Car Insurance Mobile App Development: a Full Guide

Are you looking for new ways to improve the quality of service for your mobile audience? Or do you want your audience to be more loyal to your car insurance brand? A car insurance app development can help you achieve both!

According to Statista data, people spend about 57% of their time on mobile apps and only 43% on computers. That’s why your website (even optimized for mobile) can’t give you great results.

If you’re reading this article, you want to learn more details about how to build a car app and what to expect along the way. In this guide, we’ll break down:

• The global market situation;
• Benefits and challenges of car insurance mobile app development;
• Must-have and extra features of the vehicle insurance app;
• Steps Stormotion takes to build a mobile app;
• The tech stack we use to develop an insurance app;
• The average cost to create a car insurance app.

Why trust us? We have built mobile applications for bus ticket price comparison and booking, white-label apps for CPOs, kiosk apps for EV charging payment terminals, e-scooter apps, and many others. You can find out more about them in our portfolio.

You can also watch a video where Tino Marx, CTO of CheckMyBus, shares his thoughts about our collaboration and the results his company achieved after building a mobile app.

To adapt to these changes, insurance companies are starting to use technology like telematics, AI, and big data. These practices help them better understand the risk for each customer, make better pricing decisions, and get more people to use their services.

The benefits of a car insurance software are quite obvious for you (after all, that’s how you turned up on this article, right?)

Let’s take a closer look at the features of an auto insurance app MVP!

# 1: Vehicle Information Screen

Quite obvious that before a user buys the insurance, they should provide some details about their car. The typical workflow is to ask them to fill in some information about their car: year, make, and model.

Moreover, you can improve such a standard and boring procedure when you create a car insurance app. Let the UK-based Cuvva car insurance application inspire you!

Their users should only enter the vehicle’s registration plate. Due to the integration with the GB DVLA, the app extracts all the car data straight from this database, killing two birds with one stone:

1. It simplifies the whole process from the user’s side.
2. It extracts data from the official database, leaving almost no room for mistakes or fraud.

📌 You can also read our article on how to build an EV rental app, since the vehicle information screen is one of the most important for them.

# 2: Quotes Screen

When the basic info is entered, it’s time to offer users available insurance services and plans.

Here are a few recommendations to follow:

1. Place one plan per page. It will focus users’ attention on it and let you provide all the key details. Also, users can move to the next plan by swiping right or down.
2. Use bright and catchy colours for the CTA buttons. It’s a known technique to draw users’ attention and push people towards the desired action.
3. Don’t hide real prices. It annoys people a lot, so make sure that they won’t face any difficulties when trying to understand how much your services are going to cost them.

As the automotive industry moves towards sustainable practices, you can integrate features with e-mobility meaning. Insurance plans for electric vehicles and bonuses for eco-friendly driving habits can position your car insurance app as a forward-thinking solution in the era of electric mobility.

# 3: Payment Processing Screen

When a user is interested in a specific insurance plan, don’t waste time and close the deal! During a car insurance mobile app development, we can integrate a smooth and secure payment gateway, either Braintree or Stripe, for this purpose.

From the UI perspective, this screen should include some basic info about the chosen insurance policy from the previous screens, like:

• Insurance type;
• Policy length (or duration);
• Start and end dates;
• Total price.

Also, this is the right moment to remind them about legal obligations since it’s the last step before users exchange their money for your insurance guarantees. Therefore, leave a place for a “Policy & Terms” button.

Since you want to create a car insurance app for an audience that’s on a first-name basis with mobile technologies, they should be able to save their credit cards for quick payments & access in the future. Keep in mind: this kind of data requires special protection and compliance with PCI-DSS (Payment Card Industry Data Security Standard).

📌 EV apps should also have a payment processing feature, affecting the cost to develop an EV charging station finder app like PlugShare.

# 4: Support Screen

One of the advantages of your mobile car insurance app or similar solutions, like EMSP software development, is the simplified interaction with your company. How can it be implemented? Through a support chat!

It opens a bunch of new possibilities for your users:

1. A 24/7 Live Support provides users with any kind of help from your professionals.
2. It can become a source of up-to-date information about the claims processing.
3. Chatbots can help users navigate through the car insurance apps and provide answers to basic questions. This approach mirrors the car rental mobile app development approach, where chatbots and customer support improve user experience.

📌 Similarly, adding a support feature is important when learning how to build an e-scooter app to provide users with real-time help.

# 5: Policy Review Screen

Of course, users should always have direct access to their insurance IDs. The typical solution is to add a separate screen (it’s usually known as the Policy Review or ID Screen) where users can check a policy type and number, vehicle specification, effective and expiration dates, etc.

# 6: Claim Filing Screen

The insurance business may be the only industry in the world in which both you and your clients hope that there will never be a REAL NEED to use your services.

However, you definitely need to add the Claim Filing Screen during the insurance application development. Its main goal is to simplify and speed up the claim processing.

Moreover, a chatbot can eliminate paperwork. Users will file claims without involving your staff. Isn’t that a great example of optimization and service quality improvement at the same time?

From the development perspective, there are several solutions that your Tech Partner can implement:

1. Create a chat (don’t confuse it with live support) where users can file a claim in real-time.
2. Another solution is to integrate claim processing into the live support chat. It will eliminate the need to create a separate screen and simplify the navigation within the app.
3. Finally, we can build a car insurance app with a chatbot that will help to quickly report the accident (just like in the State Farm mobile application).

