Insurance Technology Featured Article

High Satisfaction Levels - a Fillip for Claims Insurers

July 16, 2014

Auto Insurance companies in Canada that process claims can take heart in the fact that customers are significantly more satisfied with their work in 2014 than in the previous year. The J.D. Power’s 2014 Canadian Auto Claims satisfaction study report reveals that insurers have made greater efforts to process claims faster, and this has had a positive impact on satisfaction.

The study, based on responses from more than 2,700 auto insurance customers in Canada who settled an auto insurance claim within the past 18 months, notes that insurers have raised their standards of service, and the insurance industry as a whole is communicating more effectively with claimants throughout the process

 “Often customers perceive the quality of the service they receive from the fulfillment partners also reflects on the insurer, and as such, blame the insurer if service fails to meet their expectations.”

Apart from putting claimants at ease after they report the claim, faster claim settlement and vehicle return times have contributed to higher satisfaction. Insurers have been proactively reaching out to claimants to keep them involved in the process, with status updates and claimants are being informed of settlement terms faster. This is not easy, considering the fact that a large part of the process rests in the hands of third parties. “This presents a challenge for insurers regarding satisfaction,” said Jeremy Bowler, senior director of the insurance practice at J.D. Power.

And that’s not all, insurers have been patiently answering all claimant questions, providing callbacks when expected, and making final payments faster with improved post-claim follow-ups, all of which have positively impacted the overall experience among claimants with repairable-tow claims.

Translating the overall customer satisfaction with the auto claim experience into figures, the J.D. Power study notes that customer experience averages 798 (on a 1,000-point scale), an 11-point increase from 2013; fair enough considering that quality customer service depends on ‘good interactions’ and ‘good service’.

Good customer experience invariably generates high levels of advocacy and retention; the study notes that 75 per cent of highly satisfied claimants favored renewing their policy while 69 percent favored recommending their current insurer. Only a small minority appeared to be dissatisfied.

Desjardins General Insurance is reported to rank highest in overall claimant satisfaction, with an index score of 835 and a J.D. Power.com Power Circle Rating of 5, for performing particularly well in the first notice of loss and settlement factors. 




Edited by Adam Brandt

Article comments powered by Disqus

Related Insurance Technology Articles

Nominating Committee for 2015 Novarica Research Council Impact Awards Announced

For those on the technology implementation and management side of the insurance industry the research and advisory firm Novarica is no doubt a very familiar one. The company provides information, insights, and perspectives to industry professionals on a variety of topics and hosts the Novarica Insurance Technology Research Council, a moderated knowledge-sharing community of more than 325 senior IT executives representing more than 300 North American insurers. [ Read More ]
11/19/2014

Kofax to Improve Claims Processing for General Insurance and Asset Management Provider

Improving the business processes associated with mission critical insurance interactions is at the top of most insurers' lists regardless of where they are located around the world. An example of the universality of the need to improve such processes through software automation, which not only improves business process efficiency but also reduces costs while improving the customer experience, is a recent announcement from business process automation specialists Irvine, CA-based Kofax. [ Read More ]
11/19/2014

MedeAnalytics Announces Partnership with Wellmark

MedeAnalytics Employer Reporting software provides healthcare providers with cost-analysis and reporting tools they can use to improve plans and better serve customers. MedeAnalytics recently announced that it will be working with Wellmark Blue Cross and Blue Shield to enhance services for insurance recipients in Iowa and South Dakota. [ Read More ]
11/18/2014

Texas Mutual Insurance Company Implements Guidewire Systems

Guidewire Software has recently announced that Texas Mutual Insurance Company has selected Guidewire products to help fulfill specific business needs. Guidewire strives to bring technology to insurers differently than other vendors. Guidewire prides itself on understanding the P/C industry, the challenges involved and insurers' expectations. [ Read More ]
11/17/2014
FREE Insurance Technology enewslettter.

Events

Weekly Live Demo
Contact Center Solutions

Register Today!