Posted by (American Life InsuranceGuide News) For most Americans, the process of buying a house, buying a car and other major purchases in their lives will not be so easy.Product competition in all industries is fierce, and it is the same in life insurance.However, according to new research by LIMRA (Life Insurance Marketing Research Association of America), consumers may have a better experience buying life insurance than other products. 75% of policyholders said that the experience of buying life insurance is more similar to, or even better than, the experience of buying other major life items.
Knowledge-learning shopping experience is positively evaluated
LIMRA recently conducted a survey of 1,500 life insurance consumers to study their buying behavior, buying experience, and recent online activities and behaviors of these customers.Nearly half of consumers said that the experience of the whole process was not bad.
Many life insurance consumers have given positive comments on the experience of the purchase process.Nearly one-fifth of the people said that they have learned knowledge that is very helpful to them in the process.
More than 1/3 of customers make purchases by clicking on Internet advertisements
One in ten said that they like to compare products and prices when buying life insurance.Those potential users who have not yet purchased, but intend to buy, say that they prefer a comparable approach.Overall, three-quarters of life insurance consumers said they prefer to buy through the Internet, and more than one-third of life insurance consumers said they made their purchases through online Internet advertising. 1% of life insurance purchasers also stated that they have used at least one social media platform to help them when purchasing life insurance.
1/2 of users directly make Internet purchases, and online user evaluation becomes a decision-making tool
The process of buying life insurance through the Internet is now as popular as going to the opposite side of the line for shopping.The Internet is the main source of information. In the survey, nearly half of life insurance purchasers use this method to make purchases.Half of the life insurance consumers said that they had visited the website of the life insurance company they purchased. The other half of the consumers had read the evaluation of a certain life insurance company on the Internet and referred to the online reviews of financial experts.
User comments have become a very popular insurance decision-making tool.Consumers can evaluate the possibility of a negative experience based on these reviews.
Compulsory indoctrination, poor customer experience, and information overload makes consumers hesitate
Some life insurance consumers say that they do not enjoy the process time of buying life insurance. 15% of life insurance purchasers do not like the way they are treated during the purchase process. They either feel that they have been instilled by a compulsory sales strategy, or they have encountered a poorly experienced customer experience and remain troubled.Another 13% of respondents said that they were at a loss for the whole process.They say there is too much information-most of these consumers belong to the "buying" group.
In order to make more consumers become policy holders, life insurance companies need to identify areas that make consumers feel frustrated and rebuild the insurance experience to better meet consumer needs.A comprehensive understanding of what life insurance consumers are looking for online and offline will help practitioners formulate better strategies and turn them into actual sales.
Recommended reading: LIMRA Market Report: 2018What life insurance do Americans buy??
