Your future customers want fast claims, not customer service

Get ready to meet the new generation of policyholders’ expectations

A considerable part of claims settlements is meeting your customers and being there for them when times are a bit rough. Whether it’s a stolen bike or a broken phone, they want their inconvenience solved as simply as possible – and that’s where you and your team of claims adjusters come in. But picking up the phone and waiting in a queue just to speak with a human is not the main feature your future customers will cherish. They want insurers to act fast and bring results.

You are probably already aware that younger generations handle everything from their shopping to their stock trading online. So there is no reason to believe that they don’t expect the same from their insurance company. In addition to this, they expect customized and user-friendly interfaces, educational content, and an interpersonal tonality to a greater extent. However, generally speaking, the interest and engagement for insurance is quite low, but it’s something everyone of us need either way—kind of like toothpaste. But we are starting to see how new players enter the game, making younger generations more interested in their insurance coverage.

It simply has to work – quickly

One crucial thing you need to learn about your future policyholders is that they expect things  to just work – quickly and easily. Handling an insurance claim should be a process they don’t even have to reflect on. When they drop their laptop, or it breaks right before an important presentation, and they can pick up a new one or have money transferred to their account within the hour, that will outweigh any kind of content marketing your competitor can produce. That’s also the consensus of the industry. As much as 75% of professionals believe that “claims taking too long to be paid” is a problem for customers.

The independent customer

The way companies do customer service has changed rapidly over the years. By the time future customers get their first insurance, they will already be used to finding answers themselves. They expect solutions and information to be available online, just a few clicks away. Instead of dialing the phone, they independently scan FAQs, talk to chatbots, and maybe go as far as sending an email. It’s no longer acceptable to make customers wait to have their needs met.

It’s essential to meet the needs of these potential customers right now, as this generation is already moving away from home and signing up for their first insurances. And we all know that, unlike toothpaste, insurance is not something people buy frequently. Although we can see a change in attitude and proneness to changing providers, most people stick with their initial insurance company for long.

It’s not just the younger generations

Let’s not forget about another very important thing: your current policyholders. Today, the older generations also want to meet their insurance company in the digital realm and on their own terms. Digital maturity across all ages is increasing, and everyone will expect easy-to-use solutions and fast claims. Almost 50% of customers mentioned accessibility as something that would help their insurer improve their experience.

Fast claims are automated claims

Even though your customers might not need phone support and manual handling in the way they used to, their relationship with your company and experience must be maintained. When you automate your claims process, your customers will receive swift attendance and quick solutions when things don’t go as planned. With the help of digital tools and automated processes, your claims adjusters can put more time and effort into clients that need more support and attention, for example during complex situations and damages. This will be crucial because more than 40% of agents/brokers already say they can’t consistently meet policyholder expectations for convenience and response time.

Don’t shut down the phone lines just yet

Even though automated claims are here to stay, digital solutions and traditional customer service and claims adjustment will need to co-exist for the foreseeable future. In 2020, 36% of consumers said they would need telephone support at hand if they were to make a purchase online – and you naturally need to meet your customers where they prefer. But looking forward, this will be in exceptional cases.

Are you ready to meet your future customers?

While we await this upcoming generational switch, it’s time to get prepared. There’s no better time than now, and an astounding 99% of insurance professionals agree that insurers must undergo digital transformation to remain competitive.

At Upptec, we strive to create solutions that guarantee fast claims for all customers, no matter their digital maturity. If you want to find out more about how we can create a better experience for your future – and current – customers, don’t hesitate to contact us.