Making an insurance claim is an emotional and stressful process for claimants and having their claim handled poorly can influence customers to switch insurers. In a crowded market where policy holders demand efficient service, insurance providers are looking for a competitive edge to retain satisfied customers and increase market share.
Keep the customer satisfied
Corporate Prepaid Cards worked with an insurance provider to ensure customers were satisfied with their response by providing a prepaid Visa card to purchase a replacement product of their choice rather being sent a specified product.
The result? Simplified claims process, satisfied claimants and increased market share for the provider.
Customers care about their insurance claims
Customers care a great deal about claims and making a claim is an emotional experience in addition to coping with the financial loss. Customers at their most vulnerable look to the company to be a trusted advisor and expert.
Act in the customer’s best interests
Research by UK company TeleTech identified the claims process as a critical experience that can make or break a relationship.^
Knowing that the insurance company is acting in their best interests is the most important factor for customers. The 2015 research looked at more than 30 attributes of the claims experience and found this was the most important factor for customer satisfaction.
Emotions matter in insurance claims
A 2014 survey by Deloitte showed that customers making a claim on their insurance policy care most about the emotional side of claims, a concept backed up by psychology experiments. Customers believe that less effort on their part makes for a better experience.^^
Make claims easy
The Deloitte report recommends that insurers should make the claims process as easy as possible and empathise with their customers to enhance customer satisfaction.
Emotional triggers can provoke greater dissatisfaction with claims than whether the claims is accepted or rejected. Deloitte recommended that Insurers should seek to reduce the emotional causes of dissatisfaction with claims.
Poor customer experience goes viral
When a customer has a poor experience when making an insurance claim, they are more likely to tell friends and family about it and post their experience it to social media.
The Deloitte survey found that more than half of customers (55%) tell their friends about bad claims experiences, but less than a quarter (24%) share good experiences.
This bias is amplified in digital channels where a bad customer experience can go viral. Up to one in ten dissatisfied customers posted their experiences to social media compared to none of the satisfied customers.
Customers like being in control
Customers appreciate knowing that their preferences are recognised during the claims process and prefer the flexibility of choice. Accepting a prepaid Visa card to settle their claim gave them the right to decide what would best fulfil their requirements, rather than having to accept a specific replacement product. If they wished to upgrade the product or item they were claiming for, they could use the card as part payment, then top up with their own funds for the higher value product.
Freedom and flexibility with prepaid Visa
A prepaid Visa card offers freedom and flexibility and can be used worldwide at any merchant that accepts Visa provided the merchant can process it electronically.
A prepaid Visa card is not a credit card and can’t be used to spend more than the value loaded onto the card. It has the flexibility of being able to be tailored to the value of the claims.
In addition to promoting a positive customer experience, a prepaid Visa card can be custom designed with corporate branding to ensure the customer has the company top of mind when using the card.
Corporate branding on cards
Corporate Prepaid Cards specialise in custom designed prepaid cards for customer retention and incentive programs. You can select from eftpos, Visa or Mastercard and specify the design using their own artwork and logo. Once the cards are set up, you can order small runs of up to 200 cards to be delivered within 10 business days.
^2015 TeleTech P&C Customer Satisfaction Survey. More than 300 consumers were asked about more than 30 attributes of the claims experience to determine how the claims process influences customer satisfaction.
^^2014 Deloitte Survey ‘What makes customers tick? Understanding customer behaviour in retail general insurance’. Online survey of more than 2,800 motor, buildings and contents insurance customers.