Direct to Customer in Insurance – Thematic Research

Direct to Customer in Insurance – Thematic Research



Summary



As digitization continues to shape customers’ attitudes and purchasing behaviors, insurers are being forced to rethink their distribution models and put a greater focus on the direct channel. For both non-life and life products, price and reputation are at the heart of the customer decision-making process. Established players have the largest market shares for direct sales, but new entrants have focused their efforts on the direct channel and have excelled at removing friction from the customer journey. This is helping them differentiate their brands. Most insurers continue to hold strong ties with intermediaries, but the prospect of improved margins will incentivize them to continue investing in the direct channel.



This report explores how the insurance industry has evolved from selling products almost solely via brokers and other intermediaries to more direct methods as consumers become increasingly connected. It highlights which business lines have been most commoditized, rendering them more suitable for direct and unadvised sales. It explores how insurers are changing their communication strategies in a bid to improve customer engagement and retention. The report also reveals which mediums and technologies have the potential to generate further opportunities to engage with customers and improve brand awareness.



Scope



– The direct channel is experiencing the fastest growth with both non-life and life products, although it is still more prominent for the former.

– Direct sales are also better established within personal lines than commercial products, as consumers’ willingness to pay for financial advice dissipates and online media facilitates direct interaction.

– As the direct channel grows, insurers are putting a greater focus on the user experience and overall customer journey. Insurers are increasingly present across different media, including social media and messaging apps.



Reasons to Buy



– Examine the size of the direct channel across selected key countries.

– Understand the key factors contributing to the rapid growth of the direct channel.

– Learn what insurance companies are doing to successfully communicate and engage with customers

– Improve the customer journey and brand loyalty by understanding what matters to consumers.

– Discover which are the most selected providers in the direct channel by non-life and life product lines (UK only).



Companies Mentioned:

Zhong An

Lemonade

Aviva

Admiral

LV=

Direct Line

Zurich

AXA

Liberty Mutual

Vitality

Berkshire Hathaway

LINK4

Wipro

Bupa

Oscar

DeadHappy

Bought By Many

Metromile

By Miles

Marmalade

Igloo

Trov

Zego

Toffee

Clover Health

Root

Allianz

Spixii

Amazon

Google



Waggle

Trustpilot

Halifax

Lloyds Bank

NatWest

Arthur J Gallagher

Petplan

Animal Friends

InsureandGo

Legal & General

Royal London

NFU Mutuak

Beagle Street

MAPFRE

Munich Re

Alibaba Ping An

apparent

Hippo

Root

Confused.com

GoCompare

GEICO

Facebook

LinkedIn

Twitter

Defaqto

reevoo

WeChat

MetLife

Pacific Insurers

Taikang Life Insurance

Jubilee Insurance

WhatsApp

Bharti AXA

eBay

Fubon Property & Casualty

The Co-operative

AIG Life

yulife

Swiss Re

Ritesh Tiwari is the Founder of Research By Markets. He has more than 7 years experience in the Market Research industry and a total experience spanning 18+ years. His core experience is in Sales and International Recruitments. Ritesh is a big foodie and a huge football fan, supporting Manchester United (EPL) and FC Barcelona (La Liga). He hardly misses watching any matches when these teams are playing. Get in touch with Ritesh via: enquiry@researchbymarkets.com *Industry Press Release is a part of Research By Markets.