Israeli insurance provider The Phoenix teamed up with InsurTech Air Doctor in 2018 to embrace digital innovation. Two years on, the company boasts an increased market share of 30%, a significant reduction in claim costs and an improved customer journey.
Founded in Israel in 2016, Air Doctor connects travellers seeking medical attention with local doctors whilst abroad through their mobile and desktop app. The startup strives to provide travellers with a peace of mind, through its technology and global network of over 20,000 medical professionals across 2,000 cities in 74 countries.
The Phoenix recognised the potential value to be had with partnering with an innovative InsurTech.
Since the two companies’ partnership in 2018 The Phoenix has seen a 30% market share through the use of Air Doctor’s platform, demonstrating the value of the solution in a post-Covid world.
In addition, The Phoenix’s travel insurance customers are finding significant value in the offering. In 2019, 95% of The Phoenix travel insurance customers who needed medical care while traveling used the Air Doctor network. Even though everything came to a complete standstill in 2020 as a result of global travel restrictions, the value of the solution was once again made apparent in 2021 and 2022.
From late 2021 to 2022 over a six-month period, 80% of The Phoenix travel insurance customers who needed medical care while traveling used the Air Doctor platform and network, while 20% either went straight to the hospital, or were directed to the assistance company Medasis for emergency treatment.
Further still, The Phoenix was able to reduce its claims costs by up to 16% through Air Doctor’s platform. In the context of a six-month period from October 2021 to May 2022, this reduction has resulted in an average savings of $44,000 for every 1,000 claims. Measuring The Phoenix specifically over this period, and with the fact that policy numbers are yet to reach 2019 levels, the costs savings summed up to $157,000.
By directing travellers to private doctors rather than hospitals or ER clinics, The Phoenix reduced its claims costs by 78%, resulting in an average saving of $780 per customer. Overall, 11% of policyholders who needed medical assistance were re-oriented bringing the value of savings within the six-month period to $340,000 for this group.
In total there was a total savings of nearly half a million dollars in a period of 6 months during which travel numbers did not yet reach 2019 levels.
The value does not end there. When it comes to customer satisfaction, The Phoenix found a Net Promotor Score (NPS) of 86 for the doctors and 91 for Air Doctor’s customer service experience.
The partnership between Air Doctor and The Phoenix is testament to what can be achieved with an InsurTech partnership. Customers today are increasingly demanding more convenient and seamless experiences, and one way in which this can be achieved is technology.
In the travel insurance sphere specifically, Air Doctor said that customers are more aware that they do not simply need travel insurance, they need medical care providers they can easily access if needed.
Mor Papkin, head of travel insurance at The Phoenix, said, “Our partnership with Air Doctor meets our desire to give our customers the feeling that there is someone looking after them no matter where they journey to.
“Not only have we given our policyholders peace of mind when traveling abroad, but we’ve managed to streamline internal processes and cut back on costs significantly.”
Copyright © 2022 FinTech Global