I recently participated in an event organized by Executive Training of Diario Financiero and Digital Bank Latam, about the digital transformation in the insurance industry. On this occasion we talked about how customers are communicating with companies, and in particular how they relate to their insurance supplier.

Many people know that insurance companies exist and have heard about the importance of taking out one for their car or home; but many do not know how insurance works. When they start looking in the market, users come across concepts that are unknown to them, such as “premium” or “deductible”, which can be incomprehensible and distant.

On the other hand, there are a variety of companies that offer insurance through alternative ways, such as insurance companies, brokerage companies, banks or other intermediaries. When a person first seeks to purchase insurance, he or she does not know for sure where to go or what coverage he or she needs for each situation.

Added to this lack of knowledge are some “inappropriate” calls that some people receive from sales executives offering them insurance. On many occasions, these contacts interrupt activities that the prospects are carrying out, disturbing their work.

Additionally, the executive almost always “recites” a series of benefits of the product for a few minutes, which the potential client will most likely forget by the time the call ends. It is too much information to process in such a short time and with the pressure of confirming at that moment whether the client wants to contract the service. If the client does contract, it is common for the client to receive a PDF document with all the details and benefits of the insurance. Most people do not read the content, nor do they retain that information.

Given all of the above, it is essential to carry out educational work regarding insurance. Financial education in Latin America is at very low levels, which is why it is critical to clearly inform people about the product they are contracting and continue to accompany them at each stage of their relationship with the company.

If a user is not familiar with the operation and benefits offered by their current insurance, they are very likely to suspend the service or replace it with another option that explains this information better. A very useful tool for transmitting information and facilitating understanding by the recipient is the video.

The digital world has evolved rapidly in recent years, and particularly in the last 16 months of the pandemic. During the first decades of this century, telecommunications companies adapted their networks to offer greater connectivity and facilitate customer access to new formats, particularly video.

And indeed, video is the format that users use the most today. We see almost everything through videos: traditional television, streaming platforms, YouTube, Instagram, Tik Tok, and more. If we want to find out about a topic quickly or we don’t know how to do something, we surely turn to a video to explain it to us better and faster than reading a document or manual.

If video is already the most widely used format today to transmit information (more than 80% of the data used on the Internet is in video), imagine the power it has when the content is customized. The message generates greater impact, connecting with each user in a personal way.

At Percus, we design personalized digital experiences so that customers truly connect with their service providers.

Let’s think about the customer journey regarding insurance. You could use personalized videos at the beginning of the journey, for recruitment or explaining a simulation, to welcome a new customer, explaining what their new insurance entails, or to build loyalty with existing customers, sending them new offers and communicating the benefits of having insurance. In this way, the user will pay more attention and better retain the information provided about your product.

There are companies in the insurance world that are communicating with their clients through personalized videos, generating increases in sales conversion, NPS and improving user engagement.

There are other applications for this technology as well. In Chile, for almost a year, Contempora Seguros has been sending a monthly video to its brokers (sales agents) to inform them of the results of the previous month and motivate them to access its new reporting tool. This has been very well received by brokers and has allowed Contempora Seguros to position itself as a leader in digital communication.

Various insurance companies have successfully implemented personalized videos in their contact with their customers. I invite you to learn more about this tool and share with you the full video of the event, so that you can learn about the opinions and experiences of the other speakers on the digital transformation in the insurance industry.