Consumers willing to pay more for insurance if phone experience can match online

A survey conducted among more than 1,000 UK households reveals that 40% of people would be prepared to pay more for their insurance policy if purchasing it over the phone was as quick and easy as buying online. The research, commissioned by intelligent call tracking software company ResponseTap, showed that those respondents would pay between 5% and 25% more for a better phone call experience.

Despite a rise in online self-service and price comparison sites, 55% of respondents said they had purchased an insurance product over the phone in the last twelve months. More than 60% of those who opted for the phone said they did so to feel reassured that the policy they were buying was accurate and suitable for their needs. 18-24 year olds were the most likely to buy over the phone, with 70% claiming to have done so in the past year, compared to 44% of over 55s.

The results, published in a recent ResponseTap whitepaper, demonstrate huge potential for insurance companies to engage with customers and build loyalty – particularly with younger buyers – but they also highlight there is scope for the industry to do more to improve the phone experience. Almost half of those who did not make a purchase over the phone in the past twelve months were put off by the thought of having to repeat their details. 42% of people were also deterred by Interactive Voice Response (IVR) systems – that figure rose to 65% in the 18-24 year old category.

Ross Fobian, CEO of ResponseTap, commented: “There’s a huge opportunity for insurance companies to improve the call centre experience, from quickly routing customers to the most knowledgeable agents rather than passing them around the call centre, to completely removing the need for IVR systems that are impersonal and a real barrier for consumers.

“This survey shows there’s an appetite for the phone, and even a willingness to pay a premium for excellent service. For younger generations, who may be making insurance purchases for the first time, this is also a chance for the industry to build loyalty in a sector often perceived as being at the mercy of the switching culture.”


Providing the missing piece of data to optimise marketing spend and increase phone call conversion rates, ResponseTap’s products gives brands and contact centres incomparable power. Since 2008 the business has been pioneering advanced visitor-level call tracking, heralding many industry firsts, including integration into Google AdWords and Google Analytics. In 2020 ResponseTap launched its ground-breaking contact centre product Ember, to personalise the phone call experience and, in an industry-first, kill off the need for businesses to use IVRs.

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