Risk Life: These providers treat their customers most fairly

25-11-2022 – Servicevalue and the editors of Focus-Money magazine wanted to know from customers of life insurance companies how fairly they felt they were treated by the companies. Allianz, Baloise, Cosmos, Dialog, Ergo, Europa and Hannoversche scored best with “very good”.

For the first time, Servicevalue GmbH, in collaboration with the editors of Focus-Money magazine, investigated which life insurance companies feel that their customers are treated most fairly. The study is based on an online consumer survey conducted in September and October.

They could rate up to two providers with whom they had taken out life insurance within the past 36 months. A total of 2,644 judgments were collected from 2,345 customers at 31 companies as part of the survey.

This is how justice was determined

To make the virtual construct “fairness” measurable and thus controllable, the term was parameterized by the following three sub-dimensions with a total of twelve performance characteristics:

  • reasonable selection of products (products fit perfectly, feeling of security, understandable insurance conditions, additional services, adjustment of the sum insured);
  • fair customer advice (competence of employees, quality of advice, consideration of personal life situation);
  • fair price-performance ratio (price-performance ratio, premium stability, difference between net and gross premiums, risk assessment).

Rating scale in four levels

A four-point scale was available to consumers for the assessment (“strongly agree” (1), “rather agree” (2), “rather disagree” (3), “strongly disagree” (4)). Regarding the methodology, Servicevalue also stated: “The sub-dimensions result as an unweighted average from the respective evaluation criteria […].

All companies that are above average are rated ‘good’. Companies that, on the other hand, are above the average of companies rated as ‘good’, get a ‘very good’.”

The most fair life insurance companies from the customer’s point of view

In the overall evaluation, where the three dimensions were equally divided, seven companies received the top grade “very good”. These include (in alphabetical order)

Allianz, Baloise, Dialog, Europa and Hannoversche entered the top group in all three segments. Cosmos (not customer service) and Ergo (not value for money) managed to do this twice each.

Eleven “good” actors

Huk24 AG and Huk-Coburg-Lebensversicherung AG (each product line) as well as DEVK Versicherungen and Neue Leben Lebensversicherung AG (each value for money) received a “very good” rating in one area.

Axa Lebensversicherung AG, Interrisk Lebensversicherungs-AG Vienna Insurance Group and Württembergische Lebensversicherung AG only belong to the top group in terms of customer advice.

The seven aforementioned providers entered the “good” group in the overall ranking. Four other actors can be found in this one. These are Continentale Lebensversicherung AG, Gothaer Lebensversicherung AG, R+V Lebensversicherung AG and Zurich Group Germany.

The quality of the advice is particularly important

The main customer loyalty drivers were also determined as part of a relevance analysis (variance explanation of the correlation according to Pearson). Above all, “additional benefits” and “understandable insurance conditions” were found to be the least important. In addition to taking into account the personal life situation and the quality of the advice, it is also important that the products fit perfectly.

Thermal life insurers performed worst in terms of difference between net and gross premiums (mean: 1.98) and best in terms of product fit (1.68).

In the latter segment, Cosmos and Continentale left all competitors behind (1.46 each). Neue Leben (1.51) secured bronze, followed by Baloise (1.53).

Location (Image: Wichtert)

Further information on the content, purchasing options and pricing of the 189-page survey report “Customer Rating: Fairness of Term Life Insurers 2022” can be found in this survey brochure (PDF, 546 KB).

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