Five Components of the Customer Experience that Impact Satisfaction in Your Insurance Agency

There are a lot of insurance old-timers shaking their heads about today’s emphasis on the customer experience. They don’t quite get why we have to turn operations and procedures upside down to win (or keep) a piece of business on the books.

It’s simple...

We are no longer in charge of the experience. The insurance industry and every other industry has been outflanked by rampant new technology in the last 30 years that has given control of the purchasing steering wheel to the customer.

Long wait times, unresponsive agents and lethargic insurance agencies are quickly falling into their rear view mirrors.

What we were told customers wanted—transparency, efficiency and personalization—is now firmly in their grasp and they are not waiting around for us to catch up.

There are many customer experience mistakes that insurance agencies all need to improve on, from clear communications that simplifies decision making to personalization that ensures a customer’s unique needs are met. We will give you ideas to help you meet your customers where they are today and drive policyholder satisfaction and customer loyalty to new levels.

Clear Communications Binds a Great Customer Experience for Insurance Companies

Clear communications is to customer engagement what clean floors are to a grocery store. It is a basic requirement, a non-negotiable in today’s business.

Unlike the old days where customers didn’t believe they had many choices, today’s customers have zero tolerance for lethargic operations and sales processes that waste their time. They will drop you like a hot potato and simply go to another insurance agent who really wants their business and is ready, willing and able to provide the necessary support.

Clear communication is a mandatory element at every touchpoint of the customer journey. Learn it and learn it fast!

Shopping.

It is shocking how many carriers and agencies today have websites that make it difficult—sometimes impossible—for the customer to make an informed decision. In the old days, a customer might get frustrated and call the agency. No more. They just move on to the next provider who understands what they want. If you want to be a long-term player with this new brand of customer you had better present yourself as open for business on their terms.

Plain Talk.

Speaking your company’s language is lazy. Find ways to simplify how you communicate all aspects of your business, from who you are to the insurance products you sell. Make features and benefits understandable; focused on customer needs and not your need to sell. Use charts and graphs to turn the complex to simple. And most important, present illustrations in a way that summarizes and provides the details. Handing over a pile of illustrations with little to no summary is a recipe for disaster with today’s customer.

Customer Service.

Great customer service is 50% attitude. Be interested. Engaged. Inquisitive. Find ways to say “no” so it doesn’t come across as “never.” Be active listeners because customers aren’t always great communicators. Get them to open up about what is important to them by asking open-ended questions.

Clear communication enhances understanding, builds trust and reduces mistakes and misunderstandings. Always strive to have a customer say “wow” to themselves when the encounter is done.

Personalization is a Mandatory for Tech-Savvy Customers

Many customers want more personalized experiences. They want nothing to do with the traditional way of selling insurance policies, which typically involves an in-person meeting or two. They are savvy with digital tools and expect their insurance providers to be the same.

McKinsey reports that 71% of consumers expect companies to deliver personalized interactions. Of those, more than three-fourths of them become frustrated when this doesn’t happen.

The magic with personalization is creatively utilizing your data to provide customer-specific sales and service experiences that can be augmented with the personal touch of a human. Here are some ideas:

Creative Customized Recommendations

Use customer data to fit the policy to their unique circumstances. We inserted the word creative because we see too many agents staying close to a one-size-fits-all approach to selling. Use the data your agency has to build a more complete picture of your customers and prospects and give your agents the ability to craft more creative solutions.

Targeted Communications

This is a big one many agencies miss. Using your customer data, match products and services to their specific situation, e.g., family size, location where they live, etc. While we all get emails that clearly came from a computer program, new software today will allow you to produce emails that appear to have come from your inbox, or those of your insurance agents. Here’s a better idea: Send a hand-written note to your customers every year on their anniversary thanking them for being loyal customers. Nobody does that anymore. And you don’t need software!

Personalized Information and Education

Insurance carriers create tons of information that is suitable for customers, so segment your database and send them articles and videos specific to their needs. And in situations where you have something really important, consider texting a link to the article with an explanation that you don’t typically text but this was something you thought they would appreciate. These kinds of interactions will be a differentiator for your agency.

Personalizing your communications is a sign you think enough of your customers to send them something relevant for them. They will love it.

Ease of Interaction

This one will take a little more heavy lifting than the first two, but the benefits are huge if a positive customer experience is your goal.

Make every interaction with your agency easy and intuitive. Identify all the touchpoints in which a customer might encounter your brand and build a plan to make it easy for them to get to you. Getting to this point will involve designing processes, systems and platforms that are easy to use and are technically integrated to create a seamless channel for your customers.

The list of initiatives here is a bit longer, but all are important to creating what you will come to believe as a competitive advantage:

Customer-focused Website Design

Websites have gotten much, much easier to develop and much more intuitive for users. There should be prominent buttons that lead customers to the things most important to them: quotes, customer service, product information, etc. If your site is more than five years old then you should consider updating its capabilities.

Optimize for Mobile

97% of Americans own some type of cellular phone (85% own a smartphone). If your website and other accessible platforms are not optimized for mobile then you will stick out like a sore thumb in the worst of ways. Creating your own app is no longer a bridge too far for agencies. Make it EASY for customers to do business with you.

Self-Service Options

Most carriers have passable portals for their customer support experience. Make sure customers are aware and provide instructions on how to use them. You might be surprised how many customers really want to check out what they purchased from you!

Multiple Communications Channels

Offer various ways for customers to reach you such as phone and the wide array of digital channels including text, email, live chat and social media. There’s one caveat here: If you are not committed to a quick response then don’t do this. Customers expect you will respond QUICKLY.

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