Reliance Life insurance begins post-sales service in insurance market

Taking a leaf out of its Japanese partner Nippon Life’s book, private sector insurer Reliance Life has begun its post-sales service drive across the country and plans to cover over 10 lakh customers by March next.

Reliance Life Insurance Company (RLIC) has asked its 1.5 lakh representatives, including staff, advisors and channel partners to meet about ten per cent (over one million) of its existing customers by end of current fiscal to provide services beyond premium collection.

RLIC, part of Anil Ambani-led Reliance Group’s financial services arm Reliance Capital, has begun this drive under its ‘Reliance Life Plus Club’ initiative.

According to RLIC, it is the first insurance company in India to introduce a structured post-sales customer service platform.

Commenting on the new initiative, RLIC President and Executive Director Malay Ghosh said: “Our post-sales service drive is already in force and action is part of our daily business routine. We have instructed over 1200 pan-India branches to implement it like sales targets. We hope to meet one million customers by March 2013”

The initiative is inspired by ‘Zutto Motto’ (Forever More Service) service at Nippon Life, Japan’s leading insurer and Reliance Life’s strategic partner with a 26 per cent stake.

“We hope to replicate the success that this model enjoys in Japan,” Ghosh said.

Post-sales service is a widely prevalent practice in a host of consumer-focused businesses, including consumer goods and home appliances.

It involves a continued relationship between the company and its customers through maintenance and advice-like offerings for years after the actual sale.

Stressing on the need for an after-sales service, Ghosh said that life insurance is a long-term product and the customers’ needs may change over a period of time.

“It is very important for sales agents to periodically visit the customers to find out their diversifying needs in their various life stages. This is the key point in enhancing customer satisfaction,” he said.

“We have made it a rule that all our sales people visit every customer periodically at least once a year. Such visits also help in selling new products to the existing customers and in acquiring new clients,” Ghosh added.

The company is spending about Rs 12 crore in the current financial year for this initiative to meet about 10 per cent of its customer base. At present, Reliance Life has more than nine million policyholders.