As an online travel agent (OTA), offering a seamless and comprehensive travel experience to your customers is crucial. One way to enhance this experience is to partner with a well-established B2B travel insurance provider.
In this article, we will explore the potential benefits and key considerations for OTAs looking to enter into a B2B travel insurance partnership.
Entering a B2B travel insurance partnership gives you the opportunity to offer a wider range of products and services to your customers. By partnering with a travel insurance provider, you can offer customers the option to purchase travel insurance at the time of booking, increasing the chances of them purchasing insurance and the overall revenue of the booking.
In addition, offering travel insurance can increase customer loyalty. According to a study by the American Express Global Business Travel, “travelers are more likely to book with a company again if they have a positive experience with the company’s travel insurance” (Klein, 2019).
When entering into a B2B travel insurance partnership, there are several key considerations for OTAs to keep in mind.
OTAs must look into the coverage and pricing offered by the insurance provider. It is important to ensure that the coverage options align with the needs of your target market and that the prices are competitive. Additionally, it is important to consider the process for purchasing and claiming insurance, as a smooth and easy process will likely lead to higher conversion rates.
Another vital factor for OTAs to ponder is the promotion and distribution of insurance products. This includes the integration of the insurance products into the OTA’s website and booking process, as well as the marketing and communication of the insurance offerings to customers. It’s essential that the insurance products are readily accessible and that customers are informed of the coverage options available to them.
OTAs must also ensure that the insurance provider is licensed and authorized to sell insurance in the jurisdiction where the partnership is being formed. Besides that, the insurance products should comply with all applicable laws and regulations.
As reported in a study by Accenture, “Regulators are becoming increasingly interested in the solvency of insurtechs and are implementing stricter regulations to ensure that insurtechs can meet their financial obligations to policyholders” (Accenture, 2018).
It is also important to evaluate the level of support and assistance that the insurance provider will offer customers. This encompasses not only the protocols and methods for dealing with claims, but also the provision of service and support to help customers with any queries or issues they may have.
Lastly, it is essential to evaluate the long-term objectives and goals of the partnership and how it will benefit both the OTA and the insurance provider. OTAs should identify any potential synergies or opportunities for growth, and also how the partnership will contribute to the overall strategy and success of the OTA’s business.
Before choosing a B2B travel insurance partner, it is very important to investigate potential providers and their reputation in the field. Choose a provider that has a proven history of delivering exceptional service and managing claims effectively. Also, look for a provider that offers flexible and customizable coverage options to meet the specific needs of your customers.
References:
Accenture. (2018). Four Trends in Insurance Digitalization: Accenture Global Consumer Pulse Survey 2018. Accenture.
Klein, D. (2019). The Importance of Travel Insurance for Business Travelers. American Express Global Business Travel. Retrieved from https://www.amexglobalbusinesstravel.com/insights/the-importance-of-travel-insurance-for-business-travelers/