We try to turnaround a claim within 8 Days CLICK The industry says they can do 90% of claims within 5 Days. CLICK To match this, we would need to count the same way CLICK And process 90% of paper claims in 5 days CLICK… service stats are next, How are we doing? The Market has expectations Explain how we tell the market what we can do We align with the industry in 4 areas and partially in one other but out of line on 3 key areas… we can change X right now to meet expectations, but can’t change Y until we can deliver what customers expect August 9, 2012
Customer Svcs doing well meeting service target of handling 90% of calls within 2 minutes Typically when they are challenged meeting their service target is when they have lost staff to vacancies in other departments but right now they are at the appropriate staffing level IP -
EXPLAIN What Fast Claims is because not everyone will know EXPLAIN What EVIEW is because not everyone will know Compare eView to fast Claims Say what we are doing to match the competition
Our 5-15 strategy is comprised of two essential elements – continued focus on operational effectiveness, including a complete technology refresh, along with finding opportunities to drive value and differentiate us from our competitors
Let me stop for a minute and tell you a story… We’ve all heard the saying glass is half empty… or the glass is half full. Half empty is the view of the pessimist Half full is the view of the optimist A realist may come along and get into the discussion as well… there are many view as to whether the glass is half empty or half full…. And the debate rages on… Meanwhile …. CLICK The opportunist steps in and drinks the glass….
The opportunist steps in and drinks the glass…. finding opportunities to drive value and differentiate us from our competitors is a key strategy for 5-15….
The world is changing at an incredible pace… and so are our customer’s expectations With technology and information moving so fast, the world is becoming ever more competitive and businesses like our need to adapt to survive… Leza speaks on next slide (Tim Horton’s Ease and Convenience)
Kerzner reference: how digital channel better enhances customer experience how it changes the way we engage our customers. New engagement model: moving away from traditional model (product based) to a customer centric one AND… addresses the customer expectation of seamless multi-channel sales and service capabilities. Great Examples: Travel, Retail – give insurance example through lead/acquisition process – email, web, online agg/soc med, web, call center, person to person ADDITIONAL Capabilities: brand monitoring & socialization, market research, product development prioritization, education)
1 Experiences occcuring at least once a year
Does anyone have any questions they would like to raise? Thanks very much for being part of the group today.
0442.q3 -2012--ee info session sept 18 draft 005
Business UpdateMorris Nord, Sr VP Marketing and Group Client DevelopmentLeza Muir, Sr VP Claims ServicesSept 18, 2012
Agenda Financials How do we stack up? Imagine you were the customer Comparing products and services How do we take on our competition 2
Consolidated Financials to Aug. 31, 2012 2012 YTD Actual UPDATE Compared to 2012 YTD Budget Compared to this time last YearRevenue $422M $300K more $5.3M moreClaims & Commissions $391M $224K less $693K moreAdministration Costs $26.7M $518K less $2.2M moreUnderwriting Income $4.3M $1.04M more $2.4M moreInvestment Income $2.5M $454K more $926K lessInvestments Unrealized $9.6M $9.6M more $6.2M moreNET INCOME $16.5M $11.1M more $7.7M moreProject 2012 Expenses $1.6M $333K less $442K moreTaxes $1.1M $909K more $661K moreNET INCOME $13.7M $10.5M more $6.6M more
4 key product areas for growth… Group Health and Dental Life and Individual Travel for Small Disability Plans Business
Which one had the most growth in the past 3 years?1. Group Health and Dental for Small Business2. Life and Disability3. Individual Plans4. Travel Group Health and Dental Life and Individual Travel for Small Disability Plans Business
What you said…1. Group Health/Dental for Small Business 25%2. Life and Disability 25%3. Individual Plans 25%4. Travel 25%
BC Market ShareGroup Revenue Distribution by Benefit Type
BC Market ShareGroup Revenue Distribution by Employer Size
BC Market ShareIndividual Plan Revenue Distribution by Benefit Type
As a customer, my expectations for all servicethat I receive would be…1. 70% satisfaction2. 80% satisfaction3. 90% satisfaction4. 100% satisfaction
Turnaround Times We try industry says The to turnaround …and can do a they process claim within To be inline, we need 90% of claims within 90 to count claims the 8 % 5 ofsame way… claims within 5 Days
As a customer, my expectations for all servicethat I receive would be…1. 70% satisfaction 25%2. 80% satisfaction 25%3. 90% satisfaction 25%4. 100% satisfaction 25%
Consumers have made their preferences clear… Strong expectations for convenience, anytime/anywhere quick access to information. 46 % Prefer a quicker policy selection process using online tools 50 % Value receiving a quote in less than 1 day 1 in5 Want their benefits/claims paid in less than 2 days 1 in5 Seek to access and service their account fully online Source: PwC 2012 Project Blue Poll 40
But industry is not meeting their expectations.Insurers are aware of the need to improve customer experience andmulti-channel capabilities: 47% 39% Insurers who say Insurers who say Customer Access Enhancements Experience is top are a top strategic strategic priority priority But customer satisfaction of “Choice of Channel” is low… Percentage of insurance/health benefits customers who are “satisfied” with each channel**: Website, email, Social Mobile Networking & online chat & Media 51% 33% 21% Source: *PwC 2012 Project Blue Poll (150 Life & Pension Executives) **North American Technographics Financial Services, Media and Marketing Online Survey, Forrester Research, Inc. 41
Things we should all be asking ourselves… How can we improve the loyalty of our customers? What can I do to provide a better customer experience? What can PBC do to address customer needs as they change? How can I be more responsive to customer needs? 42
When it comes to choosingbetween meeting my SLO’s orproviding great service, whatmatters more?I often feel conflicted because I feel like Icannot do one without impacting the other. 43
What are some of our biggest challenges?The high cost of The high cost of Time it takes to Inconsistency in technology doing business get new products our service — How do we find in BC to market — How can weeconomies of scale? — How can we better — How do we improve the customer manage our manage resources experience? administration costs? without burn out?