Between delighting customers, supporting your current workforce, and streamlining processes, the advantages of conversational AI in insurance are...
Answer Insurance FAQs with Conversational AI
With conversational AI, insurance providers can easily and accurately answer insurance FAQS to satisfy customers.
There’s no question that insurance policies can be confusing. Between seemingly hundreds of options and complex industry jargon, customers have many questions before committing to a new insurance policy. While your insurance agents may be happy to answer these questions, capacity limitations can impede this as an option.
Additionally, many customers are uncomfortable with seeking answers directly from their agent. Consequently, customers simply go without the answers they need to make decisions they’re happy with–unless conversational AI enters the picture.
Conversational AI is ideally suited to answer insurance customer FAQs–no matter how simple or complex. Questions can be answered quickly and accurately, ensuring customers get the answers they need to progress the customer journey. But, before we dive into this, let’s discuss why answering customer FAQs is so important when operating in the insurance industry.
The Customer Knowledge Gap
The phenomenon of customers misunderstanding their insurance policy, as described above, is often referred to as the insurance knowledge gap. This perceived knowledge gap makes it challenging for customers to understand their insurance decisions and thus be satisfied with their customer experience. Consequently, customers are less likely to maximize the value of their policy or continue to upgrade it, making it harder for providers to find success. Fortunately, conversational AI works wonders to close this gap.
Conversational AI makes getting the help and answers that customers need easier than ever. Customers can simply communicate with a conversational AI agent whenever is convenient for them–day or night–and get the support they need to progress the customer journey. As the conversational AI agent will integrate with your company’s database, it can access all of the data and information customers need for accurate and personalized answers.
So, suppose a customer has a question about upgrading their current policy; the conversational AI agent can immediately pull up their account, assess their current policy, and work with the customer to find the best possible upgrade option.
As 44% of customers prefer using bots to make insurance claims, with a conversational AI agent available, many customers will be more inclined to seek the answers they need. As such, they’ll be more informed when making changes to their insurance policy, improving the customer experience–and ultimately, customer loyalty.
For your insurance agents, this makes their job easier too. Human agents can step in when needed but get support from conversational AI to perform their roles better. With such technology, they can provide faster support and ensure they use the most accurate and up-to-date information when serving customers. Ultimately, it’s a win-win.
Now, let’s dive into some examples in which conversational AI can help you address insurance customer FAQs.
How Do I Select a Policy?
With so many policy options available, customers often struggle to choose the right one. When asked this question, a conversational AI agent will collect customer information using two simultaneous approaches. First, the solution will leverage Natural Language Processing (NLP) to assess the customer’s language during the interaction. Second, the virtual AI assistant will assess the customer’s history, profile, and relevant documents. Using this information, the conversational AI agent will help customers narrow their choices by asking follow-up questions based on coverage needs, risk profiles, and policy desires.
What Does Specific Insurance Jargon Mean?
Your customers aren’t insurance experts–that’s why they’re coming to your business for help. As such, they may have questions regarding terminology that they’re hesitant to ask a human agent. When asked a “vocabulary” question such as this, the conversational AI agent can cross-reference your organization’s database and resources to provide customers with a clear and comprehensive answer. Answering inquiries such as this can go a long way in making your customer feel confident and comfortable when making a purchase.
What Factors Can Affect the Cost of My Insurance Policy?
Countless factors can affect an insurance policy, whether home, life, automobile, or any other type of insurance. A conversational AI agent will walk customers through these factors–whether in or out of their control. Using information based on the customer’s lifestyle, assets, and history, the virtual AI assistant will help customers determine their options and know what to be aware of in terms of changing or maintaining their policy.
What Are My Policy Limits?
When customers qualify for a new policy, they often don’t understand what it fully entails in terms of limits and coverage. Your conversational AI agent will walk customers through their policies to ensure they have a complete understanding of what it includes and excludes. This significantly helps to improve customer satisfaction with their policy, as well as create opportunities to upsell. Suppose a customer realizes that they aren’t entirely satisfied with their current policy; the virtual AI assistant can offer alternative options and transfer them to a sales representative to make the upgrade.
These FAQs are only the tip of the iceberg regarding customer inquiries and conversational AI capabilities. Fortunately, your business can handle any volume, influx, or complexity of customer questions with conversational AI. No matter the need, conversational AI will ensure that your customers leave every interaction satisfied and well-informed.
Even beyond customer FAQs, conversational AI can support your insurance business in these additional tasks:
- Streamline purchasing
- Document submission
- Payment collection
- Automate claims processing
- Qualify customers
- Collect applications
Address Customer Inquiries with the Help of Conversational AI
Conversational AI has the opportunity to significantly improve the customer experience for insurance providers. In an industry with so much confusion, answering customer questions is the simplest and most effective way to transform the customer journey. With conversational AI, insurance providers can ensure that their customers are happy and informed–at no additional capacity to their current workforce.
Conversational AI will provide 24/7, accurate, personalized answers to delight customers, support your insurance agents, and even cut costs. A Juniper study predicts that by 2023, the use of conversational AI in insurance will lead to cost savings of almost $1.3 billion across the motor, vehicle, health, and property insurance.
With the means to educate your customers on their policy options, insurance providers are more likely to upgrade and upsell to their customers–as well as streamline repetitive processes. With the seamless integration of conversational AI, your business can significantly improve the customer experience, automate processes, and achieve greater success.
If you’re interested in learning more about DRUID’s conversational AI solutions in insurance, download our free whitepaper "How Can Insurers Rethink Customer Experience?"