Embedded Insurance: Key Sales Channel In Insurance Industry for 2025
It’s no secret that the way people buy insurance is changing — fast. Traditional distribution models are giving way to digital-first, experience-driven solutions. And right at the heart of this shift is embedded insurance.
Rather than asking customers to seek out coverage separately, embedded insurance brings protection right to the point of need — seamlessly built into the purchase of a product or service.
Whether it’s travel insurance offered during flight booking, or device protection included with a new phone, the idea is simple: make buying insurance as effortless as possible.
And it's working.
Embedded insurance is quickly becoming one of the most important sales channels in the insurance industry. Industry forecasts suggest that the global embedded insurance market could more than double by 2029, reaching over $700 billion in value.
Even more striking — some projections see this channel accounting for up to 16% of all global insurance distribution by 2032, which translates into roughly $1.5 trillion in gross written premiums - by far the most of any insurance sales channel.
Key Benefits of Embedded Insurance for Car Insurance
As embedded insurance continues to reshape how policies are sold, the auto insurance sector is emerging as one of the biggest beneficiaries.
The nature of car ownership, financing, and digital sales journeys makes it an ideal fit for embedding coverage at the point of sale or service. For insurers and auto businesses alike, this shift brings tangible advantages — not just for users, but for the bottom line.
Here are the key business benefits of embedded insurance in the car insurance space:
- Higher Conversion Rates: By offering insurance at the right moment — such as during car purchase or loan application — businesses capture customers when they’re most motivated, leading to significantly higher policy uptake.
- New Revenue Streams: Car dealerships, lenders, and marketplaces can tap into insurance sales as a new monetization layer, earning commissions or sharing in premium revenue.
- Shorter Sales Cycles: Embedding insurance streamlines the quoting and purchasing process, reducing friction and helping close deals faster — especially important in competitive markets.
- Improved Customer Retention: Offering bundled products (e.g., financing + insurance) creates more value and convenience for customers, increasing loyalty and reducing churn.
- Data-Driven Personalization: Embedded models can use customer and vehicle data to tailor coverage options, leading to more relevant offers and better pricing — a win-win for both insurers and buyers.
- Cost-Efficient Distribution: Embedding policies into existing car-buying journeys reduces the need for costly standalone marketing and distribution, increasing overall profitability.
- Faster Market Expansion: For insurers, partnerships with auto platforms allow rapid scaling into new regions or customer segments, without building separate sales infrastructure.
As the auto industry leans further into digital experiences, embedded car insurance isn’t just a convenient add-on — it’s becoming a strategic growth lever.
How to Quickly Create an Embeddable Quote Form for Car Insurance: Step-by-Step Guide
Creating a customized and embeddable car insurance quote form can significantly enhance your customers’ experience and boost conversions.
In this step-by-step guide, we’ll show you exactly how to build an interactive form for car insurance that can be embedded to your platform using Openkoda.
Follow the steps below or watch our video tutorial:
Step 1: Create Your Essential Form
Begin by laying the foundation of your form with a few essential questions.
Go to Developeent Kit in the Openkoda platform and add new Web Endpoint called “new-car-policy”.
These questions help gather critical data needed for an accurate car insurance quote:
- Vehicle Registration Number
- Date of First Registration
- Vehicle Model
And any other field you might need for your policy form
Including these fields allows you to quickly collect the data needed to calculate accurate quotes for potential policyholders.
Step 2: Include Dropdown Selection for Coverage Options
Next, enhance your form by adding intuitive dropdown boxes for selecting car insurance coverage packages.
These dropdown fields dynamically pull their values directly from your Openkoda database, ensuring consistency and eliminating manual updates.
Clients can conveniently select coverage variants such as:
If you decide to introduce a new variant, such as Premium Coverage, simply update your database, and it immediately becomes available on your embedded form.
Dynamic integration with your database ensures your customers always see the latest insurance options.
Step 3: Add Dynamic Premium Calculation
Your form should provide instant, accurate pricing to encourage quick buying decisions. To do this, add dynamic premium calculation logic.
The form will use predefined formulas considering factors like:
- First registration date
- Driver’s age
- Selected coverage type
- Location
This logic calculates the premium instantly, providing transparency and enhancing customer trust. Users can see how changes in their input immediately reflect in premium pricing.
According to the data introduced by the customer, the premium values change dynamically in real time.
Step 4: Implement Form Validation Rules
Validation is key to ensuring data accuracy and smooth processing. Adding validation rules to your form prevents errors by checking inputs in real-time.
For example, the system verifies:
- Correct date entry (such as vehicle registration date)
- Mandatory fields completed before submission
- Proper formatting of entered data
Clear notifications guide users if they enter invalid data, ensuring accuracy and reducing administrative workload.
Step 5: Securely Store Customer and Policy Data
Upon submission and confirmation, each policy quote is securely and instantly stored in your database.
Openkoda ensures all data is safeguarded, structured, and easy to retrieve for underwriting, reporting, or policy management.
Your policy management dashboard conveniently displays all collected information, simplifying ongoing management and analysis.
Step 6: Automate the Confirmation Email
Enhance customer engagement and speed up conversions by sending automatic confirmation emails once the form is submitted.
Your embedded car insurance form can trigger an immediate email containing:
- Confirmation of details submitted
- A direct, personalized link to complete the purchase
- Relevant policy information
This automation significantly improves client satisfaction by streamlining their buying experience, driving increased sales.
Step 7: Finalize and Embed Your Quote Form
Now your fully interactive, intuitive, and accurate car insurance quote form is ready to integrate into your website!
Your embedded form features:
- Instant premium calculation
- Real-time validation checks
- Automated email confirmations
- Dynamic database integration for updates
This powerful, user-friendly solution dramatically reduces development time and helps insurers quickly adapt to customer demands, ultimately increasing conversions and customer satisfaction.
Embed Your Car Insurance Quote Form with Openkoda
With Openkoda, creating an embeddable car insurance quote form takes only minutes. The result? Improved client experience, enhanced operational efficiency, and increased potential for conversions.
Want to see Openkoda in action or learn how we can tailor a solution to your unique business needs?
Book a personalized demo and transform your insurance quoting experience with our flexible, powerful software solution for insurance industry.
