With the rise of fintechs (startups dedicated to financial markets) in France, digital transformation is enriching most industries. However, the insurance industry has been slow to adapt. With that said, the consumer demands of the French are changing and pushing for more flexibility and adaptation on the part of insurers.
With the advent of insurance technology, the insurance industry in France is expected to experience the same paradigm shift as traditional banks. More eager to be in control and benefit from more personalised offers, the French also want greater transparency and greater flexibility. The rise of digital technology makes it possible to meet these needs, but lessons learned from other industries must be put into practice.
Some players clearly understand the importance of working with these insurers, as evidence by the creation of different incubators within large groups such as Crédit Agricole or Axa. This is why it is important to analyze the areas of progress, making it possible to gain in transparency and in confidence with the consumer, but also by bringing tailor-made solutions, adaptable to all.
1. A more secure, transparent and mobile digital space
With the shift to “all digital,” confidence in the systems have become a necessity. Insurance, like finance, is one of those sectors where everyone will seek the most secure environment to guarantee the integrity and confidentiality of their personal data. Thus, insurers must set up a secure system, offering the ability to easily interact with their account holders.
Moreover, given the complexity of insurance services, the importance of a transparent and easy-to-understand user interface becomes a differentiating factor. The easier it is to use, the more users will trust the services offered. The user path must therefore be carefully thought out from registration to subscription to offers.
Crowdtesting is an invaluable resource to understanding that user path and the expectations of your target users. It allows you to discover in more detail the improvements needed in terms of UI, mobility and functionality, providing the answers needed to implement a concrete solution.
In addition, the services offered must be available both on desktop and mobile. More and more users have access to their personal services from their mobile phone, making this an essential channel in which to connect with them. Whether in transport or in a queue, enabling customers to access their services wherever they are is a significant competitive advantage.
2. A more personalised offer
According to a Capgemini survey, 30% of policyholders would be willing to take out insurance with the GAFA. With notable advances in the collection of personal information by these internet giants, French insurers need to catch up in their digitalization strategy to establish new policyholder relationships more deeply rooted in digital. This will, among other things, increase the speed of access to services and improve the dialogue between the insurer and the insured, thereby giving insurers the opportunity to get to know their clients better and provide more personalized offers.
While these points may seem obvious, their implementation is more complex than it seems. Certain technologies such as blockchain, robo-advisors, or big data, favour the appearance of new entrants in the market and help them to bring solutions to existing problems. For example, the startup Moonshot Internet offers a parametric insurance service coupled with APIs, making it possible to take out ad hoc insurance.
As our eBook on digitalization in the insurance field reminds us, certain solutions exist to meet the hyper-personalization expectations of consumers.
3. Target interest groups
If there is one thing that insurance companies really understand, it is the importance of using homogeneous groups in order to propose the most adequate offer possible. Whether you are a motorist, motorcyclist, or an employee of a digital startup, insurance companies called assurtechs do not hesitate to precisely target your group with a tailor-made service.
Thierry Delcupe, CEO of the startup Wizzas, specialises in offering tailor-made solutions to its customers. He reminds us: “There is a feeling of dissatisfaction and complexity on the part of consumers on the question of insurance. They feel that they are both insured for things that do not interest them and that they are insured several times for the same risk.”
It is essential that players be able to easily respond to the specific needs of increasingly demanding customers using simplified and intuitive interfaces. The concept of contextual insurance, which makes it possible to meet an immediate need according to particular situations (plane delay, accident, loss of a basic necessity), then becomes more prevalent in the society of the “moment” in which we live.
The Applause eBook sheds light on the changes taking place in the insurance industry, and on the importance of a good digital strategy for insurance products. Feel free to consult this free eBook at this address.