A mobile phone distributor in Asia required an extended warranty and device protection scheme to offer its customers protection from unforeseen mechanical or electrical breakdowns, accidental phone damage, and theft. The phones and tablets were sold from hundreds of kiosks, in addition to several flagship stores.
The distributor decided that managing its own device protection plan would enable it to offer the right products at the right time to its customers, but there are barriers to overcome in order to provide its own device protection plan to its customers.
Overcoming the key challenges:
- No integration between technology platforms: Marsh developed a cloud-based system with application programing interfacing (APIs) to connect the various platforms between the manufacturer, master dealer, retailers, insurers, and a payment gateway. This enabled the retailers to upload the insurance policy immediately via a mobile phone.
- Long waiting time for activating insurance: Most schemes offered by the competitors could only be claimed on after a cooling off period of several weeks. Marsh was able to reduce this cooling off period, and in some cases, eliminate it altogether.
- Inefficient claims process: As retailers wanted to carry out repairs at the store or kiosk straight away, without contacting an insurer for authorization, preapproved claim limits were agreed.
- Lack of visibility on claims data: Claims are now tracked and audited under the program providing the client with severity and frequency of loss data for parts, device models, and retailer via a real-time dashboard. This plays a vital part in loss mitigation and fraud prevention.
Building demand for device insurance
Marsh was able to integrate the insurance platform with an online retail space created during the pandemic and support several social media-based marketing campaigns. This helped boost consumer awareness of the benefits of device protection insurance.
In addition, Marsh experts held regular training workshops (online and face-to-face) for sales staff on how to pitch the value and benefit of the insurance helping to boost the distributor’s relationship with its customers.
The results of the embedded insurance program
- Easy to purchase: The device protection insurance is easy to purchase and can provide cover for the device as soon as the customer completes the purchase.
- Efficient claims: The claims process is efficient for the retailers, while providing crucial data for the distributor that can be used in loss mitigation.
- Enhance customer experience: The program has enhanced the customer experience and generated revenue for both the retailer and distributor.
Learn more about our capabilities
By building an affinity and embedded insurance program, we can help you to:
- Unlock a new revenue stream
- Optimize cost savings
- Strengthen brand loyalty
- Reduce risk