Insurable Interest Canadian Insurance Blog

Customer Experience Increasingly Being Driven by Digital Interactions with Insurers: J.D. Power 2020 U.S. Auto Insurance Study Troy, MI (June 11, 2020) – Remember all the talk that digital transformation would disrupt the auto insurance industry? Well, it’s real. According to the J.D. Power 2020 U.S. Auto Insurance Study,SM released today, insurance company websites—for the first time in the study’s 21-year history—officially surpass agents in terms of importance to client interaction and service by providing higher customer satisfaction. “We’ve seen this trend developing for several years, but this is the first time that the digital channel has become the preferred means of interacting with auto insurers, exceeding one-on-one communication with agents,” said Robert Lajdziak, senior consultant for insurance intelligence at J.D. Power. “This has huge implications for the industry because it puts the focus squarely on digital investment to notably expand creating seamless customer touch points. It’s an area in which the major national carriers excel, versus hyper-local, albeit knowledgeable, agent networks.” Key Findings Following are key findings of the 2020 study: Digital investments pay dividends: Customer experience with auto insurer websites contributes more to satisfaction than agents, accounting for 34% of an insurer’s total interaction score. That’s one percentage point higher...

Staff  | June 15, 2020 As the Canada Life Assurance Co. prepares a phased approach for returning to the office, the insurer is thanking its more than 11,000 employees with two paid days on July 2 and 3 for an extra long Canada Day weekend. “Three months ago, we asked our employees to be flexible, adaptable, creative and resilient in the face of great change, disruption and uncertainty,” said Jeff Macoun, president and chief operating officer for Canada at Canada Life, in a press release. “We are so proud everyone rose to the challenge, as we knew they would, so we could continue to be there for our customers, advisors and each other every day. Canada Life days are just one way we can thank our employees and help ensure their own mental health is a priority as they continue to support the financial, physical and mental well-being of Canadians.” More than 95 per cent of Canada Life’s workforce has been working from home during the coronavirus pandemic. Following the Canada Day long weekend, the company will gradually increase the number of people returning to the office, beginning with those with vital roles that can best be done onsite. By the end of October,...

Agents can obtain a policy in just minutes Jacksonville, FL (June 15, 2020) – US Assure, the exclusive program administrator for the Builders Risk Plan insured by Zurich, has launched a new online application called XPressBIND – an easy and rapid way for agents to issue residential builders risk policies. The simple-to-use application allows agents to quote and issue a policy without any underwriting holds in a matter of minutes, making it the fastest way to obtain builders risk insurance for residential, one-to-four family new-home construction valued up to $500,000. “XPressBIND combines ease of use, speed and nationwide availability to revolutionize the way builders risk is issued for residential construction,” says Steve Bristow, US Assure’s senior vice president and head of operations. “Agents can have a completed policy ready to go in just two minutes or less after answering a few basic questions about the project.” US Assure is the nation’s top stand-alone provider of builders risk insurance and writes the Zurich-insured program in every state. The Jacksonville-based company specializes in course-of-construction coverage for all types of projects, backed by more than 40 years of underwriting expertise in builders risk and distributed through an extensive network of independent and captive...

Quebec City, QC (June 15, 2020) – iA Financial Group is pleased to announce the launch of iA PAR, its all new participating life insurance product designed for clients looking to maximize their estate value, gain access to a source of liquidity and diversify their investments. “iA PAR once again demonstrates our commitment to constant innovation and to offering an unparalleled client experience and perfectly rounds out our product lineup,” highlights Renée Laflamme, Executive Vice-President, Individual Insurance, Savings and Retirement at iA Financial Group. “We have always strived to offer solutions that meet the evolving needs of our clients. That’s why we are proud to now offer our new participating life insurance product and allow them to benefit from its advantages.” A flexible, highly competitive product iA PAR meets the highest expectations of clients who wish to: Maximize their estate value thanks to annual dividends Generate a long-term source of liquidity to do things like increase their retirement income or reduce their premium payments Provide a solid financial foundation for their children/grandchildren’s future Benefit from a source of tax-advantaged asset diversification with privileged access to institutional asset classes iA PAR also offers some of the most sought-after features on the...

Carriers must find new and innovative ways to connect with their policyholders in order to drive loyalty and retention, according to a new Aite Group report Boston, MA (June 10, 2020) – With increasing costs, customer retention is becoming a key battleground for traditional carriers, and home insurance policies can provide an opening for carriers to build relationships with their customers like never before. Consumers are discovering the benefits of connected devices, which are creating new data streams for insurance carriers to use for customer engagement. The latest Aite Group report, U.S. Home Insurance: Get Connected to Build Customer Loyalty, explores how matching the use of connected devices with personalized advice programs can increase communication points with customers, enabling better marketing and claims efforts while building trust. “Carriers looking for additional contact points can leverage the connected-device ecosystem to provide more value for customers through personalized advice and information,” states Greg Donaldson, senior analyst with Aite Group. The report provides insights on homeowners and renters insurance policyholders’ ownership and use of connected devices and their willingness to share this information with their insurance carrier. It is based on a Q1 2019 Aite Group online survey of 766 U.S. policyholders who...

