General Insurance Article - One in three people switches insurer because of poor service


 Some 15.5 million people – 33% of the adult population – claim that they have switched insurers over the past two years because they had received poor service from them. The findings(1) are from new research from EDM Group, the information management specialists.

 The company has also interviewed insurance intermediaries and senior executives on their views on the opportunities open to insurers for improving their levels of efficiency, and at the same time reducing costs. Nearly 15% of insurance executives (2) believe that the opportunities here are ‘huge’, and a further 38% think they are ‘significant’. 68% think that more digitisation of information and data by insurers would help significantly here, and a further 18% believe it would have a small role to play. The corresponding figures from the research (3) with intermediaries were 56% and 29%.

 In terms of which areas offer the best opportunities for insurers to improve their efficiency, 53% of insurance executives cited back office administration. This was followed by claims (44%), customer retention (38%) and underwriting (35%). When the insurance intermediaries were asked this question, 68% said back office administration, followed by 42% who said customer retention and 22% underwriting.

 Craig Campbell, Head of Insurance Sector at EDM Group, said: “It is clear from our research that both insurance executives and intermediaries believe there is significant room for improving levels of efficiency and cutting costs in the industry, and that the digitisation of information has a clear role to play here. For this reason, we see this as one of our biggest growth markets.”

 Some 42% of insurance executives interviewed believe that insurers will be effective in improving their levels of efficiency over the next three to five years, compared to 12% who don’t think this. The corresponding figures for insurance brokers are 27% and 19%. 

Back to Index


Similar News to this Story

Advice for those affected by Storm Eowyn
The Association of British Insurers (ABI) is reassuring homeowners and businesses impacted by Storm Eowyn that their insurers will be ready to help an
Quoted home insurance rose over 10 percent in the past year
Quoted premiums are down 2.2% in the past three months. Quoted prices rise the most in Scotland at 14.9% and the least in the West Midlands at 4.0%.
Climate Risk insurability is key to economic resilience
Annual report reveals 60 percent of economic damage caused by catastrophes in 2024 was uninsured. Insured losses reached $145 billion globally – the s

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.