Insurance Consumers Rank Online Portals Equally to Carrier Brand Reputation

Sacramento, California--(Newsfile Corp. - September 5, 2024) - insured.io, provider of a modern omnichannel customer engagement platform, today released consumer survey results revealing that the quality of a portal/mobile app is a significant factor when choosing a new insurance carrier, equal in importance to their brand and reputation. 

• 81% of survey respondents say they prefer to use an online portal for routine tasks.
• A third of survey respondents say that online portals are equal to reputation as the most important attribute when choosing a carrier.
• Almost 60% say they would switch carriers to get an automated service that would tell them exactly where their claim is in their process.

The portal/app experience is twice as important to consumers under 45 than those over 45. With the strong trend towards selling and servicing insurance policies through online portals and mobile apps, especially among Millennials and Gen Z, understanding consumer expectations for user experience is critically important for carriers to stay competitive.

The independent research commissioned by insured.io, surveyed over 500 US insurance consumers to understand the importance of digital channels in carrier selection decisions and usage preferences. While price and coverage options are the two most important considerations for selecting an insurance carrier, the third most important factor is tied between brand/reputation and online portal/mobile app experience, as mentioned by over a third of respondents.

Portals and Mobile Apps are Preferred for All Routine Tasks

Further, across all age groups, there is a strong preference for handling all insurance-related activities online: 81 percent prefer to use portals or mobile apps for routine tasks; 74 percent for policy renewals, 55 percent for purchasing new insurance, and even for more complicated tasks, 50 percent prefer it for submitting claims.

"Insurance consumer expectations for online experiences are higher than ever, especially among Millennials and Gen Z. Our research found that seamless online experiences are twice as important to these generations as compared to older insurance consumers. Younger consumers are increasingly dominating the insurance market, which means carriers must provide a modern digital experience to win and retain these customers," said Steve Johnson, CEO of insured.io.

Improvements are Still Needed

The data shows that carriers still need to improve their customer experience. Fifty-six percent (56%) said their carrier's portal is "pretty good," while only 17 percent said their current carrier's website is "excellent."

"Over the last four years, the main focus for P&C insurance carriers has been improving customer experience to boost acquisition and retention. This research from insured.io shows that some progress has been made. However, there is still a considerable amount of work to be done to meet rising customer expectations," said Sarah Haylock, Head of Operations at Bluefire Insurance.

Reducing Friction Around Claims is Paramount

With more than half of respondents citing difficulty with claims, survey respondents were then asked, "If an insurance company had an automated service that would tell you exactly where your claim is in their process and when it would be paid, how likely would you either switch companies or purchase a new policy from this company?"

Fifty-nine percent indicated they would be more likely to switch insurance companies for this feature. This finding highlights the strong demand by insurance customers for real-time updates and more frequent communication from their carriers on claim processing. Much like airlines and package delivery services provide real-time tracking, consumers now expect this level of service from their carrier.

What do insurance consumers really want from carriers? Download insured.io's new report.

Download a Copy of the Study

The full survey findings are available in a new report, "Navigating the Digital Shift: 2024 User Experience Survey," which can be downloaded from insured.io here.

About insured.io

Founded by insurance industry veterans with decades of experience on the P&C carrier and MGA side of the business, insured.io accelerates digital transformation for insurance organizations with a 360-degree suite of SaaS solutions built on a modern, cloud-based platform. The insured.io Customer Engagement Platform integrates seamlessly with multiple core administration systems. It includes interactive voice response (IVR), policyholder and agent portals, direct-to-consumer sales, recurring payments, first notice of loss (FNOL), and robust analytics. For more information and to schedule a demo of insured.io, please visit us at https://insured.io, email us at get@insured.io, or call us at (888) 470-0637.