Focus on customer experience helps Beema Insurance steer above the crowd

Beema Insurance is the UAE’s first pay per kilometre motor insurance provider

Beema Insurance's advertising banner on Sheikh Zayed Road in Dubai. Image: supplied

When Pietersz Trevor finally found a motor insurance company with good customer service, it was enough to persuade him to take out a policy.

The company was Beema Insurance, the country's first pay per kilometre motor insurance provider.

“I have had so many bad experiences with other insurance companies,” said Mr Trevor, who is from Sri Lanka but has lived in the UAE for the past 45 years.

“I happened to talk to one guy [at Beema] who was very helpful and very understanding. He was so nice and he explained everything to me.

"He took his time and did everything he could to help me out."

Beema Insurance brought the innovative pay per kilometre concept to the UAE in autumn 2019, after it had been popular overseas for around a decade.

Its policies reward its customers by giving them cash back depending on how much, or rather how little, they drive.

Pietersz clocked up around 60,000km last year, so he did not qualify for cashback, but he remained with Beema anyway because of its high-level of customer service.

“I really appreciate it. That’s the reason why I have stuck with them.”

Samarendra Hota, 38, from India, drives around 10,000km a year, and therefore qualified for a cashback reward from Beema Insurance, which he admitted was a pull.

“I thought this was more cheaper than other people were offering. The customer service is also very good.”

It is experiences like the ones that Pietersz and Samarendra have had that has helped the company achieve a 4.6 out of 5 score on Trustpilot, a number Beema is extremely proud of.

"I believe, in a very crowded and saturated market with hundreds of insurance providers, one needs to understand what differentiates them from each other," said Indraneel Jain, Beema Insurance’s chief business officer.

Last year, the Emirates Insurance Association revealed average car insurance rates declined by between 15 per cent and 50 per cent, driven by an escalation in competition among insurers.

"I think at the end of the day, product might be one differentiator, but the key differentiator is service.

"That is why customer service relations have been our main focus."

The service the company offers is personalised, not monotonous, he said.

"Our customers appreciate the conversations they have, which make them feel the agents are not following a template," added Mr Jain.

And when the worst happens, Beema agents strive to do whatever they can to help with any claims related to an accident on the road, he said.

"We don’t create a lot of hassle, so we act instantly on the least possible details required and constantly show empathy and compassion to the customer, versus trying to be objective about each and every detail," said Mr Jain.

Although a relatively new entrant, Beema has managed to build its market share using its innovative approach, by offering motorists cashback for what they were already doing – driving less.

And, thanks to its data and research, Beema realised there was a significant segment of the UAE population who already drove a low mileage car.

According to the company, those who drive fewer miles are less likely to have an accident.

That statistic enables Beema to offer rewards to motorists with a lower annual mileage.

Anyone who drives 4,000km or less receives a 25 per cent cashback reward at the end of the year-long policy, while those who drive between 4,000km to 10,000km receive cashback between 23 per cent and 15.5 per cent.

The value ranges between 14 per cent to 6.5 per cent for anyone who drives between 10,000km and 16,000km a year.

And between 16,000km and 20,000km, they earn 5 per cent cashback.

All the customer has to do is send a message at the end of the policy with a note of the final mileage, and then sit back and wait for the reward.

On average in 2020, the insurer's customers received more than Dh300 as a cashback reward.

But even those who do not qualify for cashback rewards still receive other benefits.

Anyone who drives more than 20,000km earns protection from a rise in their “already competitive” premium.

Other benefits included in the policy include free airport pickups in the form of the reimbursement of taxi fares, along with registration renewal support.

Convenience is key.

During the motor insurance renewal process, customers can opt for a driver come and collect the customer's car to bring it for testing and complete the registration, before bringing it back to them.

The company has no physical office, but offers multiple ways to get in touch, including all the usual ways like email, website and phone, in addition to its social media accounts, such as Facebook, Twitter, Instagram and even TikTok.