8 Secrets to Improving Customer Service in the Insurance Industry with Outsourcing

If customers do not get satisfactory service, they easily switch to other competitors. In order to keep up with the changing needs, improving customer service in insurance is one of the top priorities of businesses. 

Customer experience is a key aspect for companies trying to increase sales, satisfaction, and referrals. In 2022, the State of the Connected Customer surveyed almost 17,000 consumers globally and reported that 88% of them consider the experience a business offers to be as vital as its products and services. 

According to the HubSpot Research Trust Survey, companies with excellent customer service will have a 93% chance of getting repeat business. 

To survive in this fast-paced business environment and focus on core functions, you should outsource customer service in insurance. 

In this article, we will discuss the importance of customer service experience and tips on how to improve customer service in insurance by outsourcing. 

WHAT DOES OUTSOURCING CUSTOMER SERVICE IN INSURANCE MEAN? 

Customer service is a fundamental aspect in the insurance industry. It requires responding to queries, providing support, and determining issues and problems clients might experience. The benefits of hiring external customer service in insurance include reduced costs, increased efficiency, access to industry experts, and focus on the key duties of the company. 

Since outsourcing companies have advanced technologies and automation, this results in faster turnaround time which boosts efficiency and customer satisfaction. Moreover, insurance companies can save costs when they hire an outsourcing provider specializing in customer service support. 

IMPORTANCE OF OUTSOURCING CUSTOMER SERVICE IN INSURANCE INDUSTRY

Customer service can undoubtedly bring more sales to your company. As stated by the XM Institute 2020 Insight Report, 89% of businesses that provide “significantly above average” customer experience outperform their rivals financially.  

According to PWC’s research, 86% of consumers are willing to pay more to get a superior experience. One positive customer experience might convince customers to repeat a transaction with a company, while one unpleasant service may make them switch to your rival. 

Based on 2018 PwC research titled “Future of Customer Experience Survey,” 32% of all customers worldwide said they would stop doing business with a brand they adored after just one negative encounter.

We will list the benefits of outsourcing customer service in insurance below. This guide will help business owners have a better understanding of the importance of customer service and gain a competitive advantage in the market. 

Increased Efficiency

Faster response time is guaranteed when customer service is handled by the outsourcing company which results in increased customer satisfaction. 

Maintaining Competitive Advantage

Providing excellent customer service and meeting client expectations can give your company a competitive edge. 

Access to Highly-Skilled Professionals

Having access to these industry experts is a crucial aspect of your business since they are the frontline of the companies’ relationship with clients. Additionally, they can provide valuable insights about customer needs which can help them improve their services. 

Reduced Costs

Outsourcing can save costs by having access to countries with lower labor costs. Businesses can also save infrastructure costs (office space, software, hardware, etc.) when outsourcing. 

Focus on Core Tasks

When outsourcing customer service in insurance, you have the ability to focus on your business’ key projects and functions. 

Flexibility

Outsourcing can assist insurance companies when seasonal surges in customer queries and changes in demand arise. It is also easy to scale operations in the company when needed. 

Improved Language Barriers

Since outsourcing companies provide multilingual support and are fluent in some languages, this benefits insurance companies catering global customers. 

8 SECRETS TO IMPROVING CUSTOMER SERVICE IN INSURANCE VIA OUTSOURCING

Customer service experience refers to the entire relationship a customer has with your brand from beginning to end. Consumers value factors such as timeliness, ease of contact, and satisfaction. Every interaction they have with the company can either improve or harm their entire experience with the business.

Are you eager to know the secrets of successful companies who have remarkable reputations? We will examine some of the top tips to create a positive customer experience. 

#1) IMPORTANCE OF INDUSTRY EXPERTISE 

It is crucial that the agent must be able to explain to the customers their policies. If the customers are familiar with what they bought, conflicts can be avoided in the future. This goes with other concerns they have as well. Customer service representatives should be able to resolve the issues they have without transferring the call.

#2) BE CONSISTENT

A successful company must deliver exceptional customer service. This includes being welcoming, mindful, and responsive to the demands of the client. To help consumers feel valued, it is essential to pay attention to their concerns and offer feasible solutions.

Employees must be trained to act in the best interest of the clients. Setting specific standards for resolving customer issues will guarantee positive customer experience. You can establish a loyal customer base by prioritizing customer service.  

#3) HANDLE THE FEEDBACK & CRITICISMS WELL 

Take time to ask your customers about your services and if they have feedback. Monitoring the surveys and social media platform reviews can assist your company in improving your operations and services. It is essential to evaluate any issue or problem in order to better serve the customers in the future.  

#4) UNDERSTAND THE CLIENT

To provide a positive customer service experience, it is vital to have an in-depth understanding of your customers. You can specifically create an experience for your clients when you know their needs, wants, and struggles. 

#5) ADDRESS THE ISSUE

It is important to communicate with your clients and keep them informed. Ask the customer about the problem and gather more information for you to understand the situation better. During this time, empathize with the client and acknowledge their dissatisfaction. Let them know that you are there to assist them.

#6) MAINTAIN A HARMONIOUS RELATIONSHIP WITH YOUR CLIENTS 

Having effective communication will help you build trust with your customers. Providing them with transparency and business solutions is another positive way to increase customer satisfaction. You can also offer other policies to your clients. Customer service in insurance requires commitment in order to enhance your services. 

Creating a positive phone call with clients will leave a good impression on the customers. Project an enthusiastic attitude whenever they reach out to you. Make them feel valuable in your business accomplishment. Consistently providing great service encourages clients to return. 

Make sure that you have various channels where they can reach out to you. 

#7) USE OF ARTIFICIAL INTELLIGENCE (AI) WITH YOUR IMPROVED STRATEGY 

Since we live in a fast-paced environment, there is a need to strategize efficiently in order to keep up with the constant changes. Modifying your systems and incorporating AI tools with your tasks will improve your business operations. This will result in faster response time, innovative ideas, and boosted productivity. 

#8) TRACK THE RESPONSE TIME 

Putting your customers on hold for a long time paves the way to a bad service. Customers tend to switch to your competitors when they are not satisfied and you do not want that to happen. Ensure that you partner with an outsourcing company that is reliable and efficient. 

THE BOTTOM LINE IS…

Customer service in insurance is constantly changing, and strategizing well and improving your services will help you keep up with the customer demands nowadays. 

The way a customer interacts with a company shapes their overall customer service experience. A positive customer experience can help your company establish recognition and increase sales and retention. Interactions with their insurers are also important to maintain mutual benefit and trust. 

The importance of customer service we discussed in this article will help business owners arrive at a better decision when it comes to outsourcing customer service in insurance. We highlighted the advantages of outsourcing customer service such as faster response times, improved language barriers, access to talent pool, reduced costs, flexibility, and focus on core competencies. 

The eight tips to improving customer service in insurance through outsourcing will assist businesses in maintaining a competitive advantage. Incorporating these strategies will significantly impact the company and increase satisfaction. Besides, a company cannot be successful without its customers and returning clients. 

MAGELLAN SOLUTIONS PROVIDES EXCEPTIONAL CUSTOMER SERVICE FOR YOUR INSURANCE BUSINESS

Do you need assistance with outsourcing your customer service in insurance? Magellan Solutions guarantees topnotch and cost-effective insurance BPO services to clients. Our expertise in this field will ensure that your needs are met throughout the entire process. 

As a leading provider of call center services for over a decade, we pride ourselves on offering only the highest quality outsourcing services. On top of that, we are an ISO-certified and HIPAA-compliant outsourcing company. We provide a great variety of quality outsourced business solutions. 

Contact us and let us discuss your business goals.