In the insurance sector, CAT comms (short for catastrophe communications) play a pivotal role in managing the unpredictable and often overwhelming weather events that can strike at any moment. But what exactly are CAT comms, and why are they so essential for insurance brokers and underwriting agencies?
“The insurance sector faces unique challenges when it comes to weather events that necessitate a strong CAT comms approach. Natural disasters and weather events\ cause widespread damage and affect countless policyholders. In these situations, the ability to communicate clearly and promptly is critical.” says Caroline Healy, CEO of We Are Savvy.
What is a CAT Comms Approach?
At its core, CAT comms involve practices and processes designed to communicate our responses to catastrophic weather events effectively and efficiently. Using this approach, and a risk reduction mindset, we can also share risk reduction information to clients in the lead up to events, helping them to prepare their businesses, properties and other assets and hopefully reduce possible damage.
This approach is two-fold. First, organisations can be proactive about risk reduction. There is often notice that disasters like riverina flooding and cyclones are going to occur, meaning organisations have time to issue information and risk reduction tips.
Secondly, organisations need to be adaptable and responsive after an event. By advising clients on what to do in a catastrophe, they can better support the claims process and ensure timely repairs or replacements. Educating clients through clear communication can also help prevent additional claims, like fires caused by using damaged electrical equipment.
As well as providing a template and prepared messages for organisations to use, a CAT Comms approach also sets out a clear process for approvals and the dissemination of information ensuring timely information is shared which is key in an evolving situation.
CAT comms ensure that vital information is shared promptly. This approach helps organisations manage the impact of catastrophes on their clients, whether it’s speeding up the claims process or providing guidance on clean-up and recovery actions. Proactive, fast, and easy-to-understand communications are key to maintaining trust with stakeholders.” Caroline says.
Why All Insurance Businesses Should Have a CAT Comms Approach
Investing in developing a solid CAT comms approach has numerous benefits to any insurance business.
- Promoting Risk Reduction: Communicating with clients before an event helps them prepare and minimise their risk, which can reduce claims and increase trust between your organisation and clients.
- Enhanced Readiness and Responsiveness: With a well-defined CAT Ccomms approach, you can react swiftly to disasters. This preparedness ensures you are responsive, and allows you to share vital information, managing the impact of events and making sure that support reaches those in need quickly.
- Better Stakeholder Trust and Engagement: Transparency and effective communication during a catastrophe are key to maintaining trust. Clients and partners will feel more secure knowing that the insurance company is handling the situation competently.
- Strong Brand Reputation and Client Loyalty: How a company handles a crisis will significantly affect its reputation. Effective CAT comms help preserve, and in some cases even enhance, a brand’s image, fostering client loyalty and long-term relationships.
- Reduced Impact: By educating people and providing timely and accurate info, they can be empowered to take action that reduces the potential for additional losses, both before and after the event.
Are you prepared for the next catastrophe? Ensure your communications strategy and tools are up to the challenge. Contact We Are Savvy today at hello@wearesavvy.com.au to find out how we can help.