The Force of Digital for Insurance Brands Today

According to Network World, we touch our phones an average of 2,617 times a day. There is no underestimating the role of digital today. And with the proliferation of technology, consumers have come to expect a better insurance experience – one that is more meaningful, consistent, and trustworthy.

Right now, trust is low and insurers are struggling to move away from the “unfair,” “horrible,” and “outdated” reputation that surrounds most providers today. This means not only embracing new, innovative tech, but using digital to power personalization, build deeper levels of empathy, and create more meaningful and differentiated experiences for consumers.

Lack of Satisfaction Opens New Doors

New ways of buying insurance are appearing in the marketplace. According to Fast Company, 70% of consumers expect a self-service option for handling commercial questions and complaints. 64% of millennials expect self-service. In an HBR global survey, more than 65% of customers said they would think seriously about buying insurance products from non-insurers. More specifically, 23% said they would buy insurance from Google or Amazon-like online providers.

By 2020, our workplaces will include individuals spanning five generation. This means one-size-fits-all solutions should be going extinct. Insurethebox is one company leading the telematics trend. The brand gathers driving behavior data and rewards drivers for safe driving. These kind of trades – consumer information for the chance of lower costs – are becoming more commonplace and are likely to enter the healthcare industry soon. New models like “pay as you go” are gaining popularity as well.

Insurance Brands: Building Better Experiences

The research points to the same underlying fact: people are looking for something more. While many insurance companies are focused on offering lower costs as a means of differentiation, research has shown that people are actually willing to pay even more for insurance if it means getting better coverage, better experiences, better advice, transparent and simple communications, and products that are customized to their unique needs.

This is a huge opportunity for those insurance brands that can get the customer experience right. Here’s how.

1. Empathy

Because insurance companies often interact with customers during emotionally-charged events, stress, anxiety, and uncertainty are common feelings surrounding brand interactions. This creates higher stakes for brands looking to connect with their customers in the right ways. An empathetic approach is always best. Great benefits help show you really care. So does consistent, warm, and responsive service. As technology advances, staying human amidst a digital world becomes even more important. Cold, distant insurance companies looking to earn customer loyalty have no place in an industry that demands high emotional intelligence and consistent, trust-provoking behaviors to succeed.

2. Personalization

Personalization was the buzz of 2016 – and is still the buzz. 73% of global marketers today believe they must deliver a personalized experience to be successful. They aren’t wrong, and the insurance industry is no exception. Hyper-personalization may be the key to success. People are demanding care, assurance, and insurance that is more customized to their individual needs than ever before. Whether it’s offering a fuller range of pricing, products, and services or using data or new tech to drive personalization, if you want to compete, you need to figure out new ways to better tailor your offerings and experiences to the people who matter to your business.

3. Meaningful Experiences

Since customers must engage and interact with insurance companies at several touchpoints along their customer journey (some expected and some unexpected), there are many moments that can go wrong. There are also many moments that can go right. Looking at the customer journey as a whole is integral for any insurance company looking to create a meaningful experience. It’s not just about how one person interacts with a customer on the phone, but how the customer feels the first time they visit your site, log in to your online portal, receive their first bill, decide to sign you up for their business, etc. Mapping customer journeys can help identify important opportunities for more meaningful connections. Strategic mapping can also make sure you are living up to what you promise your customers at every moment.

Seizing the Opportunity

Now more than ever, insurance companies have an opportunity to take their business strategy and digital strategy and map these closely to their brand strategy. Recently, we helped position a company in the insurance industry. When our client gained clear alignment around the experiences they wanted to offer, it ensured that they were promising the right thing to the right people and delivering on that promise each and every day. For those insurance companies that can get this right, the benefits are endless. You will be able better connect in meaningful ways that will enable both your business and your consumers to thrive.

Reach out to learn more about our client work and how we can help situate your business for success.

Emotive Brand is a San Francisco brand strategy and design agency.