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What are the Advantages of Insurance CRM?

How important is customer relationship management can be understood by a single stat – As per American Express, 33 percent of Americans say that they will consider switching clients after merely a single instance of poor service.

We all have heard of the term CRM or Customer Relationship Management in our day-to-day life. When it comes to the insurance sector, its importance increases manifolds as the sector ultimately thrives on its customers more than most other businesses. 

In CRM, the letter ‘R’ is the bridge between the other two letters, and it behaves the same manner in real life as well. It bridges the gap between the needs of the customers and your offerings. In this article, we will discuss the advantages of insurance CRM and what it can do for your organization. 

Advantages of CRM in the insurance sector

  • Better customer understanding

Most businesses today have a plethora of consumer data containing their names, age, contact number, and some other details. CRM has it too, but it has more as well. With its help, you can now store information about their professional life, the languages they are acquainted with, their birthdays, and other information.

It will not only help you to get an insight into the customer’s life, but it will also lead you to present yourself in front of him better. You can now personalize your messages and save previous chats with the customer to make sure that you have it all in your grasp.

  • Higher customer retention

As per a survey by BIGContacts in 2014, 75 percent of customers would spend more money with a company if the customer experience is positive. The number game may have changed a bit, but the fact doesn’t. CRM is a great way to retain your existing customers.

How does it achieve higher retention? By sending in personalized messaged and doing so at regular intervals. These communications may be for reminding them that you exist, or to send them offers, or asking to submit their post-purchase reviews. 

Whatever be it, regular communication ensures that that the customer never feels deserted and will always buy the product from you if you have it in your menu! 

  • Improved knowledge of customer wants

As mentioned earlier, CRM stores all the old customer chats and their preferences. You can look into these to understand what a customer wants and how to present it to him/her. Besides, the insurance sales team will also get an idea regarding the timing of their pitch.

It will help them in being proactive instead of being preventive by offering customers better offerings at the right time. You can access any issues that the customer had with any of your policies within a few clicks, and that makes CRM an indispensable part. 

  • Improved segmentation

When you have data in hand and try to fiddle with it using regular software, you can filter the list of potential clients as per some preconceived criteria. 

With insurance CRM strategies, you can customize your criteria and filter the crowd to understand the target audience and to allocate the requisite personnel to them. Mostly used in the sales and marketing division, this ability of CRM allows them to run specific campaigns to drive their customer.

And the best part while addressing them is, you can personalize the message much more than merely quoting their name!

  • More useful and efficient communication

Automation is a boon, and CRM software is at the forefront when it comes to using customizable, ready-to-use templates. 

With the help of CRM, you can save the time of both the parties by using pre-saved formats, be it for your email, letters, documents, quotes, newsletters, and anything else that matters.

  • Higher data privacy

Data Privacy has been the Achilles’ heel for every organization in the digital age. Thankfully, CRM understands that, and it makes sure to add in a layer of privacy wherever necessary. With its help, you can now obtain and save your contacts’ permission to utilize their data or to send them automated emails. You can even manage policies on their behalf.

Think of how much time it would have consumed if you did it the traditional or the old-fashioned way. CRM can do so within a few minutes, and you can now ask your contacts to decide what they need and what they don’t without ringing their doorbells often!

Final words

In today’s time, it is crucial to understand that a customer is far more than just a sales opportunity. You may have a fantastic lineup when it comes to your products, but it is also necessary to treat your clients the right way and respect their privacy.

With the help of the CRM (and newer techniques like Agency Management System), you can keep them happier, which is your topmost priority. Instead of risking an odd strategy, it is time that you invest in a good one. The world is getting smarter, when are you going to be? 


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