By now, we’d have known insurance to be one of those products that take more than its core function, aka price, to sell itself. What happens in the post-purchase experience (PPX) especially in the claims process, accompanying “freebies” like luggages and power banks, and complementary services matter as much to incentivise insurance purchase.
From the global consumer research we’ve recently done, the other two top driving factors aside from price competitiveness are personalisation of plan, interestingly for both luxury and adventurous, budget travelers alike; and ease of online claims for Gen Y consumers. For example, Swiss Re’s event-triggered claims payout platform with the integration of FlightGlobal’s real-time updates has helped to raise customer satisfaction among their clients.
More details about Swiss Re Parametric Flight Delay Insurance Solutions
When it comes to global travelers’ most valued complementary services in travel insurance, you can see that COVID-19 formalities and digital touchpoints including insurers having a mobile app for policy access and tele-medicine services are being rated highly.
Global Travelers’ Most Valued Complementary Services in Travel Insurance
While it’s clear that these complementary offerings do add up to the customer-centric value of the product, what are the more direct benefits for insurers and airlines?
For insurers: Efficiency gains translate into cost savings. Consider a one-stop shop for COVID-19 formalities on the travel requirements of every country and information on what airlines are doing on their ends to give flexibility… Allowing your customers to easily access such information will positively impact the overall efficiency of the insurer. Also, the clarity that you can provide to your customers also helps to do away with as much of the unnecessary work for your agents to check whether the claims are valid in highly-uncertain times like these.
For airlines: Loop in your insurance partner to reward customer loyalty some more! With insurance being an absolute essential now with traveling, that is one more reason for you to partner with insurers to add greater value to your customers’ frequent flier currency – miles, elite status benefits and co-brand credit card benefits – by locking in purchase behaviors for travel insurance.
READ MORE: Ancileo Blog – Travel Expert Insights on Consumer Behavior & Insurance Trends
A case study example is Collinson’s Lounge Pass programme which provides their travel agent, tour operator and airline clients with access to a pre-booked airport lounge which aims to optimize their airport experience.
Core Benefits of Collinson’s Lounge Pass Programme
On a concluding note, the potential of airline-insurer partnerships is limitless and goes beyond travel insurance. The chart below shows global travelers’ interest in purchasing non-travel products from travel players, with the top 3 insurance products being “personal accident insurance”, “mobile device insurance”, and interestingly “life insurance.”
Global Travelers’ Interest in Purchasing Non-Travel Products from Travel Players
A case study example is Qantas. Over the last 5 years, Qantas insurance has expanded a comprehensive range of products from travel insurance into health, life, car and home insurance. It is also integrated with their Frequent Flier program that allows consumers to offset purchases with miles collected.
The insights gathered in this article were based upon two research decks produced by Ancileo:
A market research done on 140 Airlines, for Airlines. You can find detailed information ranging from their global monthly website traffic, overview of their GDS and travel insurance providers to real-life demonstrations of travel insurance integrated in the booking path.
READ MORE: Ancileo Blog – 2021 World Travel Insurance Partnership Benchmark for Airlines
If you are from the airline industry, contact us here to get free, full access to the full research deck.
2. 2022 Travel Insurance Whitepaper: Endemic Market Research Outlook
2022 Travel Insurance Outlook is a 180+ pages report which encompasses insights into how consumer sentiments towards TI have changed in the endemic, key features of TI during this period, and what this means for distributors and insurers in 2022.
Consumer market research was done with 4,800 participants from 12 markets (Canada, United States, United Kingdom, Italy, Germany, France, United Arab Emirates, Singapore, Thailand, Indonesia, Japan and Australia); and in-depth interviews were done with industry experts coming from Airlines, OTAs and travel solution providers.
<Download the Global Travel Insurance Market Research 2022 for FREE>