# 7: Push Notifications

We can’t imagine how to create a car insurance app without push notifications. Why do you need them?

• To keep users informed about how their claim processing is going.
• To encourage them to use your insurance services if they left the app at some stage.
• To remind users to renew the insurance if their policy is going to expire soon.

As you can see, push notifications can serve both marketing and service purposes, providing noticeable benefits for your business and customers at the same time.

# 1: Chatbots

Already mentioned chatbots are a great example of advanced functionality that can be kept for further releases. Yet, since they are involved in direct interaction with your customers and can greatly improve the UX, we recommend planning it for one of the early post-release updates.

They will assist users 24/7, guiding them through policy details, claims, and other support requests without involving your team.

# 2: Telematics Integration

If you want to create a car insurance app that will go even beyond users’ expectations, try combining telematics with GPS services and motion sensors. This approach is used in Allstate and Root car insurance applications.

In a few words, the idea behind this nontrivial combination is to analyze driving behavior and provide users with rewards (for example, decreasing the cost of an insurance policy) based on this data. Meeting the criteria of “better driving” usually means:

• Not going above some speed limit (in the Allstate app, they have 80 mph, which equals about 120-130 kph).
• Limited night-time trips.
• Smooth braking and turns.

# 3: Roadside Tools

You can improve your mobile application with different roadside tools. It can include any services that will be useful to the drivers: fuel delivery, tire change, jump start, gas station finder, parking reminder, and so on.

# 4: AI and Machine Learning

You can also add AI features to one of the early updates after your MVP car insurance mobile app development. They can help automate risk assessment based on user data and driving behavior, making premium calculations more accurate and transparent.

Additionally, ML models can analyze photos of car damage to speed up approvals.

📌 Find out how to implement AI into an app in our dedicated guide!

# 5: IoT and Connected Cars

If you offer insurance policies to connected vehicles, you can integrate IoT tools into your app. These devices track things like braking patterns, mileage, and speed.

On top of that, IoT enables proactive maintenance alerts and can even detect accidents in real time to trigger emergency responses. It’s a powerful way to go beyond traditional coverage and offer real value to users.

📌 You can read more about these technologies in our articles on how to create a connected car mobile app and create an EV companion app.

# 1: Define Business Goals and Research the Market

Before diving into design mockups or architecture diagrams, you should clarify what you want to achieve with the app. Are you optimizing operations, improving user retention, going for a UBI model, or all of the above?

At this stage, you should also analyze your competitors’ features and business models to identify what could give your app a unique edge.

# 2: Find a Reliable Development Partner

The auto insurance app development is rather something that requires a reliable Tech Partner alongside.

Except for the development process, your tech partner should conduct a Discovery Stage to understand what exactly you’re trying to achieve with your product and come up with a list of core features for the car insurance app.

To get more information on what a Discovery Stage is and what steps it includes, read our article where we talk about the Project Discovery in detail:

# 3: UI/UX Design

The vision is clear. Now, it’s time to translate it into wireframes and interface flows. Car insurance apps deal with complex data, like claims management, coverage, billing, etc.

And the designer’s goal is to make everything as intuitive and user-friendly as possible. Keep the app design clean, use icons to reduce text mess, and make sure it’s easy to navigate for users of all ages.

# 4: Compliance & Data Security Setup

Your app handles sensitive data like user profiles, payment details, and claims-related documents. Depending on your target market, there are several data protection regulations your app might need to comply with.

For example, in the EU, it’s GDPR, a strict regulation that requires user consent for data collection, clear privacy policies, and the ability to delete user data upon request.

You might also follow insurance-specific rules like the NAIC Insurance Data Security Model Law, which outlines how insurers should manage and protect consumer data.

On the technical side, the car insurance app development team should implement end-to-end encryption, secure login, multi-factor authentication, and role-based access controls to prevent unauthorized access to the sensitive data of your users.

# 5: Develop the Car Insurance App

Now, it’s time to bring your idea to life through code. Our app developers usually start with an MVP that includes core features like policy management, claims filing, and support chat. This will allow you to launch faster, test the market demand, and improve the app based on real feedback.

# 6: Launch, Test & Monitor the App

Once you create a car insurance app, it’s time to make sure everything works exactly as expected. Our QA Engineers conduct manual and automated testing, performance checks, before delivering your app to users.

Now, you can deploy the app on Google Play and the App Store, where you can monitor its performance. Real-time feedback and crash analytics will help you catch and fix early issues before they impact users.

# 7: Analytics & Monetization

After launch, data is your best friend. Analytics helps you understand what’s working and what needs improvement. If monetization is part of your strategy, this is also the stage to test paid add-ons, partner integrations, or usage-based pricing models.

# 8: Provide Ongoing Support

Building an app is just the beginning. Regular updates, bug fixes, feature improvements, and support requests will keep your app relevant and reliable in the long run. You can hand it over to your tech partner who knows all the details of your application.

So, the approximate cost of car insurance mobile app development is between $48,000 and $62,600. We used the average hourly rate for Eastern Europe - $50/hour.

If you want to get a more accurate estimate for your project, contact us! After discussing the details of your app and conducting the Discovery Stage, we'll give you a precise estimate of the costs for developing a car insurance app.