Voice is still the go-to for exceptional customer service in insurance

Voice is still the go-to for exceptional customer service in insurance

Insurance is complicated on a good day, and emotional on a bad one. Claims, emergencies, billing disputes: these are high-stakes moments where trust is either built or broken. That’s why, even after years of digital transformation and investment in apps, portals, and chatbots, customers still reach for the phone when it matters most.

In fact, insurers that have embraced intelligent voice agents are already seeing the payoff: McKinsey reports they’re achieving higher customer satisfaction—up by more than a third—while cutting operational costs by nearly 30%. That’s because voice, unlike any other channel, combines empathy, clarity, and accessibility in moments that matter most.

For insurers, the message is clear: voice remains the gold standard for customer service. And thanks to new advances in AI, voice automation doesn’t mean losing the empathy or nuance that makes it so effective. In fact, modern voice technology (such as voice biometrics) enhances both customer satisfaction and operational efficiency, making voice not just relevant, but central to the insurance customer experience in 2025.

What is the state of customer service in insurance in 2025?

The insurance industry has always been built on trust. But that trust is under pressure. Rising claim volumes, complex regulations, and increasingly demanding customers mean insurers need to rethink how they deliver service.

According to J.D. Power’s 2025 U.S. Auto Insurance Study, more than one-third of customers now fall into the lowest tier of satisfaction, making them highly unlikely to renew their policies. For high-value customers, the renewal likelihood drops to just over 50%. This shows that while price may win new business, service and claims experience are what truly drive retention.

Against this backdrop, three trends stand out:

• Customer-first strategies are reshaping priorities. Policyholders expect personalization, accessibility, and seamless support across channels.

• AI and automation are expanding. The goal isn’t to replace humans, but to free up agents by handling repetitive tasks while ensuring customers get faster, more consistent service.

• Omnichannel journeys are the norm. A claim may start in an app, move to chat, and escalate to voice. But when the stakes are high, voice is still where resolution, and reassurance, happens.

This convergence explains why insurers are doubling down on voice, even as they scale digital self-service.

Why voice remains central in insurance customer experience

Digital tools are useful for simple requests, like checking a payment status or downloading a policy document. But insurance is rarely simple. It’s a high-stakes industry where emotions often run high and clarity is critical. When money, safety, or peace of mind is on the line, customers overwhelmingly prefer to hear a voice on the other end of the line, whether it’s a human agent or a well-designed voice AI.

Human touch in high-stakes conversations

Insurance interactions often follow stressful life events—accidents, property damage, or health emergencies. In these moments, customers don’t just want information; they want empathy and reassurance. A calm tone of voice, acknowledgment of their situation, and a sense that someone is taking ownership of the problem can make all the difference.

• Voice allows insurers to convey compassion in real time, something text-based channels can’t replicate.

• Customers walk away not just with a resolution, but with the emotional confidence that their insurer truly has their back.

• This emotional connection directly impacts loyalty; policyholders who feel “cared for” are far more likely to stay, even when competitors offer lower premiums.

Complexity requires clarity

Insurance products are dense by nature. Coverage limits, deductibles, exclusions, and claims processes are rarely straightforward, and a single misinterpretation can have costly consequences.

• Voice makes it possible to resolve ambiguity quickly, with immediate clarification and back-and-forth discussion.

• It reduces misunderstandings that can happen in chat or email exchanges, where tone and nuance are lost.

• This agility directly improves first-call resolution rates, cutting down on repeat contacts and boosting customer satisfaction.

For insurers, this is an efficiency gain. Fewer escalations and callbacks mean lower costs and faster outcomes.

Accessibility across demographics

Insurance is one of the most universal services—spanning young digital natives, older adults, and vulnerable or underserved populations. Not every customer has the time, ability, or digital fluency to navigate apps or chatbots.

• Voice is the most inclusive channel, requiring no downloads, digital literacy, or typing speed.

• It provides critical access for those who may be visually impaired, elderly, or simply less comfortable with technology.

