2026-09-07 · Source: Insurance News Australia
Summary in 3 Points • Over 60% of insurance customers abandon interactions if information submission is difficult • 85% of consumers want insurers to disclose AI use in interactions • Customer satisfaction with insurer communications declined compared to the previous year --- A report by Smart Communications reveals that more than 60% of insurance customers are likely to abandon interactions if the process of submitting information is too cumbersome. The 2026 Customer Experience in Insurance Benchmark Report points to the need for insurers to improve digital experiences, focusing on AI transparency, modernising data collection, and reducing interaction friction. The report also notes that 85% of consumers want insurers to disclose when AI is used in customer interactions. Despite investments in digital transformation, satisfaction with insurer communications has declined, stresses the importance of timely, relevant, and personalised information.
For the London insurance market, these findings shows the value of enhancing digital customer interactions to maintain competitiveness. Insurers may need to invest in technology that ensures seamless information flow across various digital channels, reducing customer frustration. Transparency in AI usage could become a critical factor in maintaining customer trust, suggesting a need for clear policy wording around AI in customer interactions. Improving communication strategies could help insurers retain customers and potentially increase cross-selling opportunities, impacting underwriting and policy pricing strategies.