"This will help insurers provide greater support that enables advisers to get the most out of every customer conversation, whether it’s simplifying terms & conditions, delivering bespoke product training, or providing wider resources to overcome customer objections."
- Jamie Page, Head of Protection Distribution at The Exeter
Of those surveyed (250 advisers), 43% believe quality of product is a more important selling point to consumers than affordability (31%). The ability to purchase multiple products from a single insurer was the third most cited selling point (30%), followed by an insurer’s claims history (29%).
More than a quarter (28%) reported that customer service is a more important selling point than an insurer’s brand name or reputation (22%). Overall, the data indicates that consumers are less attracted to particular brands than to the promise of personalised service.
In terms of working with insurers, advisers cited being able to cover customers with multiple medical conditions (30%), competitive pricing (29%), and quality of product (26%) as their most important considerations.
While unified on a few key obstacles, advisers’ overall perception of these challenges varies by age and generation. Advisers aged 18-24 years old (33%) and 25-34 years old (38%) anticipate being more challenged in clarifying policy exclusions and conditions than advisers aged 35-44 years old (20%).
The Exeter also found that advisers aged 55 or older predict that explaining the benefits of individual policies (50%) or discussing pre-existing medical conditions (50%) will become roadblocks in a customer conversation.
However, these advisers were less concerned about clarifying policy exclusions and conditions, with only 13% citing it as a major challenge.
"Affordability has long been a challenge that advisers have had to overcome in advice conversations, and whilst price is still a key factor for customers, it’s encouraging to see product quality being given greater consideration," commented Jamie Page, Head of Protection Distribution at The Exeter.
He said: "When a customer’s sole focus is cost, they may purchase less comprehensive cover, or in the worst-case scenario, no cover at all. With customers having an increased focus on product quality, advisers are best placed to discuss the range of options available to ensure cover meets their individual needs and budget.
"These findings also highlight the importance of insurers and advisers working together to understand the wider challenges faced during the advice process.
"This will help insurers provide greater support that enables advisers to get the most out of every customer conversation, whether it’s simplifying terms & conditions, delivering bespoke product training, or providing wider resources to overcome customer objections," Jamie concluded.
