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ICICI Lombard Insurance Ranks Highest in Customer Satisfiaction.
/India PRwire/ - ICICI Lombard ranks highest in customer satisfaction with auto insurance providers, according to the J.D. Power Asia Pacific 2009 India Auto Insurance Customer Satisfaction Index(AIS) StudySM released today.
The inaugural study measures auto insurance policyholder experiences with their primary insurers. Customer satisfaction is measured across six factors: interaction; claims; product/policy offerings; renewal/purchase of policy; billing and payment process; and premium/price for coverage offered.
ICICI Lombard ranks highest with a score of 775 on a 1,000-point scale, performing particularly well in three factors: product/policy purchase experience; product/policy offerings; and premium/price for coverage offered. The Oriental Insurance Company follows closely in the rankings with 772. Overall satisfaction across the industry averages 761.
“Customer satisfaction with ICICI Lombard is largely driven by a seamless customer experience of procuring a policy,” said Mohit Arora, senior director at J.D. Power Asia Pacific, Singapore. “Compared with the industry average, a higher proportion of ICICI Lombard customers report having satisfying experiences with the provider’s variety of contact options, the ease of purchase or renewing a policy, and the speed with which a policy was issued.”
The study also finds that more than 80 percent of auto insurance policyholders, on average, did not file a single auto insurance claim experience with their provider.
“While claims settlement tends to be the moment of truth in determining customers’ satisfaction with their auto insurance providers, among a large proportion of customers, satisfaction is based largely on interactions aside from policy claims,” said Arora. “Provider actions like asking questions to clarify needs, explaining policy coverage, and handling customer requests promptly can all translate into higher levels of satisfaction, loyalty and advocacy.”
Among auto insurance customers who have not filed claims, the study finds that satisfaction levels are primarily driven by the premiums and interactions with the insurer through a variety of contact channels.
“Until recently, the auto insurance customer experience for policyholders in India has been largely indistinguishable across providers, with policy claim experience being one of the only differentiators,” said Arora. “However, industry de-regulation and the opening up of newer channels of distribution, such as online policy purchases and call center support, have increased the number of opportunities for providers to distinguish themselves.”
The study also finds that highly satisfied policyholders are more likely to renew their policy with the same provider. More than seven in 10 customers who report being highly satisfied with their insurance provider say that they “definitely will” renew the auto insurance policy with the same provider. Similarly, 66 percent of customers report having purchased a policy based on recommendations from the vehicle dealer, friends or family.
“In a familial society like India’s, recommendations are one of the most-utilized sources of information in the policy purchase decision process,” said Arora. “Providing customers with highly satisfying experiences not only increases their likelihood of policy renewal, but also increases potential positive recommendations from these customers. These recommendations can have a substantial impact on a provider’s marketing, customer acquisition and long-term brand-building efforts, which can result in even greater financial benefits.”
The 2009 India Auto Insurance Customer Satisfaction Study is based on evaluations from 4,445 auto insurance policyholders who renewed or purchased an auto insurance policy between January 2008 and April 2009 and were at 2.5 to 3.5 years of vehicle ownership. The study includes 11 auto insurance companies (including seven private and four public providers) and was fielded from January 2009 to April 2009 in 20 cities across India.
Source: Press release distribution via India PRwire
The inaugural study measures auto insurance policyholder experiences with their primary insurers. Customer satisfaction is measured across six factors: interaction; claims; product/policy offerings; renewal/purchase of policy; billing and payment process; and premium/price for coverage offered.
ICICI Lombard ranks highest with a score of 775 on a 1,000-point scale, performing particularly well in three factors: product/policy purchase experience; product/policy offerings; and premium/price for coverage offered. The Oriental Insurance Company follows closely in the rankings with 772. Overall satisfaction across the industry averages 761.
“Customer satisfaction with ICICI Lombard is largely driven by a seamless customer experience of procuring a policy,” said Mohit Arora, senior director at J.D. Power Asia Pacific, Singapore. “Compared with the industry average, a higher proportion of ICICI Lombard customers report having satisfying experiences with the provider’s variety of contact options, the ease of purchase or renewing a policy, and the speed with which a policy was issued.”
The study also finds that more than 80 percent of auto insurance policyholders, on average, did not file a single auto insurance claim experience with their provider.
“While claims settlement tends to be the moment of truth in determining customers’ satisfaction with their auto insurance providers, among a large proportion of customers, satisfaction is based largely on interactions aside from policy claims,” said Arora. “Provider actions like asking questions to clarify needs, explaining policy coverage, and handling customer requests promptly can all translate into higher levels of satisfaction, loyalty and advocacy.”
Among auto insurance customers who have not filed claims, the study finds that satisfaction levels are primarily driven by the premiums and interactions with the insurer through a variety of contact channels.
“Until recently, the auto insurance customer experience for policyholders in India has been largely indistinguishable across providers, with policy claim experience being one of the only differentiators,” said Arora. “However, industry de-regulation and the opening up of newer channels of distribution, such as online policy purchases and call center support, have increased the number of opportunities for providers to distinguish themselves.”
The study also finds that highly satisfied policyholders are more likely to renew their policy with the same provider. More than seven in 10 customers who report being highly satisfied with their insurance provider say that they “definitely will” renew the auto insurance policy with the same provider. Similarly, 66 percent of customers report having purchased a policy based on recommendations from the vehicle dealer, friends or family.
“In a familial society like India’s, recommendations are one of the most-utilized sources of information in the policy purchase decision process,” said Arora. “Providing customers with highly satisfying experiences not only increases their likelihood of policy renewal, but also increases potential positive recommendations from these customers. These recommendations can have a substantial impact on a provider’s marketing, customer acquisition and long-term brand-building efforts, which can result in even greater financial benefits.”
The 2009 India Auto Insurance Customer Satisfaction Study is based on evaluations from 4,445 auto insurance policyholders who renewed or purchased an auto insurance policy between January 2008 and April 2009 and were at 2.5 to 3.5 years of vehicle ownership. The study includes 11 auto insurance companies (including seven private and four public providers) and was fielded from January 2009 to April 2009 in 20 cities across India.
Source: Press release distribution via India PRwire
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