A recent consumer study, Insurance CuES 2023, conducted by Hansa Research, highlights the
continued importance of personal engagement in the life insurance sector. The findings indicate that
most policyholders value regular communication with their insurance advisors and relationship managers
even after purchasing a policy.
According to the survey, nearly 80% of life insurance customers prefer receiving a call or
meeting from their insurance agent or bank relationship manager at least once every six months.
This ongoing interaction helps customers stay informed about their policies, understand coverage
benefits, and address any concerns they may have over time.
Importance of Staying Connected
The study found that a lack of regular communication can negatively impact customer loyalty. Around
22% of respondents identified "lack of follow-up from the insurance company" as a possible
reason for discontinuing or not renewing their policies. Regular engagement helps strengthen trust
between insurers and customers while reducing the chances of policy lapses. While digital
communication channels continue to grow, many consumers still value personalized guidance and
human interaction when it comes to important financial decisions.
Growing Opportunity Among Younger Consumers
The report also highlights the need for the insurance industry to focus more actively on younger
generations. As awareness about financial planning and protection increases, younger consumers are
showing greater interest in insurance products. Research findings suggest that individuals who are
married and have children are significantly more likely to purchase life insurance — nearly
2.5 times the penetration compared to single individuals or couples without children. This
presents a clear opportunity for insurers to educate younger audiences about the importance of
early financial protection and long-term planning.
Customer Perception of Life Insurance Brands
The study evaluated customer perceptions of major life insurance companies operating in India.
Based on customer ratings, the top three highest-rated life insurance providers were:
These companies received strong feedback from policyholders regarding service quality, product
offerings, and customer support.
Brand Awareness Continues to Favor Established Players
While customer satisfaction rankings varied, LIC continued to maintain the highest level
of brand awareness among consumers. Its long-standing presence in the market and widespread reach
contribute to its strong recognition across the country. Other life insurance brands with high
awareness levels included SBI Life Insurance, HDFC Life Insurance, Bajaj Allianz Life Insurance,
and ICICI Prudential Life Insurance.
Challenges in Life Insurance Adoption
The survey also identified several factors that discourage people from purchasing life insurance
policies. Key barriers include:
Among these factors, the cost of premiums emerged as one of the most common reasons preventing
potential customers from purchasing adequate life insurance coverage.
About the Study
The Insurance CuES 2023 survey was conducted among more than 3,300 life insurance policyholders
across India, providing valuable insights into customer expectations, purchasing behavior, and
perceptions of the life insurance industry.
Conclusion
The findings reinforce a simple but important message: customers continue to value personal
relationships in insurance. Regular advisor interaction, proactive customer engagement, and
simplified insurance solutions can help insurers build stronger customer relationships, improve
retention, and encourage wider adoption of life insurance products across different age groups.
Source: cafemutual.com
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