Although there have been significant investments in digital transformation amongst property and casualty insurers, customers are frustrated with rising rates. The study, based on more than 10,000 evaluations, was conducted with Corporate Insight and examines the desktop, mobile web and mobile app experience based of insurers and insurtechs based on ease of navigation, speed, visual appeal and information/content.
Robert M. Lajdziak, director of insurance intelligence at J.D. Powers, said in a statement: “Although insurers keep upping the ante on technology, improvements are being offset by frustration among customers who are going online to shop for a better rate—and not finding one.”
On a 1,000-point scale, the consumer satisfaction with the P&C shopping experience was 499, which is down 16 points from last year. Overall customer satisfaction with digital was 705. However, over half of customers, 54%, aren’t using digital tools during the quoting process.
“We’re also seeing a clear trend in which more than half of digital insurance shoppers are choosing not to use digital tools or educational resources to help them through the shopping process. This further exacerbates the decline in customer satisfaction,” Lajdziak said.
Between traditional insurers and insurtech brands, customer satisfaction is similar in terms of digital account services. Insurtech performs better on speed and visual appeal but traditional insurers are doing better with information/content and human support.
“While insurers are spending a great deal on tech on an industry-wide basis, we’re seeing very uneven execution between brands, particularly in the area of mobile apps, where the top performers are really breaking new ground, but the bottom performers are keeping overall customer satisfaction scores low,” said Michael Ellison, president of Corporate Insight, in a statement. “We’re also starting to notice some noteworthy year-over-year volatility among the brands in the study, which shows that smart investments in good technology can drive rapid performance improvement.”
Source: Digital Insurance