Insurance Customer Experience Claims Automation

Optimizing Claim Closure Improves Customer Experience

 

Auto and home insurers strategically focusing on customer experience are optimizing claim closure to improve retention and loyalty. However, many insurers are missing out on this final opportunity to solidify a positive customer experience.

Operationally, insurance executives know the importance of closing claims. At a minimum, a claim closure notification generally ends the liability of a claim. It frees up claims personnel to address other claims and allows actuaries to adjust reserves.

For claimants, finalizing the claims process also validates the psychological need for closure. Since customers often remember the last part of transactions, ending the claims process on a positive note is essential.

Traditionally, insurers have sent claim closure affirmation through snail mail, which adds time to claims resolution. Deploying omnichannel digital communication, however, answers the desires of customers and their insurers to finalize claims as quickly as possible.

Optimizing claim closure means giving customers the opportunity to choose how they want to hear from their insurers. Besides offering omnichannel options via text, email or phone messages, insurers can also personalize customer experience enhancing positive messages.

Analytics only possible through digital communication also provide an opportunity for personal lines insurers that are optimizing claim closure. SPLICE customers are better reaching customers and seeing higher claims closure rates.

One way SPLICE’s analytics help insurers is by showing the difference in customer experience and efficiency by claims team or location. Following up with a survey, such as SPLICE’s Net Promoter Score (NPS), also provides immediate customer feedback while revealing which customers are more likely to be brand advocates.

The claims process can make or break customer satisfaction. Retaining existing customers is less expensive than attracting new ones. For these reasons, optimizing claim closure with positive messaging through the customer’s choice of communication is quickly becoming a best practice.

Editor's Note: this blog was originally published in July 2017 but was updated in July 2020 for consistency and freshness.