InsuranceLine: Digital has broad appeal

Australians are increasingly content to bypass economic brokers and advisers to buy some financial merchandise on the internet and this year for the initial time, CANSTAR has researched and rated direct income protection policies.

Our first-ever analysis into Direct Revenue Protection drills down into 80 profiles covering a range of ages, occupations, gender and smoking status. As nicely as studying premiums, we looked at attributes of importance, such as policy terms, rewards, claims payment terms and ease of application.

We caught up with Direct Income Protection award winner InsuranceLine for a Q&A on what clients appear for when purchasing earnings protection on the internet.

 Q: Buying financial products online has come of age in Australia. Have you noticed an escalating trend towards buying on the web more than time?

A: In the Direct Life Insurance coverage marketplace we’re now seeing a shift in on the web obtain behavior. Consumer preference for and consideration of on the web acquiring is rising. Based on past research:

• 32% of customers favor only to use the net to study & purchase life insurance


• 88% of customers would contemplate buying  life insurance coverage on the web in the future

(Google ZMOT research 2013)

Q: Has that trend been stronger in some demographics than others?

A: Digital, as a channel, now has a a lot broader demographic appeal. Our newest buyer investigation suggests that older, far more mature clients are increasingly digitally savvy. In truth, when offered a decision to make initial enquiries by phone or on-line, over a single-third of our customers decide on to enquire through the site initial.

Q: In terms of purchase, what proportion of clients phone your help line and what proportion just buy on the internet? 

A: On-line purchases are escalating steadily, but most InsuranceLine buyers still prefer to speak to somebody on the phone when they’ve decided to make a selection to go the final step.  Individuals enjoy to do their study and get quotes on the internet, but there’s nevertheless a clear preference for that human speak to when making the final selection to acquire.

Q: From consumer feedback, what are some of the policy functions that actually appeal to your customers?

A:

• Consumers can pick a benefit period and waiting period that suits their circumstances and budget.


• Month-to-month rewards can be up to $ 10,000 and up to 85% of pre-tax income.  Comparable merchandise restrict cover to 75% of revenue.  The extra 10% offered at InsuranceLine permits individuals to maintain superannuation contributions even though on claim or to use the additional cover for other ongoing costs.


• Optional Involuntary Unemployment Cover is accessible for up to $ 3,000 a month for up to 3 months in addition to the common cover for illness and injury.  Unemployment Cover is not broadly accessible.


• Optional Permanent Disability Cover of up to $ 500,000 is a reasonably low cost option and permits clients on a tight price range to take, say, a decrease-price 6, 12 or 24-month benefit period for illness and injury cover, and to leading it up with Permanent Disability Cover that would be payable in the occasion of a catastrophic permanent disability.  A mixture of shorter term rewards for quick-term illness or injury with a lump sum payable in the occasion of permanent loss of physical independence.

CANSTAR congratulates InsuranceLine on its win readers can download the Direct Income Protection report here.

InsuranceLine: Digital has broad appeal