Accenture’s 2013 Consumer-Driven Innovation Insurance Survey highlights the vast number of customers planning to purchase or renew a major insurance product in the next 12 months—72 percent of customers globally, 78 percent of customers in Canada and 82 percent of customers in the United States.
What does this mean for North American insurance providers?
Potentially, the insurance customer base will be drastically different in a year’s time. There is going to be unprecedented competition for customers, and insurers will have to win over—or win over again—customers looking to make major purchases. Considering that insurers have been unable to improve customer attitudes over the past five years, this will be no easy feat.
Risk or opportunity?
But based on the research, Accenture calculates that in 2013 there was $400 billion in revenue “in play” globally as P&C and life insurance customers chose to switch providers. Depending on your mindset, this constitutes either a huge risk for insurers to protect their customer base or a valuable opportunity to attract new business. Customer-centric insurers will appreciate the considerable opportunity this “switching economy” presents for company growth.
In this series of posts, I will share more results from the Innovation Insurance survey and examine new strategies to take advantage of the switching economy.
To learn more in the meantime, download: Accenture 2013 Consumer-Driven Innovation Survey: Playing to Win.