Connecture, a health involvement software company, conducted a study from 2012 to 2017 of more than 8000 American adults who get health insurance on their own, through their employer, or through Medicare. The study encompassed the period when the Affordable Care Act went into effect.
Comparing the number of people who began the online search for insurance throughout the study, the company discovered a notable increase from 14 percent in 2012 to 42 percent in 2017. In other words, online shopping for health insurance increased by more than three times in a five-year period.
On a related note, the study showed a fourfold increase in Americans leveraging online tools when shopping for employer-sponsored health coverage. From 9.5 percent in 2012 to 38 percent in 2017, noticeably more Americans are taking advantage of the convenience of online insurance purchasing.
The study also showed the number of American consumers who prefer self-service options when purchasing health insurance. About 56 percent of consumers in 2017 were comfortable enough shopping for insurance with little to no assistance — a stark difference from 37 percent in 2012.
This is noteworthy for insurance agents who aim to form personal relationships with customers.
Similar to the way consumers research insurance policies before they purchase, you also have to do your homework. Conduct research — or track trends — about where your potential customers are spending their time online and how much time they spend online. Then, develop a strategy based on that.
To have a better grasp of your consumers and what they are looking for, pay attention to the following:
- Websites and online offers of competitors, to know what you’re up against.
- Purchase behavior and satisfaction of consumers, to know how you can improve.
- Time spent researching by people purchasing insurance, to determine the best approach.
Based on the study conducted by Connecture, consumers are still rushing their insurance purchasing decisions. In fact, 59 percent of participants with employer-sponsored insurance spend one hour at most to research and choose their health plan. This may be because of lack of time, attention, or both.
Either way, given a short timeframe to convince customers, insurance agents must provide reliable online information that is easy to find and digest. Moreover, agents must make sure that this information is available on the online platforms that their target consumers most often use.
As such, do your research well and determine what appeals to your target market.
To insurance agents, a solid one-on-one connection with customers is important. This is why traditional agents are diligent in making phone calls and visiting customers whenever possible. Today’s consumers may not always have time for this, though, so insurance agents must adjust to their pace and platforms.
After researching your target market and their interests, come up with a strategy to connect with people who plan to purchase insurance. Strategies ultimately depend on each agent and their target market. But online search tools are undoubtedly the best way to connect with consumers who spend increasingly more time purchasing what they need online.
You don’t need to choose just option among these strategies. In fact, the most effective way you can connect with consumers online is to combine the three. This way, you cover all your bases and are present on all platforms that your target market uses — or on the ones they prefer.
Many Americans are searching online for the best insurance policies. These consumers may not completely understand what they pay for. In this case, they are willing to discuss and iron out details with their insurance agent. If you want to be their go-to insurance agent, make sure you have a strong and reliable online presence that your target market will encounter while researching.
These are the different ways you can make an online impact:
Be consistent across your online platforms.
The first step toward maintaining a strong online presence is actually being present where your consumers are. For example, if your research shows that the target market is heavy on social media, then interact with them on Facebook, Twitter, Instagram, or Pinterest.
More than a constant presence, however, you have to be consistent. Your branding has to match the tone of your social media posts, the layout of your website, and even the graphics that you put up on your platforms. This consistency makes you more trustworthy to consumers.
Produce content that contributes to informed decision-making.
Consistent engagement is not enough. If you want consumers to consider your insurance offers, you have to provide relevant content. For example, you can publish a written guide to the best insurance policies for specific concerns. You can also put up videos that compare different types of insurance so that potential customers can have a better grasp of what they will purchase.
Your content must contribute to informed decision-making. Consumers will look for distribution channels, prices, and policy offerings — be open with your target market about these things that determine their satisfaction and influence their purchasing decision.
Tailor your strategy based on the needs of your target customers.
The existence of online tools makes it easier for you to determine the interests of your target market. Also, the internet lets you gather the demographics of your consumers in a split second — just be sure the data is from reliable sources. This simplifies your strategy making process.
Take advantage of the internet and online tools when creating an online strategy that catches the attention of online consumers. The right tools let you narrow down your target market as well as create campaigns and produce content based on their interests.
The transition to the digital world might have been slower for the insurance industry than it was for other industries. This does not mean, however, that it will be difficult to catch up. Keep these tips in mind when establishing and maintaining your online presence — more customers will find you.
Key Takeaways In This Article
- Consumers are increasingly receptive of online shopping. This is not limited to retail. More people are purchasing their health, life, and long-term care insurance online.
- Customers go online when they research on the most suitable insurance policies for them. Many of them get in touch with an agent before purchasing, but some actually purchase their insurance online without speaking to an agent.
- Current consumer behavior trends show the relevance of online research and purchasing. So, develop a digital strategy that connects with your potential clients through various platforms. Create high-quality content for your website and social media pages.
- Although information is readily available online, customers still need you for clarification and reassurance before purchasing insurance. They still rely on in-person communication for informed decision making. So, always be visible and present. Keep your ears open for their concerns.
