As digital apps become an increasingly popular way for Canadians to manage their finances, insurance policies are no exception, according to a new survey, which found that Canadians are open to buying property and casualty insurance from non-traditional, digital-first providers like Amazon, Google and Uber.
Of the 2,000 Canadians polled by data analytics company J.D. Power between May and June, 35% said that they would consider buying an insurance policy from Amazon, while another 35% said the same of Google.
Twenty four percent said that they would buy insurance from Uber, while 28% reported an interest in buying a policy from an auto manufacturer.
One reason for this interest lies in the digital-first approach taken by these companies. Most traditional insurers lack digital tools that allow customers to serve themselves, according to J.D. Power’s findings, which were released on Tuesday. Customers said they wanted features that allowed them to manage their own policies across product lines, as well as better lines of communication with their insurer via text, email, social media and web.
Most Canadians are already comfortable with using digital apps to attend to their insurance needs. Sixty seven percent of those polled by J.D. Power said that they’d used a mobile device or app for their most recent insurance transaction. Another 70% reported using their mobile devices to pay their insurance bill or manage a claim, while 30% said that they have digitally shopped for insurance policies.
“Today's P&C [property and casualty] insurance customer expects their provider to deliver an efficient, seamless experience across multiple offline and digital channels,” said Tom Super, vice president, property and casualty insurance intelligence at J.D. Power, in a statement.
Of the 12 companies that were evaluated for the survey, Desjardins ranked first for its “digital capabilities.” These included strong customer service, social networks, messaging and user tools as well as insurance specific capabilities like claims and account management.