Aren has been working in fintech/insurtech since 2011, where he was first exposed to glaring problems, yet immense opportunity. He then joined Omnicom Group, working his way up to becoming a seasoned executive and leading multiple technology, user experience, content, and media initiatives for some of the world’s largest brands like McDonald’s, Apple & Volkswagen Group. Having finally gained the experience, skillset, and network necessary to solve big problems in financial/insurance technology, Aren co-founded Mychoice.ca, with a goal to save Canadians $1 Billion Dollars!
How was your experience working in fintech and for some of the largest brands in the world? What inspired you to establish Mychoice.ca?
Developing a successful fintech company requires an aptitude, and a certain level of mastery, for user acquisition. During my experiences, I was able to witness how some of the best-of-the-best target desirable clients across digital and traditional platforms, cost-efficiently and at scale. More importantly, I saw the type of meticulous planning that goes into creating user experiences that are designed to reduce friction and convert users into customers. As far as Mychoice.ca, the inspiration came to my co-founder and me when we noticed that the United Kingdom, where he is from, has established comparison engines and that Canada was lagging behind. Our experiences working in fintech and insurance gave us the confidence that we had enough of an understanding of the industry landscape and the right network to be competitive in the space with our own offering.
How does postal code discrimination affect auto insurance rates? And what steps must drivers take to receive the best rates tailored to their driving needs?
There are vast differences in rates across postal codes, and the effects are due directly to the number of claims and payouts that occur within that area – fraud rates in the area could be a factor as well. Areas like the GTA have more people and more collisions, increasing insurance premiums. Drivers need to know that although the process of finding affordable car insurance can be confusing, there is a key to getting the best deal available for their needs. My Choice makes the process easy and unbiased by offering drivers a selection of car insurance rates from top providers to help save them cash.
What, in your opinion, distinguishes My Choice from its competitors in the brokerage industry? Is this proving advantageous to the customers?
The difference is simple yet extremely significant for the consumer. Brokerages are our clients, not our competitors! The brokerage model is fantastic because it ensures that users are getting the service they need at no additional cost. We work with some of the country’s largest brokerages to ensure that our users get quotes from a wide range of providers in one place, rather than having to call different brokerages. Apart from brokers, we can also work with direct insurance companies, providing more choice and transparency for the user. We act as an extension of the marketing team to our broker and direct partners, ensuring that we give our users plenty of choices. Because of this, My Choice’s primary goal to match users with both brokerages and direct insurers at the best price for their specific needs is truly unbiased.
What specific role does an Ontario postal code play in determining auto insurance premiums, given that so many factors influence them?
Although there are other factors including driving history, age, gender, and vehicle make and model influencing auto insurance premiums, postal codes drive up these prices quite significantly. Premiums tend to be higher in areas with more claims and payouts. This means even if you have not made a claim, you could still be paying a higher rate just by living within a certain postal code.
How will the recent announcement by Ontario Premier Doug Ford to end postal code discrimination by insurance companies throughout the province benefit all Ontarians?
It’s a double-edged sword. If this goes through, the implication is that you will not be personally penalized for living in an area with higher claims. While some pockets of the GTA may decrease, insurance companies will need to offset risk, and we may see an increase in rates in rural areas as they move towards a new established provincial average. This could also be a move to push for more personalized risk calculation, like using credit scores, where precedents have been set in Alberta and New Brunswick.
What specific recommendations do you have for the residents of Ontario regarding the selection of an insurance company? How is it possible for My Choice to provide auto insurance quotes from the top providers within three minutes?
My biggest recommendation would be just because your neighbour or friend has a good rate at one company; it doesn’t mean that specific company is going to be the best for you or the cheapest. Different companies have different ways of assessing risk, and specific factors may be more important to some than others! For example, if your neighbour tells you they have a cheap rate with Company A, that company might place much more weight on age and insurance history rather than another company, resulting in a much higher rate for you than someone in your postal code. That’s why it’s important to shop around and not wait for regulatory changes!
Lastly, we’re able to provide auto insurance quotes from the top providers in three minutes because we have worked hard to get the right partnerships in place, and our experience in fintech/insurtech has enabled us to build a truly frictionless quoting process. Give it a try for yourself!