• For vulnerable customers in crisis, such as someone calling from the scene of an accident, voice is the only channel that provides instant support without barriers.

Trust built in real time

Beyond empathy, clarity, and accessibility, voice has a unique ability to build trust in the moment. Customers can hear sincerity in an agent’s tone or feel reassured when a voice AI quickly guides them through next steps. This live interaction instills confidence that the insurer is competent, attentive, and reliable — qualities that directly influence retention and brand reputation.

What modern voice technology means for insurance CX

Traditional call centers struggled with long hold times, inconsistent quality, and high costs. But today’s voice AI solutions are changing the equation. They enable insurers to deliver proactive, personalized, and efficient service at scale, without sacrificing empathy.

Capabilities reshaping voice in insurance

• Natural language understanding trained on insurance terminology ensures customers feel “heard” the first time.

• Real-time agent assist gives human agents instant suggestions, policy details, and next-best actions during complex calls.

• Multilingual support & real-time translation open accessibility to more policyholders.

• Omnichannel continuity lets customers start a claim in chat and pick it up via phone without repeating themselves.

These capabilities mean everyday interactions like claims intake, billing inquiries, and coverage clarifications become faster, smoother, and more satisfying.

Real-world voice use cases in insurance

The real proof is in execution. Insurers worldwide are already automating and scaling their voice operations with strong results.

• Automated claims journeys: AI voice agents guide customers through structured claims intake, reducing time and errors while still expressing empathy.

• Agent escalation support: When cases become complex, voice AI passes context to human agents, ensuring no detail is lost and resolution is faster.

• Customer benchmarks: Insurers using automated voice report higher NPS, better first-call resolution, and reduced costs per claim.

Best practices for voice AI in insurance customer experience

Implementing voice AI is about designing customer journeys that balance automation with empathy. Leading insurers are taking a thoughtful approach, applying principles that ensure voice technology strengthens, not replaces, human service:

• Balance automation with human empathy: Customers should always have a clear path to escalate to a live agent when needed. Automation should handle routine steps while leaving nuanced, emotionally charged interactions to humans or AI trained for empathy.

• Leverage voice analytics: Every call is an opportunity to improve. By analyzing patterns in conversations, insurers can refine AI flows, surface recurring pain points, and coach agents more effectively.

• Design seamless omnichannel transitions: Customers move between channels — chat, app, email, and voice. A well-designed voice journey ensures they don’t have to repeat themselves, maintaining trust and continuity.

• Prioritize accessibility: Insurance serves a diverse population, including older adults and digitally underserved groups. Voice AI should extend service to everyone, not just the tech-savvy, making support inclusive and reliable.

How Parloa enables customer-first insurance service

Insurance is uniquely complex. It blends regulation, high emotion, and operational pressure. Parloa’s platform was built to manage these challenges while empowering insurers to deliver consistent, empathetic, and efficient voice interactions:

• Transform claims: Automate intake with fewer handoffs, reducing wait times while maintaining a human-like experience.

• Elevate customer experience: AI agents deliver empathetic, reliable voice interactions that build trust and satisfaction.

• Boost agent efficiency: Real-time AI support guides human agents, letting them focus on complex or high-value interactions without losing speed or accuracy.

Parloa is a platform for building and scaling voice AI journeys that combine empathy with efficiency, future-proofing customer experience while enhancing operational performance.

Voice as the foundation of customer-first insurance

Voice is the cornerstone of exceptional insurance customer experience. It delivers human empathy in stressful moments, provides clarity on complex claims and policy questions, and ensures accessibility for diverse customer demographics. Today, AI enhances voice even further, adding scale, consistency, and operational efficiency without sacrificing the human touch.

Digital channels play a critical role, but they are complements, not replacements. When stakes are high, customers will always reach for a voice they can trust.

The insurers that will thrive are those investing in voice AI today, building experiences that blend empathy with automation to future-proof service, strengthen customer loyalty, and optimize operations.

With Parloa, insurers are already doing exactly that: automating voice journeys that make service faster, more human, and more efficient, creating a foundation for customer-first insurance that lasts.