Customer Engagement in PC Insurance: A Cornerstone of Success
28 July 2021
When considering ways to improve their business, insurers often take steps intended to address one of three main objectives: Increase Revenue, Decrease Costs, and Mitigate Risks. While each of these areas may seem independent, I submit that focusing on customer engagement is a means of accomplishing all three simultaneously.
During the last year and a half, we have witnessed businesses overhaul existing processes and accelerate investment in collaboration tools that enable connectivity in a digital environment. Property & Casualty Insurers have been no exception, devising innovative ways to remotely serve and engage their customer base while at the same time remaining empathetic. Leading insurers are aware that a positive customer experience is often much more than simply processing a claim and writing a check. It’ is about making the customer ‘whole again’ and feel that they are being taken care of in a time of crisis.
Some insurers have been moving towards a more data-driven, digitized customer experience. From the expanded use of touchless claims to the deployment of digital hybrid agents and chatbots, carriers are making strides towards enhancing the overall journey. Surely these technologies offer the promise of more personalized and potentially simpler interactions. However, it is vital that insurers use data, AI, and ML to drive the kind of interactions people want and to connect them with the proper channels when necessary. As such, forward-looking insurers are grappling with the question of how to strike a balance between virtual AI including chatbots with human assistance. This will require creating a unified customer journey that enables the seamless transfer between human and technology-driven interactions.
When thinking about customer engagement, model insurers are taking a customer-backed approach. This means designing business processes holistically and through the lens of the customer. To more successfully engage policyholders, it’s helpful for insurers to have a keen eye on ways to break down silos and identify how each step impacts the others. “Does automation augment the customer experience and increase engagement?” Or “Does it require more effort on the part of the end-user?” In a nutshell: better customer engagement means understanding that the whole is greater than the sum of its parts.
Check out my interview with John Ingersoll, Head of Strategy at CSAA Insurance Group (a AAA insurer). We discuss CSAA’s perspective on customer engagement along with what tangible steps they are taking to create a better all-around experience.
For more customer engagement insights, visit Celent’s topic-specific hub page.