Digital Insurance for Singaporeans | Buy Insurance Online in Singapore
Car Insurance | Health Insurance | Home Insurance | Insurance | Life Insurance | Travel Insuranceby Priyadarshini 22 December 2021
In comparison to banking, retail, and even food and beverage, the insurance business has been hesitant to embrace digitalization. Having said that, COVID-19 was most likely the jolt insurers needed to get up to speed. Nowadays, buying insurance online is normal, especially for simple things like travel and vehicle insurance. In this blog, we discuss digital insurance for Singaporeans.
Digital Insurance for Singaporeans
Is it possible, however, for more difficult insurance types, such as critical sickness and health insurance, to follow in the footsteps of e-commerce?
Which is better: buying insurance online or in-person?
Customers nowadays expect everything to be done online, and insurance is no exception. Many respondents are equally pleased with human advisor-assisted insurance purchases, i.e. the traditional method of purchasing insurance. The explanation for this is straightforward: differences in product complexity. Customers were more than eager to acquire protection online for simple products such as auto insurance.
However, as insurance policies get more sophisticated, the stakes are perceived to rise. In such instances, adviser support makes insurance clients feel more at ease and ensures a greater claim success rate.
What about claims for insurance?
Purchasing insurance is one thing; claiming it is quite another. This is where many of the customer’s problems arise, and the results favour advisor help as the nature of their claims becomes more complex. The present online self-service channels are insufficient for addressing customer concerns. This is related to the fact that self-service claims do not have a 100% success rate, with customers preferring to have their personal advisor review their claim submission to rectify any gaps.
Having a personal point of contact once the claims are submitted is also extremely beneficial. When advisors aid with document assembly, claims processing, and submissions, customers are typically very delighted and assured. This notion of someone on the “inside” working hard in your best interests is not present in digital insurance interactions.
Moving forward, what should insurers do to meet the requirements of their customers?
People have strongly favoured checking for information online before making a purchase. Relying on financial aggregators to suit their informational needs. However, it is notable that only half of the customers obtain product information from the insurers’ own websites. To improve on this metric, insurers must be more transparent and objective, emphasizing exclusions and other essential information rather than concealing it within policy documentation.
Customers like the ease of digital services, but there is a major need gap when it comes to answering customer doubts and queries online. Insurers should consider filling this void with 24-hour help from chatbots and/or human consultants. As a result of this, insurers can expect to personalize and consolidate insurance packages for individuals or families, saving customers the headache of having to keep track of many moving parts. Whether it’s the terms of the plans they have, the many premiums they have to keep track of, or submitting their claims separately.
So, digital insurance or assisted buying? While online does basic duties like purchasing and filing simple claims, it is human assistance that speeds up or raises the success rate of the insurance purchasing and claiming process. Digital Insurance for Singaporeans is good only to buy simple insurance policies.