If we look at the insurance-specific results of the 2012 Accenture Global Consumer Pulse research, we can build up a picture of what today’s customers want from insurers—and thus where there needs to be improvement.
Some of the key findings:
- Customers are not very engaged with the companies that provide them with life insurance: only 21 percent are knowledgeable and only 12 percent are interested. But because people seldom cancel life policies, this disassociation does not translate into a propensity to switch. The real issue: Would they buy new policies from their existing provider?
- Just over a third of customers are doing business with more than one provider, and switching (complete or partial) is on the rise. More than two-thirds (67 percent) are inclined to re-evaluate their current providers.
- The most important drivers for switching providers, are lower pricing and better value or money.
- Satisfaction, intention to buy and advocacy are the lowest of all the industries covered by the survey.
- Core drivers of satisfaction in this industry are trustworthiness and a skilled workforce—followed closely by a tailored customer experience, high-quality customer service and convenience.
In general, one is forced to conclude that life insurers are failing to delight their customers. Engagement is low, switching is on the rise and, most important of all, satisfaction, intention to buy and advocacy gain the lowest scores of all industries surveyed. But, in the spirit of seeing a half full glass, we should also recognize the huge opportunities for insurers who have the vision and the strategy to seize them.
Next time, four action points for life insurers to build a solid foundation for growth by aligning with the needs of the Nonstop Customer.