Chatbot for Insurance

Today customers value convenience over price. Competing only on the basis of price is difficult, especially in the insurance industry. So how can you differentiate yourself and position your insurance agency/brokerage as best the option for customers? Continue reading this article and you will get an answer to this question.

What is Chatbot?

  • Chatbots simulate conversation.
  • They often live inside messaging apps or are at least designed to look that way
  • It should feel like you’re chatting back and forth as you would with a human

Why chatbot?

Messaging is on the rise :

Your customers are spending most of their time on messenger. Top 4 messenger platforms are bigger than the top 4 social media platforms. Chatbot/ messenger provides an easier way for you and your customers to connect and save time for both of you.

Easy to Scale:

Now currently most probably you are serving new and existing customers yourself or with the help of staff in your agency. Imagine how will you handle an additional 100 or 1000  or 10K+ customers and how could you service them 24/7? Basically, if you have a Chatbot then you can handle this kind of load and scale up as needed.

Competitive advantage:

New Insurtech companies like Lemonade and Insurify are using Chatbots to reach customers directly. By getting a chatbot for an insurance agency you are better equipped to handle the competition. Also, you are getting a competitive advantage against those who are not leveraging Chatbot for their business.

Convert visitors on the website:

You have spent a lot of money on developing your beautiful website. You are also spending a lot of time and energy in pushing people to your site, but how many of them are converting to customers? Are they filling out those long request quote form or contact us form? By having a messenger on your site you are making it easier for your customers to connect with you.

Save Money

Every time a customer service representative picks up the phone, you are spending somewhere between $5-$15 or more to service that call. Hence it is not only time consuming for the customers to connect with CSR (customer service representative) over the phone, it is also expensive for companies.

 

How Chatbot will improve the customer experience?

24/7 Service

Most of the insurance agencies are not available 24/7 but they can still serve their customers via Chatbot. A Chatbot can be trained to respond to most of the questions customers frequently ask and save time for them as well as agency staff. If Chatbot is not able to respond then agency staff can look at that query and respond whenever they are available. The best part of messaging is that people are ok to wait for a response as opposed to telephone or online form. How often have you got a response from your friend or family right away when you send a message ? But you know that your friend or family will respond whenever they get time. I plan most of my events using messenger and though people respond at a different time we are able to organize the event on time seamlessly.

It’s all about convenience

Customers are busy and they prefer instant gratification. Instead of waiting on call they are doing most of their transactions over apps or chat.

Imagine last time you called a service provider and had to wait on hold or maybe they were closed and you had to call again the next day. Is it not easier if you can just send a message and get a response for your query.

Customer are messaging their friends and family why not insurance agents

Today if we are running late we send a quick message, we are not calling most of the time. People are planning to get together and even getting news using a messenger. But are your customers able to message your agency the way they can their family or friends?

With chatbot, you are making it easy for customers to interact with your agency.

Save time for your staff

There are a lot of similar generic queries which your staff is responding on a daily basis. You can save a lot of their time and energy by automating responses via chatbot so that they can focus on customer issues that need their attention.

Some Examples where Chatbot can help with Customer service

General Queries

There are many general queries like what are your hours of operation, direction, do you sell a specific product (say life insurance)? These and many such queries which can be instantaneously responded by Chatbot via messenger.

Book Appointments

Customers may want to visit your office and can book an appointment via messenger/ Chatbot. Customer service Chatbot can integrate with your calendar and your customer can choose open slots to book an appointment.

Product Inquiry

A prospective buyer may have queries about your product or services. There are so many small businesses and companies that lose business because they are not able to answer/respond to the phone right away. Websites are also not always able to provide the information that the customer is looking for. A chatbot can handle most of the regular product inquiries and also connect with a real person if needed.

Transactions

Chatbots are being used for e-commerce. You can order your pizza or book a cab via Chatbot. From an insurance perspective, one can get a quote, get details about coverage, etc using a Chatbot. Companies like Lemonade have adopted Chatbot not only for selling insurance but they also process claims (sometimes within 3 sec) via Chatbot.

Making a payment

A chatbot can accept payments from your customers. In China, people pay for mostly everything, from their cabs to hotdogs using messenger and this will soon be prevalent across the globe. Customer service Chatbot can help you in collecting initial premium.

Conclusion

Messengers and chatbots are great to enhance customer service. Providing better customer service will help you in competing in today’s environment where customer expects 24/7 service and instant gratification.

Thanks for reading this article and hopefully it helped you in learning something new.

About Avdhesh Saxena

Avdhesh is Founder/CEO of Friendly Agent LLC (https://www.friendlyagentbot.com/) . If you google “Best Chatbot for Insurance” then you will find “Friendly Agent” appear on top of organic results. He wants to help Insurance agencies/brokerages succeed by leveraging the latest marketing techniques. Friendly Agent was started as a company which provided solution for customer engagement via messaging and chatbots. It has now evolved in to a complete solution provider where we help insurance agencies/brokerages in addressing their business challenges related to marketing, customer service and process improvement.

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