Does your policyholder outreach strategy revolve around the renewal period? Do you make personal contact with your policyholders, or simply send them a renewal notice? Are you concerned they won’t welcome your outreach outside of renewal? If you’ve answered yes to any of these questions, you’re not alone. Anecdotally, we know that many carriers are reluctant to reach out to policyholders outside of renewal for fear of putting their policyholders off.
However, if your approach to outreach outside of the renewal period is avoidance, you could be missing an important opportunity to improve both customer satisfaction and profitability. Why? Because your policyholders would like to hear from you more often―and that can affect policyholder loyalty.
Our recent auto insurance consumer study indicates consumers are not hearing from their carriers as often as they like and would like that contact to be more personal. Across every age group, 74% or more of our respondents reported they want to personally hear from their carrier during the renewal period in addition to the renewal notice. Slightly over half are open to outreach anytime during the policy term. Almost one-third of policyholders would like to have outreach both at renewal and during the policy term. Fewer than 14% are happy with only a renewal notice.
However, only 46% of respondents reported any carrier contact at any point during their policy term even though many are receptive to it.
And if they don’t hear from you? They might be tempted to switch carriers. In fact, almost half of respondents who shopped insurance said that their carrier’s failure to reach out to them influenced their decision to switch.What do they want to talk about when you make that outreach? Find out in our whitepaper, The Outreach Blueprint.