most dynamic sources of business growth. In 2001 the company’s link to AARP’s Web site accounted for much of the $55 million worth of auto business The Hartford generated over the Internet. Because The Hartford quotes and issues this busi- ness online (and added online billing in 2001), acquisi- tion and processing costs are 15 to 20 percent lower than those of traditional direct-marketing or face-to- face sales. Because of this and other factors, the expense ratio for AARP business is 30 percent below that of the industry in general. And the customer renewal rate is 96 percent, versus the industry’s 88 per- cent, making the AARP program yield some of the most profitable auto business The Hartford writes. The relationship also has The Hartford thinking ahead toward new business and an even stronger rela- tionship with AARP members. The Hartford can cross- market auto insurance to homeowner’s customers and homeowner’s insurance to auto customers, which  presents a tremendous growth opportunity. In addition, In other words, they share some of The Hartford’s core attributes. Although it’s the most comprehensive, the AARP relationship isn’t The Hartford’s only affinity program. The company also has affinity arrangements with USAA and other companies. Regardless of the pro- gram’s size, the affinity partners share the right quali- ties: strong name-brand recognition, first-class marketing and a broad and loyal customer base. The Hartford is committed to providing value to AARP members in many ways. An example: The Hartford and AARP work with the MIT Age Lab to produce informa- tion—available in print and on both partners’ Web sites—advising AARP members about Alzheimer’s dis- ease and other forms of dementia as they affect driving ability. The information guides caregivers struggling with difficult decisions about family members’ safety behind the wheel. The resource—a customer solution like no other—helps enhance the superior value The Hartford provides to AARP members. 14