Customer engagement and digital innovation now go hand in hand, and, with some strategic thinking, unique data is allowing the industry to better manage risks and to dynamically adjust pricing.
A comprehensive analysis of customer behaviour comes from more than just traditional insurance data. Understanding customer’s daily habits, goals and buying habits helps predict what they want in a policy and what their potential exposures may be.
CEO and founder of Optimity, Jane Wang (pictured), spoke to Insurance Business about what it takes to have a customer engagement engine that gives insurers the data necessary to improve life, health, and group benefits business.
To collect the necessary information to improve coverage options, insurers need to consider what companies make customers more open to providing personal details to best assess and mitigate potential risks.
“We’re a mission driven company and want to help people live healthier, longer lives,” said Wang. “More customer engagement evidently leads to better client retention.”
Optimity’s app is focused on incentivizing members to have a holistic approach to health and the platform has consistently been in the top 10 wellness apps because of its engagement with a community of over 2.6 million members.
“We got into this business to save lives, it’s our main value proposition,” she said. “All the data we collect also leads to live underwriting or ongoing monitoring, giving insurers better ability to sell, cross-sell and innovate modernized products.”
Canadians, she stated, are looking for more personalized products and digital engagement is allowing insurers to access the data needed to do just that.
There are different versions of engagement software, but it’s vital for insurers to look at data that is collected for the benefit of the user. Wang highlighted the importance of having a high-quality data set to provide the industry with valuable insights that mitigates claims activity.
Balancing digital communication and automation are the other keys to a great engagement platform. When customers are confident in the design and accessibility of the software, data can be safely collected and distributed for the industry to use.
“Healthy relationships and an open dialogue play a role in helping both carriers and brokers stay innovative in how to price and sell products,” she said.
The most important aspect to building long-term customer engagement, however, is trust.
Read next: Boost your client conversion rate
Healthy engagement on digital platforms requires a level of comfortability and transparency to provide the data necessary for product innovation, underwriting, and claims work. Some key features engagement platforms usually include are: live-agents, daily tracking, goal setting, or rewards.
With platforms such as Optimity, customers set their new year’s resolutions giving the industry some insight to what those insureds’ needs will be. Whether it be buying a new car or home, by assessing goals insurers can prepare themselves for which lines will see an increase in activity.
With engagement platforms that creatively use technology to gather information, insurers can segment the right data that will enhance the quality of products and underwriting.
“Our goal is to makes sure clients have a level of protection that they need,” said Wang. “A big part of that lies on insurers as well, and we help them assess and manage risk, so clients get the best product and price possible.”
As the industry become more comfortable having consistent dialogue with clients through emerging digital platforms, the right data will be brought to the table, enabling more opportunities to build a better financial future for all.
Leveraging engagement platforms that track consumer behaviour is paving the way for the future of the industry. When clients are provided tailored, holistic insurance solutions, retention is a walk in the park.
“It’s so important to create a healthy relationship with data,” she noted. “It helps create healthier relationships in the long-run.”
