Financial services and legal services are often inextricably linked at important life events, such as getting married, setting up home, having children, getting divorced, or buying or selling a property. These are all points at which individuals might review their life and other protection covers and times when insurers can provide customers with connected services to better protect their interests.
Increasingly, the protection market is moving towards the provision of more integrated services that deliver better customer experiences and afford more effective protection. This approach also creates new revenue and retention opportunities and increases customer lifetime value.
Below we describe the drivers to include legal services and how they can be incorporated into each stage of a proposition development roadmap.
Customers are attracted by products that offer more value and make the decision to purchase easy. The inclusion of free Wills, Lasting Powers of Attorney (LPAs) or other legal products with an insurance policy can increase its value and help generate more sales. In addition, incorporating these products seamlessly within the purchase or fulfilment process can encourage customers to buy. For example, helping customers write policies into trust increases the perceived value of a product and provides a basis for the provision of other relevant services in the future.
Some organisations increase share of wallet by encouraging customers to buy additional products and services related to their initial purchase. In the protection market, Wills and LPAs provide an obvious upsell opportunity, but other services such as trusts and letters of wishes might also be appropriate. The provision of these services encourages regular reviews, at which point covers can be revised or enhanced to meet the customer’s evolving needs and give the insurer an opportunity for revenue growth.
The provision of legal assistance services can help protection providers create a much more personal relationship with their customers and engender their trust. When delivered by a regulated partner that puts the customer’s interest first, legal services can help extend the value of a protection product and build greater loyalty to the insurance providers’ brand.
Addressing the decline in advised sales
The decline of advised sales means many consumers miss out on tailored recommendations when sourcing protection products direct. However, by combining customer data gathered through the protection policy with that from the associated legal services, insurers can get a much more detailed view of their customers’ circumstances. This information allows the insurer to generate the highly personalised product suggestions and price illustrations necessary to enable customers to make informed decisions about their protection needs.
To discuss the ways in which legal services can enhance a protection proposition, call us on 0208 731 2424 or email firstname.lastname@example.org