Insurers have a unique opportunity to connect with today’s customers.
Policyholders have high expectations to buy from a trusted provider of personalized, cost-saving P&C insurance products able to meet modern lifestyles. The customer’s journey to find these products depends on touchpoints insurers can shape and improve.
What is the Insurance Customer Journey?
The insurance customer journey is the path new customers take to learn about your offerings and make contact with your company. Customers can passively learn about your products with large-scale brand awareness marketing as well as target lower funnel marketing to help push them towards a decision.
Insurers are able to take advantage of a variety of channels to connect with digital customers and are at a unique convergence with the interests of modern customers.
One survey found a whopping 90% of policyholders prefer to interact with their insurance carriers through digital channels, including 32.5% who prefer communicating through the carrier’s website.
Digitalization with Personalized Messaging
Policyholders tend to view insurance as a frustration that comes to their attention when there is a problem, whether the problem is to place a claim or seek out a lower premium to fit their lifestyle. This challenges insurers to proactively engage with new and current customers to remind them of benefits and new product lines.
Omnichannel distribution is the method of using many different channels to offer a seamless buying experience through various touchpoints, including through email, social media, comparative pricing tools, and more. These touchpoints can effectively gain a policyholder’s attention at the right time in their buying journey.
Once a policyholder is signed up, it’s essential to offer them access to their information and clear channels for further communication. From the customer’s perspective, every interaction with your business is a step towards building a new relationship. Many insurers have begun to dedicate resources towards white-label portals and chatbots to help nurture this relationship.
Modern Products Supported by Data Sharing
Standard P&C insurance policies apply fixed rates based on historical risk segmentation. The risk of insuring a driver may depend on factors such as their location, age, years of driving experience, and make and model of the vehicle. These factors are limited in predicting the likelihood of an accident and don’t always accurately classify the driver.
Modern drivers are attracted to insurers who offer cost-saving models instead, offering rates based on safe driving habits and low mileage with Usage-based Insurance. Transparency in how drivers are rated depends on drivers sharing Telematics data, benefiting the insurer with more accurate data to base risk and the insurer for cost savings compared to a different pool of drivers.
Homeowners insurance products also stand to offer enticing rates with data shared from the home. Self-inspections are one common way insurers are gathering information for ratings, as well as with smart home appliances from smart locks, smart smoke detectors and more.
Enhancing Customer Trust for 2021
2020 has revealed gaps in coverage across many niche specialties and a focus on customer loyalty is critical in today’s digital age.
With a focus on actively communicating with policyholders to offer cost-saving benefits, insurers face tough competition to retain loyal customers and persuade new ones with effective marketing strategies.
WaterStreet Company is a trusted provider of unified P&C Administration Software, built with document management at its core to give your experts streamlined and efficient workflows. Talk to us today about our Business Process Outsourcing (BPO) services to take your efficiencies to the next level.
Reach out to WaterStreet Company today to request a consultation and demo of our solutions.