The insurance industry is experiencing several innovations, and gamification is one of them. Gamification in insurance is becoming a robust tool for companies and agents to enrich digital experiences and adopt new customer-centric business models, such as pay-as-you-live offerings.
According to Infosys, “Customers perceive insurance to be a complex product that involves a tedious process of purchase…. Most insurers, especially those in the developed markets, have been following a business model that leverages insurance agents to overcome such issues. Traditionally, agents play a pivotal role in educating customers on insurance policies. They also perform needful analysis for customers before pitching the right product” Rather than depending on agents throughout this process, insurers can use gamified campaigns to educate their prospective customers or help select the correct product for what someone is looking to have insured.
Why Gamification Matters To The Insurance Industry?
Gamification in insurance offers the greatest potential value in the realm of consumer engagement. Among early adopters, it has emerged as a good practice and effective means to:
- Transform ordinary tasks into interesting and fun experiences that keep users coming back.
- Strengthen brand awareness, affinity, and penetration.
- Educate customers about product suitability and guide them to purchase.
- Motivate people to act in areas such as health and wellness, safe driving, financial planning, and sustainability.
Certainly, agents stand to benefit from closer relationships with their customers, and gamification can be a good way to set up more regular interactions. For agents seeking to move more interactions to digital channels, gamification can be a vital tool. Applications, policy renewal forms, and information updates are all areas where gamification can help agents provide a better experience for their customers.
Why Is Insurance Necessary? And Some Common Types of Insurances Available?
Insurance buffers you from unexpected costs like medical expenses. And while most people know that insurance is important, not everyone knows the different types of insurance out there and how they can help.
Some common types of insurance include:
- Life insurance
- Health insurance
- Car insurance
- Home insurance
- Umbrella insurance
- Renters insurance
- Travel insurance
- Pet insurance
How To Implement Gamification In The Insurance Industry?
With gamification, insurers can transform mundane tasks and processes and make them exciting and fun to perform, leading to happy participants, including customers and insurance agents.
Gamification in Automobile Insurance:
Companies like AVIVA UK are employing a mobile app called DashCam to track and reward good driving. The app gauges the driver’s driving skills, like braking style, taking turns, etc., over 200 miles to give the customer a rating. If the rating is good, customers are eligible for up to 28% on auto insurance. It’s a great example of using gamification to influence customer behaviour.
Gamification in Health Insurance:
While the adaptation of data from wearable devices to determine health insurance costs is not new, more health insurance companies are joining the wearable tech bandwagon. Insurance companies are looking to reward customers who maintain their health and fitness with discounts and penalize those who turn a blind eye to their health. In the US, for example, companies like Humana and John Hancock have already adopted this approach. They have reported that their participants have taken twice as many steps as the average American in ensuring lifestyle-related illnesses are kept at bay by adopting activities like biking, hiking, and walking.
Gamification in Life Insurance:
An insurance company called YuLife noticed that most life insurers faded into the background after they sold a plan. The effect was leading people to lose sight of why they bought insurance and abandon their plans prematurely. So YuLife teamed up with King Digital Entertainment, the makers of Candy Crush Saga, to turn its life-insurance product into a game—and just like that, they had created a life-insurance metaverse. The company has 400,000 customers, and one in three who have downloaded the app opens it every day. Most users also earn about £10 a month in vouchers.
Benefits of Gamification In Insurance From a Business Point Of View:
Beyond inducing new energy into insurance processes, customer engagement, and loyalty, gamification delivers many tangible business benefits to customers and the carriers:
- Better brand awareness, affinity, and product understanding
- Fine-tuned products that provide the right level of insurance coverage
- Higher product sales
- Better motivation for people to act in areas such as financial planning and sustainability, safe driving, and health and wellness
- More effective marketing
- Ease of introducing new products
- Improved collaboration among the insurance partners
- Improved insurance underwriting and proposals
- Ability to impart more effective customer training
- Higher customer well-being and satisfaction
What Is myCred? How Can You Utilize myCred To Gamify Your Insurance Business?
myCred is a powerful and easy-to-use points management system that allows you to build and manage a broad range of digital rewards, including points, ranks and, badges on your WordPress/WooCommerce powered website. It is easy to set up and works with a vast library of third-party software. myCred has an extensive collection of affordable premium addons that can help you create a lucrative reward system that is perfect for any business type.
Here are some of the actionable game elements that insurance companies can easily introduce to reward customers with attractive perks.
#1 Points – Give the customers (insured) points to encourage them to reach higher goals.
#2 Badges – Once someone accumulates a certain number of points, they can be rewarded with a badge.
#3 Leaderboards – They will help the customers to see where they are among the others and sustain compatibility.
#4 Progress Bar – It helps insurance customers see their account progress and unlock attainable goals.
#5 Social Proof – Social Proofing strategies help insurance customers to make certain decisions like purchasing a new insurance policy, taking an interest in a new insurance category, or what other people are doing with a particular insurance company.
#6 Social Sharing – Sharing once accomplishment is the new normal in the digital era. Insurance customers can flaunt their achievements on their social networks to boost self-confidence.
Wrapping Up!
No doubt, with the rise of risk factors in many aspects of life, the insurance industry is also attaining new heights of success. Gamification in insurance can be effectively deployed for various insurance domains like risk management, customer service, product development, etc. Insurance companies can stand apart and be more relevant by embracing gamification as a technique.
