Customer Service –Still A Mirage’

1. Customer Service –Still A Mirage’ S K Sethi IBAI

2. Indian customer is a simple customer • Wishes to buy the insurance • Have no specifications on customer service parameters • Ready to buy the cheapest product • Wishes Quick claim settlement

3. Insurance companies • Insurance companies have been fulfilling the need of this simple customer • Same good old product • Same good old language, difficult to understand • Only difference is that many new brands have come. • Selling in 2009 at mid sixties prices • Our achievement –we are most probably selling at lowest price in the world

4. Customer service comprises of; • 5 segments-specific to health insurance • Fixing up of the specs—not much choice. It is more or less a commodity. Not much product differentiation, Limited scope for distinction. • Quote - customer wishes to buy at lowest price, limited choice, ignores specs, gets no advice. In case of group health not getting quote is challenge • Assistance in selection of right product –which fulfills the need, fits into the budget, documents required, medical tests required cont…

5. Customer service comprises of; • Proposal forms /Issue of policy –it will happen over period of time, no accountability/time frame. • Lodging of Claims - TPA’s, Processes & systems, loss making product, tendency to reject the claim in the first instance, tests your ability of persuasiveness ,looking for excuses to delay the payment. Cancellation of group policy –a recent phenomenon

6. Points for consideration by Customers ● Quantify your wish list-what are the parameters on which you want to judge the customer service. Some banks have notice board showing minutes required for every transaction .Why not for us? Let us covey this through Chambers of commerce to the companies. • Nothing comes free in this world • You are smart. Insurance companies are smarter. They are in business. They are not NGO’s • Customer service which you get is in proportion to what you pay. Exceptions can only come from technology applications and innovations ,which are not under your control.

7. What is possible for Insurance companies? • Brands are created on the basis of service provided to the customer. • Advertising can spread awareness of your brand. • Better processes and systems /use of technology can bring down costs and improve customer satisfaction • Product differentiation is ultimately going to build up your brand–let us add features like helicopter evacuation in your health policy , higher sum assured,conveneience,week has168 hours –your cashier closes the counter at 4 PM,35 hours /week. Many banks are working 72 hours/week. cont…..

8. What is possible for Insurance companies? • Brand image is only based on what service is provided by your enthusiastic team members, give respect to the customer –he deserves it , • Different price bands same customer pays Rs 8 to Rs. 160 for a tumbler of soft drink. Ratio of 20:1, why are you compelling him to remain at lower level .Pamper him with service, make him happy, collect more money and improve your profitability. • Insurance brokerage firms can take you to the customers at economical cost –use them. Improve your business. Improve customer satisfaction level of your customers

9. Customers service • Customers service –let us make it a reality. Let us quantify it. Set high targets, monitor & achieve • All of us are intelligent. Let us be a team of • Customers • Insurance Companies • Insurance Brokerage Firms • As a team we can make it happen. It is good for the society ,all of us.

10. Contact • S K Sethi • Vice President & Director IBAI • CEO,Ria Insurance Brokers P Ltd • Founder www.healthinsuranceindia.org • ria@surekhae.com • 9810090853 & (011)41324957