Shopping for homeowners insurance is definitely not one of life’s more enjoyable moments – it can be difficult, time-consuming and stressful. Most interactions with the insurer arises from a question/problem that the consumer needs addressed immediately. At the same time, insurance carriers are under a great deal of pressure to attract and retain profitable customers.
Today’s digitally savvy consumers are demanding ever-higher standards of customer service, and are looking for a fast, easy and convenient experience that they have come to expect elsewhere in their lives. This translates to more choices in coverage, more price transparency, and immediate answers to their questions or concerns. In other words, they’re expecting an exceptional customer experience at every interaction with the insurance carrier.
But what does an exceptional customer experience look like in the insurance industry? Here are four things you can implement to attract and retain loyal, happy customers.
Make Information Gathering Easy
There are never enough hours in the day, and insurance shoppers don’t want to waste the limited time they have providing information several times over during the buying process. The solution is to invest in data prefill solutions that leverage public and private data sources to quickly deliver comprehensive consumer, structure and location information to facilitate an easy and efficient insurance quote. LexisNexis customers have reported a 33% reduction in their quote times after implementing LexisNexis® Property Data Prefill.*
Provide a personalized experience
Insurance carriers that offer superior customer experiences will grow faster and more profitably. These best-in-class experiences must occur at any and all points across the continuum, be it at quote, underwriting, renewal or claim. One way to provide a personalized experience is by looking at behavior and activity on the policy holder’s auto line of coverage. Savvy carriers are becoming trusted advisors by recognizing that ratings variables used in auto insurance pricing have relevance in homeowners pricing as well. Attributes like policy tenure, lapses in coverage, driver and vehicle information are proving to be predictable, explainable and intuitive in terms of filling in what could be missing pieces of the puzzle of an insured’s profile. Another way to provide a personalized experience is by understanding your customer’s prior coverage to help them grasp the new coverage changes, options and adjusted premiums. LexisNexis® Current Carrier® Property can help you reduce the exchange of paperwork by automating the verification process and helping the consumer make an informed decision. Lastly, provide a better experience by writing more bundled policies for customers. Research has shown that satisfaction is typically higher for consumers who bundle other lines of business with their homeowner’s policy.*
More Accurately Price and Assess Risk
Home insurance pricing is based on evaluating historical trends and assessing the potential risk of future such events. Whether it is a natural disaster, an aging structure or possible fraudulent activity, making sure your customers are well protected depends on how well you predict risk. When creating their models, most carriers see less than 1% of all exposures in any given territory*. Using data and predictive modeling tools you can assess risk and price policies more accurately and offer your customers the best value available. Also, be sure to leverage the LexisNexis Home Trends Report for key home loss cost trends by peril, across time and geography.
Provide Proactive Protection
As the adage goes, people don’t know what they don’t know. This is especially true when it comes to insurance needs. Life changes can impact what coverage a consumer needs, and you have the opportunity to offer security and protection by staying up-to-date on their changing circumstances. According to the US Census, for example, 6.9% of the U.S. homeowner population moved in 2016. By leveraging available tools and technology, you can monitor changes like this and others that may impact your customers’ insurance needs.
In the competitive home insurance market, standing out from the crowd is crucial to success. Providing a superior customer experience can be the key deciding factor in achieving business success.
Are you ready to go above and beyond and stay ahead of the competition? LexisNexis Risk Solutions can help you elevate your customer experience! Call us today at 800.458.9197 or email insurance.sales@lexisnexisrisk.com.
*Source: LexisNexis Research