In today’s digital, connected world, insurance customers expect ease of doing business from their providers. Insurance provides that want to stay competitive should respond to this requirement by embracing digital transformation and making the claim experience for a policyholder a better one. This the best way they can retain customers.
Why Customer Retention is Important
Current customers have more to impact a company’s bottom line than new sales. Sticking to the traditional on-to-the-next approach will result in the company leaving money on the table and losing policyholders they have worked so hard to win over. Clearly, companies must maintain a balance between building their books and maintaining a customer-first focus. They can increase customer retention by focusing on the most impactful touchpoints in the customer journey and claims offer the best opportunity.
How to Improve Claims
For policyholders, filing, and pursuing a claim can be emotionally taxing, labor-intensive, and time-consuming. Improving the claims experience can help insurers build a more personal, long-term relationship with policyholders and they can do this by:
- Automating scalable processes. The main elements of most claims are First Notice of Loss (FNOL), assignment, investigation, and subrogation. The lifecycle of a claim can be improved and shortened by evaluating the current operations and identifying any repetitive and rule-based tasks that do not require a human touch to produce positive outcomes.
Both insurance providers and policyholders benefit from digital processes. Automating the more tedious processes of a company allows its team to have more time and resources to dedicate to each claimant’s needs.
- Assigning a single point of contact. No insurance customers will want to be passed between agents, inspectors, and adjusters to get the solutions they need. Being bounced from one source to another is a frustrating experience. To ensure better policyholder experience, insurers must ensure there is a single point of contact customs can turn to for all of their concerns.
- Digitizing the claims process and payments. Time delay in the claims process can a source of dissatisfaction among customers. Because of this, a lot of insurance companies should take advantage of digital payment processing solutions built to disburse insurance claims. Also, they should have insurance portals where customers can submit claims without waiting for the assistance of an agent. Expediting the payment is the most direct route toward customer satisfaction.
Insurance companies that combine digital claims solutions with a more customer-centric approach to claims processing can establish a more personal relationship with policyholders and improve the claims experience.