'Options in pensions,long-term care to earn customers loyalty'

To create value for customers and earn their long-term loyalty, insurers need to come up with more options in pensions and long-term care, according to a survey report.
"Value for customers, the prime stakeholder, can be enhanced by providing more options at the time of purchase by developing segments such as pensions and long-term care, which are essential yet currently being offered in a very limited way," an Ernst & Young and CII report on Indian Insurance sector said.
The report further pointed out that besides developing options, it will also be critical to accurately assess the customers' needs and ensure transparency in communications to embed a feeling of trust among customers.

Customer experience can be enhanced significantly by raising service delivery standards through a greater use of mobile technologies, analytics, and through implementation of global best practices adopted from the foreign partners, who can now be expected to play a greater role in the overall operations, it said.
All of these aspects, when coupled with providing sound payouts at the time of exit, will create enormous value for customers and earn their long-term allegiance, it opined.
The report stated that the real evidence of value creation will be when a distributor is able to stay engaged, can work like a partner and is confident of a long-term growth in its earnings.

The insurance industry can create such value only by developing unified service capabilities between the insurers and the distributors through greater use of technology and sharing of resources, it added.

Additionally, creating a common skill development framework at an industry level will allow distributors to access the required manpower, which is often a key challenge, particularly for the smaller distributors, it added.
The report also stated that the insurer must be careful in identifying the right ways to employ the additional capital inflows, which it may receive over the next few years.
Also, it should harp upon the adequate skilling of its employees and setting practices aimed to make it future ready, it added.