Curium is a dynamic startup at the forefront of innovation in managing claims and complaints in Australia’s insurance industry. Our mission is to revolutionize this sector with cutting-edge software solutions. A vital part of our journey is staying abreast of industry trends and statistics that shape our approach. The recent Annual Review from the Australian Financial Complaints Authority (AFCA) for 2022–23, focusing on general insurance complaints, provides valuable insights to propel our mission forward.
A Surge in Complaints: The Numbers Speak
The past year has seen a 50% increase in general insurance (GI) complaints, at 27,924. This rise is not just a spike but part of an upward trend, as the previous year already recorded a 10% increase. The top five complaints categories highlight key areas where policyholders are experiencing challenges:
- Home building insurance
- Motor vehicle comprehensive coverage
- Consumer credit insurance
- Travel insurance
- Home contents insurance
These categories, coupled with common issues like delays in claim handling and disputes over claim amounts, paint a picture of the current landscape in insurance customer satisfaction.
Closing the Gap: Efficiency and Quality
While the number of complaints is rising, the time taken to resolve these issues has also increased slightly, with an average of 85 days to close a complaint. The stages at which these complaints are closed vary, but a significant portion is resolved at the initial registration and referral stage.
Deep Dive: Key Observations and Solutions
Our analysis of AFCA’s data, aligned with our own research, leads us to several important observations:
- Improvement in Early Stage Complaint Management: There’s notable progress in immediate response to complaints, yet there’s still room for improvement in the initial stages of complaint handling.
- Preparation for Catastrophic Events: Catastrophic events are becoming more frequent, and thus, preparation for these should not compromise the quality of handling day-to-day complaints.
- Enhancing Customer Communication: The way businesses communicate with customers is crucial. Adopting an approach that favours advocacy over adversity can greatly enhance customer experience.
Curium’s Standpoint: Driving Positive Change
At Curium, we understand that managing claims and complaints efficiently is not just about addressing the issues but transforming the customer experience. Here’s how our software can make a difference:
- Streamlining Processes: By optimizing complaint and claim handling processes, we help reduce the time taken to resolve issues.
- Enhancing Communication: Our tools ensure clear and consistent communication with policyholders, fostering trust and transparency.
- Adapting to Challenges: We equip businesses to handle both regular claims and large-scale events effectively, ensuring consistency in service quality.
In conclusion, the insights from AFCA’s Annual Review underscore the evolving challenges in the insurance industry. Curium stands ready to empower businesses with solutions that address these challenges and pave the way for a more efficient, customer-centric future in insurance claim and complaint management.
Join us in this journey towards excellence in insurance service.