7 Digital Customer Experience Tips for Insurers
August 29, 2016 4:37 AM
7 Tips to Building Next-Gen Customer Engagement Models
As a new digital generation of insurance matriculates, insurers are placing major emphasis on reshaping customer experience. Strategy Meets Action predicts insurtech startups, connected ecosystems and advancements in real-time engagement will be vital components of carriers next-gen customer models. In its Customer Engagement at the Digital Edge of Insurance report, co-created with the Silicon Valley Insurance Accelerator (SVIA), SMA highlights ways insurers are currently building out their strategies and offers tips of its own.
Product Redesign for a Personal Touch
SMA research finds 79% of insurers are already actively engaged in redesigning customer experience. However, most are split between using internal resources and third-party services. A remaining 21% of the 109 companies surveyed said they are not actively investing in redesign.
Enable Insurance Literacy
Insurers should use language customers understand and relate to, according to the researcher. Policyholders demand transparencyto know what they are being insured for, total costs and how to work with the insurance company.
Time to go Mobile
Insurance companies must be ready to connect with customers on their mobile devices, because that is how consumers are managing their lives these days. That's according to Robin von Heim, managing director/CEO of Simplesurance, who was quoted in the report. Similarly, SMA notes many other insurance companies are turning to mobile to engage directly with policyholders more immediately.
Developing a Strong Omni-channel
According to SMA Founder Deborah Smallwood, Its a digital world, and that is the only way to be relevant to and connect with todays customers. Real-time interaction is required by consumers and carriers must move fast to satisfy customers and thwart new sources [competition].
Partner With Insurtech Startups
About 25% of insurers are partnering with InsurTech startups in one way or another. Nine percent of insurers have also established venture capital function, notably Munich Re, AXA, American Family, and MassMutual, among others. Others continue to invest without the benefit of a VC arm. However, the majority of insurers are making no investments in insurtech companies at all.
Invest in Connected Home
Only 17% of insurers show no interest at all in connected world ecosystems. Much of the connected technology investment from insurers is in smart homes and the connected car at 48% and 43%, respectively. Other areas of interest include connected commercial fleets and connected life/health.