Canadians Show How Insurers Can Regain Consumer Confidence
Anyone who doubts whether U.S. insurers can do anything to influence how consumers feel about the industry hasn’t been paying attention to the efforts of their colleagues north of the border.
Mary Lou O’Reilly, senior vice president of issues management and communications at the Insurance Bureau of Canada (IBC), the national trade association for Canada’s property and casualty insurers, related her group’s proactive reputational risk management approach during the recent annual conference of the Insurance Marketing and Communications Association in Toronto.
I was on hand to deliver a speech about the industry’s outlook, and have her permission to share some of IBC’s success stories with you.
Setting the stage, O’Reilly described the 1990s as a “golden age” for Canadian insurers, with carriers “vocal and visible,” highlighted by a national campaign to combat insurance fraud, and a high-profile effort in the recovery from a massive ice storm.
The following decade, however, was another story altogether, as the industry’s approval ratings plummeted thanks to what O’Reilly called a “perfect storm” of negative developments. Escalating claim costs (particularly in auto insurance) hammered insurer bottom lines, prompting much tighter underwriting, rising prices, and heavy-duty criticism from lawmakers, media, and consumers. In one province, there was even talk of nationalizing auto insurance.
“The P&C industry had essentially lost its voice,” she recalled. “Ou
via www.propertycasualty360.com
I've really missed Sam Friedman's blog since he left National Underwriter for Deloitte Research, so it was with great pleasure that I read his guest post at PropertyCasualty360. The insurance industry's poor reputation was a recurring concern of his blog, so it's natural that he reported on a presentation about how the industry fought this problem in Canada. Every insurance professional should read this and adopt at least one of its suggestions.
We may never be beloved, but we don't have to be hated.
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