"The Role of Emotions In Buying Health Insurance"

Another expert has opined about the service experience in making health insurance decisions. McKinsey, in its latest quarterly newsletter, points out that a focus on customer satisfaction will drive customers to you. Here is the link to their website, but the research requires a premium membership: http://www.mckinseyquarterly.com/Health_Care/
Strategy_Analysis/The_role_of_emotions_in_buying_health_insurance_2352

The role of emotions in buying health insurance
Consumers shopping for health insurance today face more choice, complexity, and financial exposure than ever before. In an increasingly uncertain world, what they are really seeking is peace of mind in their choices. Insurers that address the emotional needs and biases embedded in the typical consumer’s behavior will be successful in creating and distributing effective products, earning the consumers’ trust, providing a more satisfying shopping experience, and, ultimately, helping consumers better manage their health.

Further, McKinsey points out that 140 million Americans have discretion in the purchase of health insurance, representing more than $750 billion in premiums. The key point of the research is that while companies view health insurance as an "expense" issue, consumers select based on "peace of mind."

My View
Service providers have an opportunity to step in, understand what will drive peace of mind, and then focus on delivering that service perfectly. I am not sure whether insurance companies will ever be viewed as the honest broker in the information/service delivery, but intermediary service providers can. And there is a lot of opportunity to take marketshare and find profitability in doing it well.