Insurers in Singapore that utilise digital channels to facilitate interaction with their customers were rated more highly, according to the finance and insurance industry sector findings from the Customer Satisfaction Index of Singapore (CSISG) 2020 national study released by the Institute of Service Excellence (ISE) at the Singapore Management University.
The study results also reflect trends that emerged during the early days of the pandemic that saw many consumers turn to digital channels.
“Despite the mixed performance in CSISG results during what has been a tumultuous year, a promising development we have observed is in the area of digital adoption among consumers,” said ISE executive director Neeta Lachmandas. “These latest results reinforce observations made throughout 2020, with more people using digital channels for consumption and servicing.”
A majority of insurance policyholders surveyed had indicated the use of digital channels when interacting with their insurers. These customers rated their insurer higher on perceived value and loyalty, when compared to policyholders that had not used such channels.
Furthermore, policyholders surveyed also indicated digital platforms, specifically ‘websites’, as the channel they most preferred to use when searching for product and service information; financial advisors were the most preferred channel when making the actual purchase of a policy.
“The positive association of loyalty and value metrics with the usage of digital channels bode well for the industry as insurers introduce new app-based services to engage with their customers,” said Ms Lachmandas.
Prudential Singapore was one of the better performers, scoring 74.6 points on a scale of 0-100, above the industry average of 73.8 points.
Commenting on the results, Prudential Singapore chief customer officer Goh Theng Kiat said, “Through a digital tool we rolled out last year, our financial consultants remained closely connected to our customers and attended to their protection needs even during the circuit breaker.”
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