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

Report Analyzes Adoption and Impact of Agile Methodology Use by Insurers

In an effort to look at the benefits to insurers, Novarica, a research and advisory firm focused on insurance business and technology strategy, is out with a new report, Agile at Insurers 2015, based on a survey of 58 insurer CIOs from the Novarica Insurance Technology Research Council. [ Read More ]
07/28/2015

eBaoTech and Alibaba Cloud Launch Insurance Cloud Platform

At the risk of sounding like either a broken record or an "I told you so", it is getting to a stage where it has become almost mandatory in any insurance technology article to point out that industry analysts, financial analysts and even C-levels within all of the insurance industry's lines of business have all said the same thing. This common refrain is either a call to action or a warning. However, no matter the perspective it says to traditional insurers that they must automate, and change th… [ Read More ]
07/27/2015

InsureWell and Algebraix Data to Collaborate on Big Data Analytics for Insurance Industry

InsureWell and Algebraix Data partner to use Bid Data to provide better and more timely info to insurers. [ Read More ]
07/24/2015

SSP and Capgemini Partner to Improve Insurance Company Competitiveness

SSP and Capgemini team to help insurers compete in the hot UK market. [ Read More ]
07/24/2015

Events

Weekly Live Demo
Contact Center Solutions

Register Today!