Resources

Why the best insurance companies hope you never notice them

Written by Matilda Hansson | Nov 25, 2025 1:04:39 PM

Claims — The Moment of Truth 💥

Most people don’t think about their insurer when they pay premiums. They think about them when their car is totaled, their house burns down, or a hospital bill arrives.

In that moment, “insurance” is no longer paperwork—it’s trust embodied in a payment.

The irony? The best claims experience feels uneventful. Seamless. Almost boring. Because if customers are talking about the claim, it usually means something went wrong.

Insurance is the rare product where silence equals success.

👉 What other industries deliver their best experience when you barely notice it?

1. The power of trust when it matters most 🎯

When a claim event — a car accident, a fire, medical emergency — happens, the relationship between policyholder and insurer reaches a critical juncture. The insurer is no longer background; it becomes frontline. This is the moment that defines loyalty, perception, and ultimately the value of the product.

Research shows that trust is the single largest driver of satisfaction in an insurance claims context. For example: In a recent study by J.D. Power, auto-insurance customers who reported the highest level of trust in their insurer averaged a satisfaction score of 917 (out of 1,000), whereas those with the lowest level of trust had scores more than 400 points lower. Carrier Management

Put simply: people don’t remember the premium process. They remember what happens when the disaster hits.

A flawless claim builds loyalty 💙
A painful one breaks trust 💔

2. Why the claims moment is so unique ⚙️

a) Low frequency, high intensity

Unlike most everyday services (buying coffee, streaming music), claims are rare, infrequent events for customers. Yet they carry high emotional and financial significance. The insurer is required to deliver when the customer is vulnerable.

b) Service invisibility = success

In many industries you feel the service: you talk about the hotel check-in, the flight upgrade, or the restaurant’s ambiance. In insurance, the ideal is the opposite: the smoother the experience, the less you notice. A claim handled cleanly becomes invisible; something you barely remember. If you do remember, something likely went wrong.

c) Complexity meets expectation

Insurance claims involve complex processes: verifying facts, assessing damage, coordinating repair or payment, navigating policy wording. Yet customers expect minimal friction. According to a McKinsey article: “Products need to be simplified and transparent… the inherent complexity of insurance products requires a more deliberate effort from insurers.” McKinsey & Company

3. What customers don’t think about until they do 🤔

  • They don’t think about:

    • policy wording 📝

    • premium calculations 💸

    • claims systems or adjusters 🧑‍💼

    They think about:

    • “Did my insurer show up?”

    Insurance isn't bought for peace of mind — it's proven in moments of panic.

4. The stakes: satisfaction, churn, retention

When claims go well, insurers win. When they don’t, they pay more than in indemnity.

  • One study found that 41 % of policyholders switch carriers after one claim — and that number jumps to 83 % if they are dissatisfied with the claims experience. Hi Marley

  • On the flip side: In the auto insurance sector, average satisfaction with digital claims processing (auto & home) recently rose to 871/1,000 — up 17 points year-on-year, per J.D. Power. insuranceindustryblog.iii.org

  • However: Satisfaction in property claims (homeowners) recently hit a 7-year low, amid rising repair delays and catastrophic events. insuranceclaimrecoverysupport.com

So, it’s clear: beyond paying out fairly, the experience around the payout matters just as much.

A smooth claim = retained customer ✅ A messy claim = viral complaint ❌

5. Four levers to nail the claims moment

Here are key levers insurers (and other industries) must get right if they want to make the claims (or equivalent) moment truly “invisible”.

🚀 Speed & simplicity

There’s a direct correlation between timeliness and satisfaction. One study found top-performing claims adjusters closed claims 10% faster than the lowest performers, and made “first contact” in hours rather than days. AgentSync


Simplify the steps. Make the journey seamless.

💬 Clear communication & updates

A major reason customers call or complain: they don’t know what’s happening with their claim. According to the 2024 J.D. Power auto claims study, communication is one of eight key dimensions. jdpower.com

⚖️ Fairness & transparency

This is about more than legal compliance. It’s about perception. Did you feel you were treated fairly? Did you understand what was happening, why, and how the outcome was reached?
When trust is high, satisfaction rises even in high-premium environments. Carrier Management

💻 + 🤝 Channel flexibility & digital capability

Today’s customers expect digital-first but without losing human support when needed. The rise in digital claims satisfaction reflects that. insuranceindustryblog.iii.org+1
Make the digital easy; make the human meaningful.

6. Why this applies beyond insurance

If we step back, the insight is broader: the best experience often happens when you barely notice it. What other industries share this characteristic? A few examples:

  • 💳 Payments / Banking: When your mobile payment works without friction, you don’t think about it. When a payment fails, you do.

  • ⚡🌐 Utilities / Internet Service: You pay your internet provider and expect “it works”. It becomes noticed only when it doesn’t.

  • 🧳 Air travel baggage handling: You don’t notice your bags arriving; you do when they’re lost or delayed.

In each case, the premium or service is a background promise. The moment of truth is in the delivery—and when it goes smoothly, there’s no story. When it doesn’t, the story becomes your story.

You only notice them when they fail.
The best experience is often the invisible one.

7. What insurers must keep in mind

  • Premiums are invisible; claims are not. Set internal focus accordingly.

  • The claims moment is when brand promises are validated (or broken). Prioritize process design for that moment.

  • Investing in a superior claim experience pays dividends: lower churn, higher trust, stronger retention.

  • Digital tools matter—but digital alone won’t solve the emotional dimension of claims. Communications, empathy, clarity matter.

  • Don’t aim for “impressive”. Aim for unnoticeable. A claim handled so well the customer barely remembers having to make it is a win.

  • Regularly review and measure claims experience: speed, satisfaction, trust. Understand where friction happens.

8. Conclusion - Boring can be brilliant ⭐

For most of their lives, policyholders ignore their insurer. But when disaster strikes, they remember. The claim is the moment when insurance switches from “just a policy” to “something that matters.”

In that moment of truth, an insurer isn’t selling a product; it’s delivering on a promise.
When everything works right: the experience is practically invisible.
When it doesn’t: it becomes the protagonist of the customer’s story.

If you’re working in insurance (or servicing any industry where infrequent but critical events matter), ask this question: are we designing for silence? Because in the claims world, silence is success.

So a couple of famous last words from me: Insurance isn't a product.
It’s a promise whispered at purchase and heard loudest in crisis.

When customers barely notice the claim,
you’ve done your job perfectly. 😍