It costs insurance providers a lot more money to obtain new customers than it does to retain existing ones. That’s why improving customer satisfaction is an ongoing process for most insurance companies. However, customers aren’t going to care about great rates if their experience filing a claim is a disastrous one. When the claims process is more arduous than the event that triggered the claim in the first place, insurance providers will quickly discover they have a retention problem on their hands.
Whether a policyholder is calling to report the damage to their home, their vehicle, or some other covered item, first notice of loss (FNOL) represents the single greatest opportunity to influence customer satisfaction. Insurers that manage the stress of the claim right from the start can help customers feel at ease. Any claim that has a rocky start is unlikely to improve in the eyes of the customer so insurance providers need to make FNOL count.
How to Help Put Customers at Ease During FNOL
Customers filing a claim are likely to be in a turbulent frame of mind. Insurance representatives can help put customers at ease in the following ways:
- Be empathetic to the customer’s situation
- Answer all questions that customer may have
- Provide a clear picture of the claims process
- Be direct in how long the claim should take from FNOL to settlement
- Provide information on the next steps to simplify the claims process for the customer
If an insurance company fails to put a customer’s mind at ease about the outcome of the claim, they’re unlikely to secure that customer’s loyalty.
One of the most challenging aspects is getting a handle on empathy. It’s easy to offer condolences following FNOL, but that does nothing to ease the situation for the customer. Reacting to the reality of poor customer satisfaction following claims, many insurers are overhauling their approach to FNOL. Some examples include helping arrange estimates or coordinating with contractors on the insured’s behalf.
Building loyalty is challenging in the insurance industry and FNOL is the key to getting started. Helping the insured customer feel secure throughout the claim process starts when they first report the loss. To learn more about improving your claims process, contact the experts at Actec.