Paperwork is killing your insurance company's policyholder experience. Here is what you can do about it.
We've all been there. You've decided upon a new insurance policy, and now you have to fill out a seemingly endless amount of paperwork. It's tedious, it's time-consuming, and it's not exactly the best way to start off your relationship with your insurance company.
Dealing with insurance companies is often the most frustrating experience of our adult lives. One of the reasons for this frustration is the insurance onboarding experience. For insurance companies, this process includes collecting information from the insured party in order to assess risk and provide coverage. This data collection typically happens through paperwork that must be filled out and submitted.
While insurance companies have been using this manual data collection process for years, it is no longer the most efficient way to collect data. With the advent of digital technologies, there is now a better way to collect information from insurance applicants.
What is insurance customer onboarding?
Onboarding is the process of enrolling a new customer and familiarizing them with your company and product. For insurance companies, this includes everything from collecting customer information to issuing policies.
The goal of insurance onboarding is to make the process as smooth and efficient as possible for both the customer and the insurance company.
However, the current insurance onboarding experience often falls short of this goal. 41% of buyers are likely to switch insurance providers because of a lack of digital capabilities, while 50% of insurers still heavily rely on traditional mail for customer communications.
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One of the biggest pain points in insurance is paperwork. The insurance onboarding process often requires customers to fill out a significant amount of paperwork, which can be time-consuming and confusing.
Why is it important to onboard insurance customers the right way?
Insurance customer onboarding is important because it sets the tone for the rest of the customer's relationship with your company. If the onboarding experience is positive, it can lead to repeat business and referrals. On the other hand, a negative onboarding experience can cause customers to take their business elsewhere.
Let's have a look at some numbers. According to a recent study, the insurance onboarding process takes an average of 23 days to complete. That's a lot of time spent on paperwork!
Friction in the onboarding experience results in lost business. In fact, a study by Bain & Company found that insurance companies lose 20% of their customers during the onboarding process.
And it's not just customers who are affected by the problems with insurance paperwork. Insurance companies themselves are also feeling the pain. In fact, the insurance industry loses billions of dollars every year due to inefficiencies in the onboarding process.
But what if I told you that there was a better way? A way that would streamline the process and make it far simpler for both you and your customers?
The importance of digital experience in insurance onboarding
While insurance companies have been using this process for years, it is now time for a change. The insurance onboarding experience needs to be updated for the digital age.
There are a few key reasons why the insurance onboarding experience needs to be digitized:
- Save time for the insurance company and the insured party.
- Reduce the number of errors that are made.
- Make it easier to track and manage data.
- Improve the overall customer experience.
Digital insurance onboarding experiences are not only more efficient, but they also provide a better experience for customers. When customers have a positive experience with your company, they are more likely to stay with you long-term.
The insurance onboarding experience is just one area where digitization can improve the customer experience.
The problems with manual processes
The problems with paperwork don't stop once the customer submits the paperwork. Once you've finally completed all the necessary forms, the data points then have to be entered into the system manually by the back-office employees, which often leads to errors and delays.
Additionally, if any of the information on the forms changes (for example, a customer's address or phone number), that change must be manually updated in the system, leading to further delays, inaccuracies, and errors.
Customer data collection process is time-consuming and creates a lot of unnecessary work for insurance companies. It also creates frustration for customers, who have to wait longer for their insurance coverage to begin.
How you can create the perfect onboarding for insurance services
Digital data intake journeys are the insurance industry's answer to the paperwork problem. By digitizing the onboarding experience, insurance companies can collect all the necessary information from customers quickly and easily, without any of the headaches caused by traditional paper or PDF forms.
What are digital data intake journeys?
Digital data intake journeys are digital processes that guide customers through the insurance onboarding process, step by step.
They are designed to be user-friendly and easy to navigate, with clear instructions on what information is needed at each step. This makes digital journeys far simpler and less confusing for customers than traditional insurance paperwork.
What's more, digital data intake journeys can be completed entirely online, without the need for customers to call the call center or visit a physical insurance office. This saves both time and money.
Digital data intake journeys are the future of insurance customer onboarding. By digitizing the process, insurance companies can provide a far better experience for their customers while also saving time and money.
What's more, digital data intake journeys can be customized to each insurance company's specific needs. This means that insurance companies can tailor the process to their own products and services, making it even more efficient.
If you're looking for a better way to onboard your insurance customers, digital data intake journeys are the answer. Contact us today to learn more about how we can help you streamline your insurance customer onboarding process.