Insurance industry faces challenges in customer needs and communication

The insurance sector is shifting focus toward client-centric models to maintain competitiveness. In motor insurance, experts suggest that coverage should be built around specific driver needs—such as vehicle value, usage patterns, and risk tolerance—rather than simply offering standard products like OC or AC. Modular protection allows customers to choose which risks to transfer to insurers and which to bear themselves.

In the life insurance market, a Capgemini Research Institute report highlights significant barriers to adoption. While 47% of respondents are considering life insurance, many abandon the purchase due to high costs, lack of transparency, or a perceived disconnect between the product and their life situation. Consumers often find insurance information too technical or overly sales-oriented.

Furthermore, there is a growing demand for flexibility. Among consumers under 40, 78% value benefits available during their lifetime over death benefits. Additionally, 54% of all respondents expect protection that can be modified as their life circumstances change. Communication gaps also persist after purchase, with many clients reporting a lack of engagement from insurers following the initial contract.