Pitney Bowes Business Insight, a provider of customer data, analytics and communication software and services, announces the results of a study that reveals only 48 percent of consumers in the U.S. and the UK trust their insurance provider.
This represents lower levels of trust than are seen in the banking industry (57 percent). The study also found that a mere 32 percent of respondents thought their insurance providers were doing a good job implementing policies that favor the customer's best interest.
The results of the study, commissioned by Pitney Bowes Business Insight and conducted by the ESCP Europe Business School, demonstrate a need for increased customer centric communication across all channels in order to develop higher levels of trust. Key findings include:
- Only 41 percent of respondents trust insurance companies to do what is right.
- 45 percent of customers believe that, if they shared their problems with their insurance provider, they would receive a caring response.
- 47 percent said they trust self-service technologies like e-commerce platforms and online accounts.
- In addition, only 53 percent answered positively about their insurers when asked whether they feel satisfied with the treatment, the relationship, and service they receive.
"One of the major struggles for the insurance industry is commoditization and customer churn," says Bill Sinn, strategic marketing director, Pitney Bowes Business Insight. "The key to addressing these issues is creating a dialogue with customers that is consistent, reliable and creates a relationship that extends beyond the policy renewal date."
The report found that trust in the marketing communications of a service provider determines between 15 and 23 percent of overall trust. Still, less than half of respondents (48 percent) trust the marketing communications of their insurance provider.
Survey respondents believe that improving customer communication would have the greatest impact in terms of developing trust. In particular, consumers cited that higher levels of quality, clarity and transparency would be most helpful in communications from their insurance provider. Additionally, consumers cited that they look for companies that provide high-quality service and demonstrate a high level of competency and conduct from employees.
Click here to read the entire study.