entirely online and offer coverage for up to $1 million.

Bestow’s referral program allows customers to earn a $25 gift card for each successful referral. The maximum Qualified Referrals earned may be no more than 15 for each Bestow policyholder. Referral payouts can take up to 30 business days from the eligible completion date to receive.

17. Reata Insurance

Reata Insurance is a Texas-based independent insurance agency that offers a wide range of insurance products to its customers, including auto, home, and commercial insurance.

Through their refer-a-friend program, existing Reata Insurance customers can refer friends and family to the company and earn a $20 gift card if the referred-in friend gets a quote. The refer can only earn one reward but for every referral quote, Reata will donates a matching $20 to Travis Crisis Ministries.

18. Marble

Marble bills itself as the first and only all-in-one insurance management tool and rewards platform. Based in New York, the company offers users a consolidation of all existing insurance and coverage into one place, organize, earn rewards, and take control of risk.

Through their referral program, existing Marble users can refer friends and family to the app and earn Marble rewards points, to use for designated Marble products and services. Referred-in customers will also receive a bonus credit after signing up and making their first deposit. The referral program is subject to certain terms and conditions, which can be found on the company’s website.

19. TruShield

TruShield Insurance is a recognizable provider of insurance products and services targeted primarily at small to medium-sized businesses in Canada. They focus on offering affordable and flexible insurance solutions to meet the unique needs of entrepreneurs and small business owners. TruShield aims to support the growth and sustainability of small businesses by providing insurance that caters to their specific needs, such as cyber risk insurance, professional liability insurance, and general business insurance, among others.

TruShield’s referral program invites their customers to share their appreciation for the brand and get rewarded for their advocacy. Both the referrer and the referred-in friend will be rewarded $25 in Amazon vouchers for each successful referral. There is a five reward limit for each cusomer so long as their friends are eligible for a quote and result in a successful referral.

20. Evolve Insurance

Evolve Insurance Florida is an independent insurance company founded in 2016 that provides commercial property and casualty insurance for Medical Offices, Private Markets, Public Markets, and well-established property Investors.

Their referral program does not seem to give rewards to its participants though still encourages them to refer based on it’s great service.

21. Hiscox Insurance

Hiscoxm, an underwriter at Lloyd’s of London, is a prominent international insurance company with headquarters in Bermuda and offices in 14 countries. They have been operating in north America, insuring US customers since 2006, with offices in ten US destinations.

Their referral program is open to anyone and reward structure is a raffle. Interestingly, Hiscox rewards for the referrer taking the action of sharing. For example, each email they share earns one entry, and each social media share earns five entries into their monthly draw, giving them the chance to win one of ten $50 Amazon.com gift cards. Hiscox doesn’t guarantee rewards for generating qualifying leads, no do they guarantee themselves a new customer for each referral. There is a cap of 25 draw entrees per month.

22. Next Insurance

Founded in 2016 and headquartered in Palo Alto, California, Next Insurance offers industry-tailored small business insurance, including liability, auto, and workers’ compensation. Using AI, Next Insurance processes applications in just 10 minutes and provides 24/7 access to certificates of insurance and claims support. By 2023, they had 500,000 active customers and raised $1.1 billion in funding, with a $2.5 billion valuation as of November 2023. Their gross written premium revenue reached $920 million in December 2023. The company has garnered several industry accolades, including a place on the prestigious Forbes Fintech 50 2024 list and recognition as an Insurtech 100 company for its innovative approach to business insurance.

Next Insurance’s referral program is designed exclusively for its customers, offering a $25 Amazon gift card for each successful referral, with a maximum of 10 referrals per year. The referral is confirmed once the friend successfully receives a quote, with a three-month cooling-off period in place. Unfortunately, friends cannot receive a specific reward due to legal limitations.

If you have a referral program or are thinking of launching one, then we would be happy to talk with you. Of course, if you think your program should be on this list, let us know and we can add it to the article.