The report’s authors conclude that just a handful of life insurance firms have achieved what it terms \u2018best-in-class\u2019 status, and that the sentiment of consumers is that life insurance is moving from a ‘must-have’ to a ‘maybe’.<\/p>\n
The company found that just 5% of insurers it surveyed offer a superior customer experience.<\/p>\n
Researchers found that:<\/p>\n
- \n
- 78% of best-in-class insurers have automated underwriting, compared to 15% of mainstream insurers to optimise onboarding efforts<\/li>\n
- 78% of best-in-class insurers offer policyholders self-service portals compared to only 13% of mainstream carriers<\/li>\n
- 56% of best-in-class insurers provide a seamless and intelligent claims experience through AI assistance for voice and sentiment analysis versus 3% of mainstream insurers<\/li>\n<\/ul>\n
The report states life insurers are at a critical juncture, saying the industry globally faced a 33% fall in penetration in mature markets (such as in Australia and New Zealand) between 2007 and 2023 “…with one-in-two policyholders saying their experience is underwhelming.”<\/p>\n
![\"\"](\"https:\/\/riskinfo.com.au\/news\/files\/2024\/10\/capgemini-graph-1024x590.png\")
<\/a>Courtesy of Capgemini World Life Insurance Report 2025<\/figcaption><\/figure>\n “Much of this dissatisfaction permeates through the entire customer journey, particularly across product offerings, onboarding, servicing and claims\/surrenders,” states the report.<\/p>\n
Capegemini’s data shows 35% of retail policyholders struggle with complex terms and 27% don\u2019t like lengthy application processes.<\/p>\n
![\"\"](\"https:\/\/riskinfo.com.au\/news\/files\/2024\/10\/cap-gemini-report-208x300.png\")
<\/a>Click on the image to access the full report.<\/figcaption><\/figure>\n After buying a policy, a quarter of retail and group customers express frustration due to long wait times, while 23% are frustrated by the inability to access self-service options for policy changes.<\/p>\n
The firm also states the claims process poses challenges, primarily due to a lack of digitisation, leaving one-third (35%) of retail policyholders to say they face a complicated claim application process, with 27% noting a lack of empathy during the claims experience.<\/p>\n
…Carriers must shake off the perception that life insurance is just \u2018death insurance\u2019…<\/p><\/blockquote>\n
Perhaps more concerning for the sector, is that younger policyholders (aged 18-40) are more frustrated by a challenging experience than older ones (aged 41-60) throughout their insurance journey.<\/p>\n
The report states: “Despite a desire to redesign the onboarding, service, and claims experience, only 9% of carriers have established ecosystem-wide processes that capture data from multiple sources to create a unique view of customers, and in turn, deliver personalised experiences through policyholders\u2019 preferred channels.”<\/p>\n
![\"\"](\"https:\/\/riskinfo.com.au\/news\/files\/2024\/10\/samantha-chow.jpg\")
<\/a>Samantha Chow<\/figcaption><\/figure>\n Samantha Chow<\/strong>, Global Leader for Life Insurance, Annuities and Benefits Sector, Capgemini, says: “Life insurance is shifting from a must-have to a maybe proposition.<\/p>\n
“Carriers must shake off the perception that life insurance is just \u2018death insurance\u2019.<\/p>\n
“They can achieve this by focusing on engaging the next generation of policyholders, moving beyond a product-driven approach to put the customer at the centre of their strategies.”<\/p>\n
She says many insurers are struggling with legacy technology or investments that have failed to deliver the target returns.<\/p>\n
“The path forward is a customer-centric transformation that draws inspiration from the best-in-class by embedding AI-augmented, human-touch service into core processes,” she says.<\/p>\n","protected":false},"excerpt":{"rendered":"
Legacy technology is preventing the majority of insurers from meeting their customers’ expectations, claims a report published by a business systems and data management firm. Authors of the US-based Capgemini Research Institute\u2019s World Life Insurance Report 2025 collected data from life insurers from Australia to the UK. The report’s authors conclude that just a handful […]<\/p>\n","protected":false},"author":24,"featured_media":73704,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[],"class_list":["post-73698","post","type-post","status-publish","format-standard","has-post-thumbnail","category-general"],"_links":{"self":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/73698","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/users\/24"}],"replies":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/comments?post=73698"}],"version-history":[{"count":0,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/posts\/73698\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media\/73704"}],"wp:attachment":[{"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/media?parent=73698"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/categories?post=73698"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/riskinfo.com.au\/news\/wp-json\/wp\/v2\/tags?post=73698"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}