Insurance Industry: How to Transform Your Customer Experience (CX)

Customer Experience (CX) has become a critical consideration for all businesses and is at the forefront of almost every business decision. It’s mentioned in boardrooms of almost every sector. Whether it’s a digital transformation project, launching a new product or integrating with a new software system, CX is often at the top of the agenda. As we move into an age where customers manage their relationship with a company without any human interaction, outstanding CX becomes even more pertinent.

The global obsession with digitization means that customer experience in insurance is no longer judged in a vacuum (against only other insurance providers) but rather against other digital service providers. This trend has been driven by customer expectations. This expectation goes beyond CX. Amazon offers same day delivery with a constant stream of communication. FREE NOW make it so you can hail a taxi with a few clicks of a button. You can order food from your favorite restaurant via an app and cast movies from your phone to your TV without a moment’s thought.

Huge strides in technology mean that customers expect products and services to come easy. They expect simplicity, speed and efficiency, and they won’t settle for anything less.

 Digitising Customer Experience

Why CX is So Important

When it comes to insurance, there are a handful of opportunities to provide a winning customer experience. This includes the initial sales and onboarding process (i.e., the first impression) and the claims process. The insurance industry is such that if you win here, you could have a customer for life. Or, at the very least, you can count on receiving insurance premiums for several years.

The importance of customer experience was underscored by a McKinsey study which showed that 70% of consumers base their opinion of a business on the quality of its CX. A separate McKinsey report in 2017 estimated that CX leaders in the insurance market are 80% more likely to retain customers and have experienced two to four times more growth in new business.

According to the World Insurance Report 2018 (Capgemini – EFMA), even though sales calls are viewed as vital for converting leads, insurance companies are embracing digital technologies more and more. The study notes that the “tech-savvy” customers who are more comfortable with technologies clearly favour digital tools. The same is true for 18–34-year-olds. The need to move with the times is further backed up by a Gartner study where more than two-thirds of marketers responsible for CX say their companies compete mostly based on CX. In the same study, 81% expected to be competing almost entirely based on CX within two years.

Insurance Company Improve Customer Experience

How Insurers Can Improve Customer Experience (CX)

Over the last decade, ActionPoint has helped dozens of insurance companies to embrace digital technologies and provide an outstanding online experience to their customers. One such example is Chill Insurance. With ActionPoint as a technology partner, Chill has grown from a company of 35 employees in 2011 to a nationally renowned insurance broker with 260 employees today. Chill has become a market leader by focusing on innovative customer experiences.

Insurance Industry: Necessary Changes 2021

Below, we discuss 3 ways that insurance companies can transform their CX.


1. Automating Quotes

When shopping for quotes online, customers want a fast, frictionless experience. Digitising the entire quote-generation process massively improves customer satisfaction. Most of your users will have little or no experience when it comes to comparing insurance quotations. Often, what stands out the most is simplicity and being able to carry out the entire process online, in real-time. When requiring customers to input personal information, the CX goal should always be to streamline the process and minimise the amount of time it takes to complete.

Through the development of Full Motor Quote, ActionPoint enabled Chill to generate quotes faster, vastly improving both operational efficiency and customer experience as a result. With the online quote engine, users could now receive an immediate estimate after inputting a small amount of data. This helped to decrease labour costs and increase prospects. You can learn more about that project here.


2. Improve Online Presence

Customers don’t just buy products or services; their purchase decisions are about buying into a specific brand and the experience they offer: A great customer experience drives loyalty and revenue. Customers expect a consistent experience whether it be in-person, on social media, on mobile devices or when interacting with online applications. If your online presence is lagging behind, it can significantly impact how a customer views your business.

For insurance companies, ActionPoint acts as a technical advisor and strategic partner. We help you to spot inefficiencies and create an online profile that truly represents your business. Our goal is to help insurers transform their relationship with customers, and customers’ relationship with insurance.

Chat bots in Insurance

3. Insurance Chatbots

2019 Cognizant report declared that “the evolution of chatbot technology will force a total reimagining of insurance” over the next decade. Customers expect speed and immediate responses. Chatbots remove bottlenecks and answer commonly asked questions in real time.

Some of the key benefits of insurance bots include:

  • Insurers can offer around the clock support in the form of a virtual assistant. Browsing a website is often a static, one-way interaction. A chatbot can add an extra layer of engagement.
  • By addressing many of the most mundane and time-consuming jobs, bots can help employees utilize their time more efficiently.
  • Chatbots can guide customers from quote to sale. Providing this end-to-end experience is just one of the reasons why 79% of insurance executives believe that AI will revolutionize the way they interact with customers (according to Accenture).



Transform Your CX With ActionPoint

There are huge opportunities for insurers to stand out from the pack by placing a strong focus on outstanding CX. Find out more  about what we can do for you, click here.