Despite years of investment in digital engagement, from rolling out mobile apps and online portals to digital communication enabled by AI agents, many insurance interactions still feel disjointed. Instead of the seamless, connected journeys that customers expect, there are times when it feels like digital channels have only seemed to multiply points of friction. As a result, customers often feel less understood and more disconnected from their insurers than ever before – exactly the opposite of what insurers intended.
However, the solution isn’t more technology or more points of interaction. It’s about how those points of contact are connected and making them easier to understand and use, ultimately empowering customers with greater control over when, where, and how they can communicate. For insurers, that control will be the ultimate competitive differentiator.
The State of Omnichannel in Insurance
On paper, the digital transformation story sounds like progress. However, there are times when the industry seems to be holding onto outdated processes and simply digitizing the same steps instead of rethinking and actually improving the overall process with the best outcome in mind. In practice, many policyholders still find themselves repeating information or restarting conversations every time they switch channels.
That’s because most insurers have reached the multichannel stage, not omnichannel. Multichannel means customers can reach insurers in different ways, from email, app, text, or web, but each experience stands alone. Omnichannel, on the other hand, connects those touchpoints so the conversation flows with the customer. The difference is simple but powerful.
Policyholders should be able to submit a claim online, continue the conversation through a mobile app, and receive a confirmation email without having to repeat a single detail. That’s omnichannel in action, and the kind of experience customers expect from every digital experience.
Over the past several years, Smart Communications has commissioned an independent research firm to survey insurance consumers and business leaders from around the world into what drives people to buy a new policy or renew their current coverage, which helps us to understand where insurance companies should focus their efforts on in order to earn customer loyalty. The 2025 report found that customer satisfaction with omnichannel experiences appears to have plateaued at 54%, unchanged from 2024. This stagnation shows that digital transformation online isn’t enough. The real differentiator comes from integrating systems and processes so that each interaction builds on the last, rather than restarting it. It’s not just about being everywhere; it’s about being seamless everywhere.
Consistency Builds Trust
Trust has always been the foundation of the insurance relationship, but in today’s digital era, it’s not built only on reliability or reputation. Consistency is also important. Customers need to feel that no matter how or where they engage, their insurer knows them and remembers them.
In fact, 60% of U.S. consumers say they trust companies more when their interactions feel consistent across channels. For insurers, this means consistency isn’t a soft metric but a business one. Each time communication feels fragmented or impersonal, trust diminishes. But when interactions align, such as when an agent references a digital claim, or the app mirrors a recent conversation, the customer feels seen and understood.
Meeting Customers Where They Are
If consistency builds trust, choice sustains it. Today’s customers want to decide how they communicate, not be told how they must. Yet only 55% of U.S. insurance customers say their provider communicates through their preferred channel, a decline from 60% in 2024. It’s a clear signal that insurers risk losing relevance when they fail to meet customers on their terms.
In the U.S., email (44%) remains the preferred channel, followed by SMS (17%), web or app (14%), print (12%), and encrypted messaging (12%). These preferences show a fragmented landscape, where no single channel fits every customer, and where context determines convenience. A younger policyholder might want instant text updates on a claim, while another may still prefer a printed renewal letter for their records.
The lesson isn’t to pick one “best” channel but to give customers a choice. Flexibility, backed by transparency and security, gives policyholders confidence that their data and preferences are respected.
The Cost of Friction
However, just as important is trust and choice, so is making sure those interactions are frictionless. Customers have little patience for complexity, and 65% of policyholders are likely to end an interaction if the process feels too complex or repetitive. That number rises to more than 70% among Millennials and Gen Z.
For insurers, this means that every unnecessary form, every disconnected channel, and every manual data request isn’t just an inconvenience; it represents potential revenue loss. In an era when people can complete a loan application or medical appointment in minutes, cumbersome insurance processes feel out of step with modern expectations.
The solution lies in simplification. Smarter digital forms that pre-fill known information, guided workflows that reduce friction, and context-aware communications that remember where the customer left off all help create the sense of ease customers now expect. When interactions feel effortless, customers stay engaged, and efficiency is created for everyone involved.
Putting Customers in the Driver’s Seat
Insurance customers expect more than digital access. They expect control. Despite years of modernization, too many policyholders still encounter fragmented experiences that make them feel like passengers in their own journey.
Changing that dynamic requires more than new technology. It calls for a mindset shift: from managing channels to orchestrating experiences, from communicating to customers to communicating with them. When insurers give policyholders genuine control over how and when they engage, every interaction becomes an opportunity to strengthen trust and loyalty.
Excellent perspective. The distinction between multichannel presence and true omnichannel orchestration is critical.
We, at ENIT.se, see across regulated industries that many organizations have invested heavily in digital touchpoints, yet customer satisfaction plateaus because the underlying systems, data models, and workflows remain fragmented.
A modern CCM platform is a foundational enabler of this shift — but its real value is realized when it’s embedded within a unified integration and governance strategy. That’s what allows every interaction to build on the last, regardless of entry point.
For CIOs and transformation leaders, omnichannel maturity is less about expanding channels and more about orchestrating the enterprise behind them. That’s where consistency — and ultimately trust — is either reinforced or lost.