Study Finds Insurance Industry Facing 'Major Pivot'

Insurance companies are facing a ‘major pivot’ in their industry, with customers set to be at the forefront.

A recent study found that 77% of UK motor insurance companies “admit to having put profit above customers for too long” according to a report on the Insurance Business UK site.

The study, conducted by Insight Avenue, found that 75% of respondents now see customer satisfaction as critical, despite 81% of them admitting to only contacting customers at renewal time or once a year.

“The motor insurance industry is on the brink of a major pivot, putting the driver at the heart of its future strategy,” said By Bits – the company behind commissioning the study – founder Callum Rimmer.

This comes in the, hopefully, latter stages of a Covid-19 pandemic which saw motorists urged to stay at home and use their car much less as working from home became the norm.

Millions of motorists were offered a partial refund as a result of reduced mileage; this latest report found 97% said drivers had been demanding fairer, usage-based pricing during the pandemic.

Although a temporary move, 11% of respondents said their company had gone further and were set to change their business approach to meet customer demands.

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