Claims As Marketing, Part 1

Saturday, March 30, 2002 | 0

Most insurance companies spend a lot of money on attracting new customers, yet few do much to retain the customer. The claims department is in a unique position to provide valuable customer retention services. When executed properly, the claims department becomes another part of the marketing equation. This next series of articles will review quality claims experiences, and how the claims department can be converted from an operational necessity to a pro-active component of revenue generation.

Industry statistics reflect that twenty-five percent of the people who terminate their relationship with an insurance company after a claim do so because of some disagreement on the amount paid, or a concern of a rate increase. More importantly, seventy-five percent leave because of the way they were treated in the claims process. The work comp claims department is geared to deal with the injured worker, yet the premium is paid by the employer. Wouldn