Value-added services will be key in providing fair value

In the event of serious illness most customers become vulnerable, and even the simplest tasks can be overwhelming. Providers should ask themselves whether their value-added service provision offers support to help those in vulnerable circumstances, and if so, how do they ensure they get the right type of support at their time of need?

Fair value

Given the diversity of customers and the longevity of protection products, there are some key factors that drive fair value for customers:

• Relevance – is the service, or suite of services, relevant to the customer, are all life stages and abilities catered for? Many value-added services offer support for specific sectors, such as fitness apps catering for those with an interest in keeping fit, or elderly care services. The support offered needs to be appropriate and clear to customers, so they can easily understand how and when the service would be helpful for them.

• Personalisation – does the service offered cater for the personal needs of each customer? Protection customers are very diverse with a wide range of needs in good health and bad. True value is added when the service is tailored to the personal circumstances, needs and preferences of each individual at that specific point in time. 

• Families – is support available to family members as well as policyholders? The whole family is usually affected when someone is ill, whether this be the policyholder or not. When support is available for the policyholder and their family, insurers can make a big difference to their customers at an extremely difficult time.

Simply including details in a leaflet or website is not enough.

• Availability – is the support easily available to those who need it? Even if services are clearly explained at the point of purchase, it is very likely that the customer will not remember many years down the track. Technology has a part to play in keeping services in the customer’s sights, but requesting support at a vulnerable time can be difficult and many people do not do it. Insurers who proactively offer support to those they expect need it, such as claimants, can make the difference between the customer receiving the support they are entitled to or not.

• Comprehensive – is the support wide-ranging enough to meet the vast amount of needs that customers may have? Very often services address a limited range of needs or have significant exclusions, leaving many customers with no support at a very difficult time.