Today’s insurers are grappling with a host of changes: changing customer expectations, competition from non-traditional sources and constant shifts in technology. Together, they add up to the switching economy, worth an estimated $400 billion in premiums globally.
These factors are emphasized at the point of claim, often called the “moment of truth” for the insurer-customer relationship. The Accenture Claims Customer Survey found that among customers who were dissatisfied with the claims process, 83 percent were likely to switch providers within 12 months. Further, customer expectations are raising the bar for what service entails—increasingly, customer satisfaction is characterized by the quality of omni-channel experiences, insurer responsiveness, and the ability to have tailored and relevant customer conversations.
Consequently, many insurers are realizing that they need to shift their focus from products to customers. However, in many cases, legacy systems are holding insurers back from achieving true customer-centricity. The harsh reality is that if insurers are struggling to adapt to customer expectations today, their legacy systems will only continue to hamper their efforts and erode their competitive advantage—especially as non-traditional competitors, like Google and Amazon, turn their sights on the insurance market.
Notably, claims systems transformation isn’t just about equipping insurers to adapt to today’s customer expectations. Rather, it’s about infusing the claims function with the agility to respond to changes today, and in the future. Join me over the course of this five-part series as I discuss a roadmap for claims core-platform transformation, and some of the enablers for its success.
For more information:
- Read our latest thinking on Claims