Just 34% of UK GI customers rank their experience highly
The UK general insurance (GI) industry is lagging behind the global average for customer satisfaction, according to a study by accounting firm KPMG.
KPMG’s 2014 customer experience barometer found that 34% of UK general insurance policyholders rank their customer experience highly.
This compares with 42% in the US, 40% in Germany and a global average of 37%.
The UK GI industry also lagged behind UK banks, which achieved a customer experience score of 35%.
However, UK GI performed better than the UK life insurance industry, where only 30% of customers rank their experience highly.
The average across all UK financial services was in line with the GI industry at 34%.
The KPMG study also found that the UK GI industry is failing to make big strides in improving customer experience. Only 16% of customers felt experience had improved over the past year.
KPMG UK head of insurance Phil Smart said: “Improving customer experience is a challenge for the industry as insurers have relatively limited interaction with their customers.
“Unless a claim is made, there can be little to tell insurers apart besides price and brand. Commoditisation hasn’t held online retailers back, however, and insurers have much to learn from this sector.”
He added: “Insurers should focus on improving their customer experience at the point of contact and adopt an online retailing mentality. The proliferation of aggregators is a good example of an increasing industry shift towards an online retail based model.”