The importance of hyper-personalisation in insurance

Insurers, re-insurers and brokers are increasingly focussed on how they can deliver more personalised, autonomous and tailored customer experiences. To meet this need, gaining a thorough understanding of every customer has never been more vital. 

According to work by software company Quantexa, there is a critical need for insurance organisations to extract more intelligence from their data and enrich this with external insights to improve their customer centric decision-making. Only then can organisations deliver greater customer value, increasing client retention and life-time value.

Hyper-personalisation is the timely, relevant engagement of customers across all channels and at all stages of the lifecycle. This is driven by utilising data, analytics, AI and automation to provide dynamic, personalised and targeted user experiences.

In the insurance setting, hyper-personalisation brings together a broad set of data to create a dynamic understanding of the customer. This is then used to inform all aspects of customer engagement through digital and physical channels.

Quantexa said that only a small proportion of insurance organisations are able to execute this consistently. The company said only 10% of organisations have explainable and trusted automation being used throughout the value chain, 70% lack a trusted holistic view of clients across the enterprise, and over 44% of the C-suite see a lack of trust in disparate data causing customer retention issues and missed customer opportunities.

However, Quantexa revealed that insurance companies face intense growth in regard to data complexity, evolving customer needs, challenging market conditions, and extreme competitiveness – which often hold them back.

Even with the scale of investment in data transformation, there are still multiple disparate and disconnect systems that hold and store customer information. This could be any combination of active policy data, historical quotes or claims, contact information, marketing preferences, engagement and web analytics data as well as insights derived from digital engagement and external sources. This disconnect in data leads to an unreliable and siloed view of customers across the business. This means that contact centre agents, underwriters and claims handlers often have a vastly different analytical view of the same customer.

Quantexa champions the use of Contextual Decision Intelligence (CDI). The company said CDI is changing the way carriers, re-insurers and brokers can seamlessly connect data from different sources, formats, and systems to provide accurate, dynamic, and connected 360° views of all customers, claimants, and third-parties in one place. This provides the context and the insight needed to drive true real-time hyper-personalized experiences to customers across all channels.

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