In this guide we outline a way forward for insurance companies intent on creating customer loyalty as a way to drive growth and profitability.

The FCA is pressing the sector to provide better service at prices that are fairer. This is what customers want in a sector that struggles to demonstrate value. Insurance has become commoditised. Customers don’t value it. They have infrequent, transactional contact with insurers and wonder why the experience is inferior to what they enjoy in other sectors. Customer satisfaction and customer loyalty has been falling and in April 2021 only 15% said they value their insurance company’s products and service, according to Guidewire.

All is not lost.  Guidewire also discovered that more than half of customers (55%) would consolidate their insurance needs with one company if they were offered a simplified, personalised all-in-one policy that rewarded their loyalty.

Customers will only become loyal when insurers earn their trust. Changing the perception of insurance from an over-priced commodity to a service that provides peace of mind and real value for money will require fresh thinking and a recognition, by insurers, of the need to change. High levels of churn and pressure on margins will continue unless insurers create value that customers believe is worth paying for.

In our customer loyalty guide we:

  • Provide a glimpse of the future … a picture of what the customer journey could (and needs to) look like for companies wanting to build a loyal customer base
  • Identify twelve innovations that insurers should consider if they want to generate brand loyalty
  • Outline three implementation strategies and ADAM, our systematic approach for generating customer loyalty
  • Show how data can be used to drive a taikored insurance experience that is relevant, personalised and of value to customers
  • Share ‘Implementation Top Tips’ gleaned from our many years of leading CX transformation efforts as well as our ongoing study of global best practice
  • Show how to calculate the ROI from investing in customer loyalty with an example that delivers a 10.7 X return in year one