Technology is being leveraged to fundamentally change insurance business models. In the highly competitive insurance environment there is a huge pressure to increase efficiency and stream operations. As of now, in the insurance industry there is a huge gap and while policy holders expect quick and comprehensive service, many insurance carriers fail to meet their expectations.
Optimizing the customer experience is a key challenge in the insurance industry. Customer-centric transformation of these services is needed to support this change. With the emergence of digital channels, the volume and velocity of data getting generated across customer touch-points is very high. Not only the transactional and new business data but interaction data, contact center logs, complaints data, social media data are also equally contributing to this data volume. Insurers cannot afford to ignore these important data sources as they uncover meaningful insights about customers. However they are not able to bring this data together effectively for building a strong customer engagement.
The need to have a holistic view of the customer has always been felt. The customer experience begins with the way policy holders communicate, a single customer having auto insurance and home insurance will show up as two different customers. Insurers have not been able to successfully identify all members that belong to a common household, thus losing on engagement opportunities.
Insurers’ disparate and complex IT environment with scattered customer data is posing challenges in bringing this information together. This is slowing down their transformation into a customer-centric enterprise and impacting creation of a true customer 360 degree view.
A complete customer 360 degree view needs to predict customer behavior and provide meaningful actionable information – whenever needed – across customer touch-points. It will boost insurers’ customer retention efforts. It will enable insurers to know who are the most noteworthy customers and then devise a competitive, personalized and tailor-made suite of product and servicing solutions. This will result in deeper customer engagement and better brand promotion required to achieve sustainable revenue growth.