New data published by the CII reveals that consumers continue to believe that insurers could do more to build trust, particularly by focusing on loyalty. Overall consumer satisfaction with insurers fell to 84% in the last quarter of 2024, down from 86% a year earlier. Within that number, just 14% reported being extremely satisfied, the lowest reported level since the Index began in 2019.
The key actions consumers said firms could take to build trust included:
- Offering discounts for customers who stay with the same company and recognising customer loyalty at renewal after a claim.
- Ensuring premiums do not increase simply because a customer is no longer new, and providing additional benefits at renewal, such as enhanced coverage.
- Handling complaints in a professional and fair manner.
On a more positive note, the Index shows that the gap between consumer expectations and perceived insurance firm performance around handling claims has improved for a fourth consecutive survey.
SMEs reported more positive performance ratings compared to the previous wave, and overall satisfaction rose to 83%. However, in contrast to the consumer research, SMEs say that improvements are required across a broader range of themes to increase their trust, including:
- Offering discounts for SMEs who stay with the same company
- Assessing SMEs’ risk individually, rather than using generic assumptions
- Answering SMEs’ questions quickly and clearly
- Taking loyalty into account when calculating renewal quotes following a claim
- Ensuring policy documents are easy to read with little or no small print