Staff | June 15, 2020 Optima Global Health is partnering with MindBeacon to offer its online cognitive behavioural therapy service to plan sponsors. “Mental health is more important than ever for our customers in today’s uncertain world,” said François Laflamme, president of Optima Global Health, a Quebec-based employee assistance program provider, in a press release. Read: MindBeacon launches digital mental-health programs to help Canadians with coronavirus-related stress “Our partnership with MindBeacon represents a great step forward in providing them with the highest quality of evidence-based digital therapy. By having the added convenience of accessing therapy wherever they choose, Optima Global Health customers can place a greater emphasis on their well-being when they may need it most.” Read the full article at BenefitsCanada.com

There are opportunities to adapt the life insurance sales process to take better advantage of digital technology, according to a J.D. Power analyst. The only question is whether the will is there to make it happen. “A lot of the digital that’s been created for life insurance specifically is really simply taking an analog process and putting it on a screen,” said Robert Lajdziak, insurance business consultant for the Insurance Practice at J.D. Power. “It’s not creating a new process that takes advantage of the capabilities that a digital experience can have.” According to the J.D. Power 2020 U.S. Insurance Digital Experience Study, insurers have made across-the-board improvements in clarity of information, but many still struggle with the balance of too much information and a minimalist approach. Significant investments in direct-to-consumer website and mobile design have helped property and casualty insurance companies emerge as an industry leader with improved digital service and shopping experiences. “One of the key takeaways for digital being successful is that it does have to address a pain point,” Lajdziak said. “You can’t just take an analog process and put it on a screen and expect it to be a success. It really does have to...

By Greg Boutin, CEO, Relay Platform — It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is the most adaptable to change, that lives within the means available and works cooperatively against common threats.Charles Darwin In recent weeks, due to social isolation measures, we have seen proof that even our largest, most conservative clients can quickly pivot and adopt new technological advancements to improve the sustainability of their business, and enable a suddenly remote workforce. So why do so many organizations in the insurance/reinsurance business still rely on outdated core systems? Why do underwriters, ceding teams, MGA/MGUs, and reinsurers still rely on woefully inadequate shared folders, emails, Excel or PowerPoint workarounds instead of industry-tailored solutions? Why has so much money been wasted on failed (re)insurance risk transfer platforms? Turns out the problems are evident, but they persist because we have not been listening to end users. It all goes back to the user experience revolution Ideas like Usability and Interface have yet to sweep through the (re)insurance world, and the hundreds of industry folks we’ve spoken with agree. What we need now is what Bill Gates, Steve Jobs,...

Sun Life Canada advisors host more than 55,000 virtual individual client meetings during COVID-19 Toronto, ON (June 15, 2020) – Sun Life Canada has accelerated its digital transformation to make it easier for clients to get the help and advice they need. At a time when health and financial security are top of mind for all Canadians, Sun Life is delivering innovative solutions for clients and advisors when they need us most. “Like all Canadians from coast to coast, at Sun Life, we’re navigating the COVID-19 global health crisis,” said Jacques Goulet, President, Sun Life Canada. “Our 155 years of experience has shown that we play a critical role in challenging times. With our clients and advisors top of mind, and a focus on sustainability, we have made a number of digital enhancements to make it easy for Clients to get the help they need. We are committed to being part of the solution for all Canadians.” Sun Life Canada advisors have accelerated their digital adoption and have quickly pivoted to support new and existing Clients during this time. Notable examples include: Using eSignature capabilities for 54 per cent of transactions in the month of May – an increase of...

By Ralph Dittrich With today’s unprecedented market dynamics, it’s imperative that we insurance professionals learn to adapt. Similar to how a chameleon adapts to its environment in order to thrive, we find ourselves adjusting the way we communicate and work, as well as adapting our products and services to meet changing needs. COVID-19 has helped move a traditionally slow-to-evolve industry in a more chameleon-like way. Insurance carriers have made multiple changes to their underwriting guidelines and product portfolios. Products may have slightly different features or requirements, but they still blend seamlessly into individuals’ financial and retirement plans – just like the chameleon to its surroundings. Something Old, Something New We have seen more changes In the few months since the start of the pandemic than we typically see in most years! Social distancing, stay-at-home orders, and restrictions on exam services in many locations heightened the need for simple, no-exam options for life insurance. Accelerated underwriting programs have been around for several years now; however, carriers have been expanding their issue age ranges and face amount limits to allow many more applicants to qualify. Although accelerated underwriting programs may offer an opportunity to waive exams for most clients, not all clients...