Technology Helps but the Human Touch Is Irreplaceable
Throughout the U.S. consumer economy, technology has been a driver of innovation. From the dawn of the smart phone around 2007 to today’s social media tools, technology has been central to the promise of better connectivity and communication.
The insurance industry has adopted technology for a range of improvements in efficiency, especially in customer service and claims. The use of texting for policyholders to inform their independent agent and insurance company about a claim incident is a case in point.
Unfortunately, some insurance brands have used technology to push customers away. Witness the “phone tree” that gives a push-button menu with no opportunity to speak to a live person. Same with the online “submit” button that allows customers to send a claim or other information but offers no two-way communication channel. In these circumstances, many customers want an option for human interaction.
What’s the right balance of people and technology in insurance service?
At Westfield, we’re always working on our offerings to be sure we serve customers best, based on what they think and do (not just based on our own internal resources and considerations). We routinely seek customer feedback to learn more. Overall, given what we hear and think, our view is that technology supplements (but does not replace) the human touch.
Let’s look at an example where Westfield has used technology to good effect: texting in insurance claims.
Texting (also known as SMS, or short messaging service) gives Westfield customers an additional choice to easily activate a claim, upload photos and provide channels for adjuster/customer communications. Texting has led to speedy communication, a convenient “palm of the hand” option for many customers, and a rapid response on both sides. It’s cut down processing time for claims and has been lauded by Westfield customers.
But it’s not just technology that has done that. Rather, technology combined with our people’s commitment to caring has. Research conducted by Westfield business partner Hi Marley proves that “positive or empathetic adjuster attitude and approach had the greatest impact on customer satisfaction” with claims. Some 45% of five-star (the highest) customer ratings are based on that factor alone.
Other key factors driving high customer ratings are:
- Timeliness of service and resolution (20%).
- Claims communication effectiveness (16%).
- Process effectiveness (12 %).
Those positive attributes are due in large part to the use of texting and effective communication.
The Westfield team’s job is to serve our customers, and we’re grateful to be able to help, using technology in the process.
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Sources:
How Westfield Insurance Drives 5-Star Claims Experiences, www.himarley.com/blog/how-westfield-insurance-drives-5-star-claims-experiences
White Paper: “Consumer and Carrier CX Insights: What Drives 1-Star and 5-Star Customer Satisfaction Scores in Claims” Whitepaper-What-Drives-1-and-5-Star-Scores-In-Claims-1.pdf (himarley.com)