Meeting Changing Customer Expectations in Life Insurance
Preparing for the future
Life insurance companies are at a critical juncture from a number of dimensions - not only increased pressure on operating margins, but also from rising customer expectations. Customers have higher expectations than ever before. Delivering a highly effective customer experience that meets these expectations will likely require insurers to leverage information management and analytics to better understand both customer requirements and internal costs.
The critical role of analytics can help insurers in their efforts to create a more efficient operating model that is focused on information and incorporates stronger decision making processes, around both customers and efficient operations. This ability should be combined with the discipline and flexibility to adjust interactions and operations in a cost-effective way.
The first step is to know your customers, gaining insight into their expectations and requirements around product, service, and interaction. The second is to understand costs in order to profitably meet those expectations. Finally, realigning the organization is needed in order to quickly analyze information, make decisions, and take action. All three of these actions can be beneficial to providing a highly effective customer experience.
The scale of these challenges is daunting, but other industries have faced similar issues and succeeded. Insurance companies that can move beyond conventional alternatives to instead introduce fundamental changes in their organizations have the opportunity to distance themselves from the competition.