Canadian Insurer’s Performance Beats Peers…
In the 2023 Financial Services Reputation Report published by Calibre, a stakeholder tracking provider, MetLife was ranked first among insurers for customer trust and happiness, followed closely by Sun Life.
The poll collects and examines public attitudes on banks and other financial institutions. Reputation, brand awareness, and level of support are essential concepts in its technique.
MetLife’s high rating prompted Caliber’s senior adviser, Sren Holm, to wonder why the firm enjoys such positive consumer sentiment.
We believe it’s excellent that, in these tough economic times, they’re highlighting the more human aspects of their business to attract clients.
In an interview with Insurance Business, Holm discussed the importance of balancing technological prowess and excellent customer service, as well as the traits consumers look for in an insurer.
Popular with a large number of people
Holm said that both MetLife and Sun Life had high profiles in the public eye, which contributed to their high placement in the rankings of financial services institutions.
“When a customer visits the MetLife or SunLife homepage, they are met with a website that prioritises real people and their life circumstances,” he said.
Visitors to the MetLife digital domain have access to a wealth of resources, including how-to guides for purchasing and utilising insurance, and information about the company’s various lines of insurance, all of which are presented in an approachable manner.
Budgeting and minimising food waste are just two examples of the ways in which Sun Life addresses the needs of its insureds.
Holm emphasised the importance of these organisations maintaining a “distinct” personality apart from their economic operations and the pursuit of monetary gain.
This helps to dispel the stereotype that insurance companies and other financial services providers are stodgy and solely concerned with increasing their premiums and client base.
“Putting themselves in the shoes of the customers and showing some human side to the company seems to be a successful business move,” said Holm.
The phrase “a necessary evil”
Holm and his Calibre coworkers noticed a pattern in the report that indicated declining interest in insurance.
Holm speculated that this is because “historically, a majority of insurance companies are not really that good at explaining their value explaining their relevance for people.”
Despite insurance’s obvious importance in many areas of life, consumers’ perceptions of it can sometimes be at odds with reality.
“It’s seen more as a necessary evil than as something that is largely value-driven,” Holm added.
Insurance companies in particular walk a delicate line between serving their customers well and being viewed as predatory.
The public “may recognise that these businesses are doing good but are turning in enormous profit for shareholders,” Holm said.
Because of this, the ethical and transparent marketing and sale of its services was ranked as the top way that financial service firms are demonstrating social responsibility by poll respondents.
“People don’t want to feel like they’re being exploited, and the more successful companies are doing a better job of avoiding this reputation,” Holm said.
Changing to meet customers’ often-opposing expectations
Two-sevenths of respondents want their insurers to put an emphasis on providing them with simple, digital access to their account or payment solution (such as smartphone access), and one-quarter anticipate good customer service and communication.
Holm remarked, “This is one of the most interesting dilemmas that insurers are facing.” Being able to “create a more autonomous user experience for insureds” is a desirable goal, but it must be balanced with the preservation of human connection.
Now more than ever, policyholders anticipate a streamlined insurance application and claims filing procedure enabled by modern technologies like artificial intelligence-powered chatbots.
However, given the complexity of insurance terminology, policyholders have come to expect clearer explanations from their insurers, especially in the wake of a loss.
Holm said it best when he said, “What it comes down to is two sides of the same coin.”
“A streamlined digital experience” that can be accessed from smartphones, with a live person on hand to answer questions and guide users through the claims process if necessary.
Caliber’s survey and others like it provide valuable insight into what consumers expect from modern businesses and how to thrive in an increasingly critical marketplace.
