Co-op Insurance wants to make car insurance easier to understand, and they’re doing it with Idomoo Personalised Video.
Auto insurance, like many types of insurance, is notoriously complex for the average customer to grasp. There are premiums and deductibles, claims and exclusions, and a whole host of coverage options.
The Car Insurance Knowledge Gap
The problem isn’t that insurers don’t try to explain the details to customers. The problem is that they’re not listening.
Co-op Insurance found that 70% of U.K. adults don’t bother to read their insurance documents in detail when taking out a policy or renewing with their current insurer. Their research surfaced a few more concerning stats:
- 51% of U.K. drivers don’t know how their premium is calculated
- 40% don’t understand why their premium may fluctuate from year to year
- 36% are unaware how their policy price relates to their vehicle
- 42% don’t realise their insurance is there to cover another driver’s personal injury claims after an accident where they’re at fault
While you might be skimming this blog post — and that’s not such a big deal — insurance documents are important. Skipping part of them or ignoring them completely, as many drivers do, is a problem. They have a clear purpose: to let consumers know what is insured and what isn’t.
Say It With Personalised Video
When a topic is complex, a wall of text can be off-putting. A video like the one below, however, personalised for the individual customer, is welcoming and clear.
Clear communication has a multitude of benefits. It promotes transparency, so critical in financial services. It cuts call volume to call centers because customers are less likely to reach out with common questions when you proactively give them personalised answers. And it promotes engagement between the company and the customer.
When people realise you talk to them like people, they pay attention. This deeper customer engagement has a direct impact on your bottom line. According to Gallup, when a customer is actively engaged, they purchase 22% more insurance products from their primary carrier and stay on as customers 4 years longer. They’re also 3x more likely to sign up for other financial products and are 4x more likely to recommend their carrier to an acquaintance.
This shouldn’t surprise you. Customer engagement and customer loyalty have a direct correlation. However, engaging customers is often challenging in the insurance space since the products can be complicated, and the frequency of interaction between customer and insurer is typically low.
This is where Idomoo can step in and offer creative solutions to insurers.
In Co-op’s case, helping customers understand their policies was the starting point. Their Personalised Video walks each customer through their specific coverage details. It explains what they’re covered for, what their policy costs, what happens if their car gets damaged and more.
The main goals of the campaign were to improve customer understanding of their insurance products and increase transparency. Personalised Video, a medium made for engagement and clarity (even on complex topics), easily exceeded both goals.
Take a look at some of the success stats from the campaign.
- 47% uplift in engagement levels vs. industry benchmark
- 27% of customers clicking the CTA at the end of the video
- 80% of customer happy with their Personalised Video, according to a survey
And that meant Co-op Insurance was happy, too (which meant we were happy). Here’s what Chris Twigg, head of digital at Co-op Insurance, had to say about the project.
We are really pleased with the customer engagement we have seen since we launched the Personalised videos. Insurance can be confusing, so utilizing a tool which brings insurance to life in a new, personalised way has been great for us, with customer feedback overwhelmingly positive.
“The results of the Co-op Insurance campaign are further validation that it is possible for insurers to engage their customers and keep them happy,” added Idomoo CEO Yaron Kalish. “Customers today expect transparency and simplicity, and Idomoo Personalised Video is a proven way to achieve that, as evidenced by this campaign.”
What Do Your Customers Need To Know?
What about you? What do you need to communicate to your customers that they’re having trouble understanding?
Sometimes it’s the details of customer onboarding, which is far too often a generic, dull process when it should be personal and exciting. Sometimes it’s a bill explainer that covers what customers should expect so they won’t be surprised by a pro rata rate or unexpected fees.
Whatever it is, saying it in a video makes it clear, and personalizing the message makes it human and relevant.
If you’re ready to explore what data-driven video or even Interactive Video can do for you, let’s talk.