Consumers today demand personalized and seamless end-to-end journeys, just like they get with Amazon, putting increased pressure on insurers to improve customer experience and truly make it easy for people to do business with them. Websites are often outdated and hard to navigate, and forms processes are cumbersome at best – and archaic at worst. Who still has a fax machine?
One area in which insurance companies can make immediate changes is in how (and how often) they communicate with their customers. The other area is to make it easier for policyholders to submit information to both the company and their agent. According to McKinsey, customers who interact with their agents once a quarter have a customer experience score of 50, compared with 30 for those who had conversations once a year and 0 for customers who had less frequent interactions.
To bridge the interaction gap, insurers must reassess the roles of humans and technology in their communications. They need to give their agents technology that will enable them to easily access customer information and deliver personalized, empathetic communications with policyholders.
Here are three key ways insurers can do this:
1) Provide Options: Offering a variety of platforms
Delivering a great customer experience is crucial in today's competitive market. One way to do that is by sharing updates through the customer’s desired channel and allowing them to access personalized information on their terms.
Some channels, such as mobile apps and online portals, can be used for self-service tasks, freeing phone lines and agents for more complex inquiries. This benefits the customer (faster resolution) and the insurer (lower costs). Text messages can also be well-suited for quick questions, payment information or claims updates – 95% stated they would find it helpful to hear about the status of their claim. While this might not come as a surprise, call centers often face a high volume of claims status inquiries, which is why offering multiple communication channels is critical for both parties.
Insurers should also be mindful of how they are collecting information from their policyholders, because if there is one universal truth in our industry it’s that organizations continue relying on outdated, manual form processes to gather customer data. In today's digital age, customers expect interactive and automated forms, meaning insurers must seek out a centrally managed solution that features secure automation tool integrations to provide a quick and seamless experience.
However, insurers can’t take a one-size-fits-all approach to these channels. They need to be tailored to the individual’s needs. Creating a personalized experience not only builds customer loyalty but generates positive word-of-mouth that can attract customers who prioritize these kinds of interactions. 89% of customers are scouring the internet to find out what other customers say about providers before committing to a service.
See also: Balancing Technology and Empathy in Claims
2) Allow for Flexibility: Knowing customer preferences
Customers should be able to get the help they need on their terms, and it is crucial to recognize the differing preferences across generations. Not everyone prefers the same method of communication.
Older generations prefer phone calls, while younger generations are more comfortable with online interactions. However, preferences constantly change; Consumers age 55-plus are slowly becoming more comfortable with digital insurer interactions. Regardless of the choice, being able to make the decision about the channel that best fits their situation and schedule will instill a sense of trust between them and their insurer. This approach acknowledges the diverse communication preferences across different age groups and reduces any frustration customers may feel from being constrained to a single channel.
When insurers empower customers to choose how they engage and allow flexibility in their channel of choice, it can reduce their feelings of being stuck in a tedious process without human support.
3) Know Your Stuff: Having customer data readily available
On average, agents spend 26% of their time searching for relevant data during customer interactions. Having customer data readily available, like easy access to past policies, coverage details and contact information, eliminates this hassle and better arms agents to deliver a human touch.
For instance, an insurer with access to a customer's driving history or home security system can offer a more tailored risk assessment and potentially lower premiums. After a car accident in which a customer must file a claim, easy access to car details, claims history and preferred repair shops can make an already stressful situation easier to manage. The insurer can also guide the customer through the process quickly and efficiently, further minimizing stress.
See also: How AI Can Humanize Insurance
Empathy Still Matters
The insurance industry is no longer competing only with other insurers. Consumers expect seamless, personalized experiences at every interaction in the policy, billing and claims lifecycles, and insurance needs to catch up. Technology can be a powerful tool, but balancing human connection within that technology remains crucial. Equipping agents with the correct information and technology lets them personalize communication and build customer rapport. Regular touchpoints with customers and offering them flexible, customized channels and intelligent forms can significantly improve customer experience – especially when a person needs it most.
