The insurance industry is facing a shift in priorities, with customer experience (CX) becoming more critical than ever before. Traditionally, when purchasing insurance, many customers focused primarily on cost, making decisions based on monthly premiums and paying little attention to the details of their policies. However, recent trends show a significant change in the way customers approach their insurance decisions. A national survey by KUBRA revealed that almost half (46%) of respondents consider customer experience a top factor when selecting an insurance provider, and 42% pointed to "little or no communication" as their biggest challenge when interacting with insurers.

As more customers reach out through various channels—phone calls, emails, live chat, and social media—insurers are under increasing pressure to provide seamless and efficient experiences. But with so many different touchpoints, how can insurance providers deliver an outstanding customer experience while avoiding team overload? Let’s explore how insurers can meet these rising expectations.

Why is Customer Experience (CX) Important in Insurance?

For many, the cost of insurance remains a major deciding factor when choosing a provider. However, for those who need to make a claim, the experience during that process becomes vital. That's where customer experience (CX) in the insurance sector plays a crucial role. A positive CX doesn’t just build customer loyalty; it also sets insurers apart from competitors in a crowded market.

The Benefits of a Well-Structured Insurance Customer Journey

Improved Customer Retention

Research consistently shows that happy, engaged customers are more likely to stay loyal to an insurance provider. On the other hand, lack of digital capabilities is a significant reason for customers to switch providers.

Increased Revenue

When customer service teams resolve issues quickly and effectively, customer satisfaction rises. This improvement in CX can directly impact revenue. 

Reduced Employee Turnover

Satisfied customers often translate to happier employees. When agents have the right training and tools to efficiently address customer needs, they’re more likely to remain in their roles. The insurance industry has faced challenges in filling positions due to increased claim activity, but improving CX can help alleviate this strain by empowering agents and reducing burnout.

3 Ways Insurers Can Improve the Customer Experience

1. Provide Omnichannel Communications

Customers don’t want to be confined to a single communication channel. They expect insurers to be accessible through multiple platforms, whether by phone, email, SMS, or live chat. By offering omnichannel support, insurers can meet customers where they are and ensure agents have access to complete information, regardless of the communication method.

2. Enhance Employee Training and Coaching

Continuous training is essential in the insurance industry, especially as regulations and product offerings evolve. To further improve CX, insurers should equip agents with tools to assist them during customer interactions and provide support for complex questions.

3. Track Key Performance Indicators (KPIs)

Insurers should consistently measure their CX efforts through metrics such as Customer Satisfaction (CSAT) and Net Promoter Score (NPS). Traditional survey methods have limitations, such as low response rates and skewed feedback. New technologies, like sentiment analysis, can offer more accurate, real-time insights into customer satisfaction, enabling insurers to make adjustments quickly and effectively.

Experience the Difference Today

To stay ahead of the curve, insurers must evolve their customer service strategies and embrace technological advancements. Whether you're looking to support a wider range of communication channels or reduce the load on your agents, enhancing your customer experience offers measurable benefits, from increased revenue to improved customer retention.

UnitedCloud's communications solutions can help insurers provide unified support and assistance to customers, ensuring that every interaction is seamless and efficient. By leveraging contact centers and comprehensive support platforms, insurers can stay competitive and deliver a top-tier customer experience.