72% of Consumers Would Share Personal Data to Get Cheaper Insurance Premiums
Increased education around insurance products, the hyper-personalization of insurance offerings, and enhanced digital customer experiences all present opportunities for insurers to improve customer engagement and drive better customer outcomes. In addition, more effective cross-selling can help insurance companies boost brand awareness, enhance retention levels and drive repeat business.
Capco, a global technology and digital consultancy, surveyed almost 14,000 consumers across 13 markets globally to gauge their impressions of insurance products and providers. The survey provides an overview of public attitudes toward consumer insurance, the key products and services used, and emerging trends.
Four key themes have emerged from a preliminary top-line analysis of the survey findings:
1. Hyper-personalization presents an opportunity to drive better products and customer outcomes.
2. Education is needed to increase consumer knowledge and engagement.
4. Cross-selling presents an opportunity to boost brand awareness, repeat business and improve retention levels.
Matt Hutchins, Global Insurance Lead at Capco, said:
"These initial findings highlight a sizeable consumer demand for the digitalization and personalization of insurance products and services, coupled with better financial insights and lower premiums. Consumers want a more connected customer experience that goes beyond the insurance space into other areas of financial services. Insurers can achieve this by developing digitally focused tools that educate the customer, provide personalized support and financial information.
"The survey also emphasized that different customer segments have different needs and preferences when it comes to the sharing of personal data. Insurers could devise 'two-way contracts' to better understand the extent of customer willingness to share data in exchange for more unique usage-based products while providing reassurances regarding the privacy and fair use of data. As the insurance industry becomes increasingly data centric, customer exclusion is a potential downside as not all consumers will benefit from sharing personal data. In time we could see the emergence of more niche insurance offerings to cater for such consumers."
The full Capco global insurance survey and report, including commentary on individual markets and information about the survey methodology, will be published in the early autumn. If you are interested in receiving a copy of this report and viewing additional insights from Capco's insurance research please register here.
Capco is a global technology and management consultancy specializing in driving digital transformation in the financial services industry. With a growing client portfolio comprising of over 100 global organizations, Capco operates at the intersection of business and technology by combining innovative thinking with unrivalled industry knowledge to fast-track digital initiatives for banking and payments, capital markets, wealth and asset management, insurance, and the energy sector. Capco's cutting-edge ingenuity is brought to life through its Innovation Labs, and award-winning Be Yourself At Work culture and diverse talent. To learn more, visit www.capco.com or follow us on Twitter, Facebook, YouTube (News - Alert), LinkedIn Instagram, and Xing.
The survey was conducted online in April and May 2021 and collected responses from a total of 13,798 individuals. The markets surveyed were the UK, US, Canada, Brazil, Germany, Austria, Switzerland, Belgium, Hong Kong, China, Singapore, Thailand and Malaysia. Country representative quotas were followed. ?Survey respondents were drawn from six age demographics: 18-24, 25-34, 35-44, 45-54, 55-64, and 65+. 49% of respondents identified as male, 50% identified as female, and 1% identified as other.