Financial services has long held a tradition of innovation and without it we would be denied access to products and services that allow us to live more fulfilling lives.
Perhaps due to this innovation the sector also faces risk as the world evolves around it.
Quite rightly, the industry will always be under the spotlight from customers and regulators and must respond appropriately when it is asked to remedy an issue.
So what can we learn from the experiences of the current PPI claims situation?
Of course, preserving the reputation of the industry and the provider are of paramount importance and how claims are managed will make the difference between solving a problem and adding to a frustration.
In this situation ‘good’ isn’t good enough. You have to be exceptional, which in practical terms could be the difference between retaining or losing a valuable client.
To do this it won’t be enough to merely have first class processes – systems delivering world class consistent processing and management – without a skilled trained and TCF focused resource.
The people using this resource must be fully trained, skilled in customer empathy, service and completely focused on the aims and objectives of the TCF guidance.
Managing and processing a complaint or claim efficiently can often add to one’s reputation but it must be done in a timely fashion.
In order to improve this ‘readiness’, organisations must be proactive using data analytics to identify enquiry or complaint patterns and use this insight as an early indicator of what is to come and in some cases use this to pre-empt and prevent further issues by intervention with key customer segments.
And through everything that you do, regular transparent communication with the policyholder will be essential.
They could already be in a ‘wronged’ state of mind and if this is compounded by leaving them in the dark they will becoming increasingly impatient and angry and this may irrevocably damage reputations.
Being able to manage the inevitable spikes in activity, continuously delivering a professional and timely service meeting customer expectations is essential.
Having the skilled resource or access to a trusted and reputable skilled resource, capable of delivering a seamless branded service is a key requirement if one’s reputation is to be protected and even enhanced through a major remediation programme.
Stuart Hayman is a senior business consultant at Vertex