Sales after Claims – A Missed Opportunity

Most insurers still treat the claims function purely as a cost center - something to be handled efficiently, fairly, and closed as soon as possible. Yet this “moment of truth” is often one of the very few real interactions customers have with their insurer. And herein lies the missed opportunity: the period right after a well-handled claim may be the single best time to strengthen the relationship and even extend coverage.

Why the Claims Moment Matters

When a policyholder suffers a loss - an accident, a burst pipe, a burglary - risk suddenly feels real. If the insurer responds quickly and fairly, the customer is reminded of the value of their policy in very tangible terms: “Insurance worked for me.”

Behavioral research shows that after experiencing a loss, people’s appetite for protection increases. The memory of the event makes risk salient and often prompts people to think: What else am I exposed to? This is the moment when they are psychologically most open to closing coverage gaps.

Bain & Company’s global insurance survey backs this up. It highlighted an insurer that flagged claims with high customer satisfaction and routed those customers to sales teams. The result: double-digit conversion rates on new policies - far higher than standard marketing outreach. Similarly, reinsurer RGA documented how claimants who had previously received payouts responded at much higher rates to targeted upsell campaigns than “cold” customers.

Imagine the cross-sell and upsell potential if the sales and claims functions worked hand-in-hand instead of operating in silos, unaware of each other.
On the claims side, insurers already know a great deal: which customers had a satisfying claims experience, and which ones might be worth engaging again based on their claims history.

Based on these information, claims can be a trigger to well-timed offers that genuinely match customer needs. Instead of generic marketing campaigns, outreach would be based on real experience and trust already established through the claim. This not only raises conversion rates but also strengthens loyalty - turning a resolved claim into the starting point of a deeper relationship.

Risks, concerns, side effects 

If that all sounds so promising, why isn’t it common practice? A couple of manageable concerns might hold back the implementation:

• Compliance concerns: The Insurance Distribution Directive (IDD), GDPR, and consumer-protection rules create a fear of crossing lines - especially if upselling right after a claim is seen as exploiting vulnerable customers. But these risks can be managed by proper timing and embedding suitability checks into every offer, making sure claims data is used with a clear legal basis (consent or legitimate interest with opt-outs), and training staff to frame sales as acting in the customer’s best interest.

• Trust and reputation fears: A sales proposal that arrives too soon after a loss may feel opportunistic and work against loyalty instead of fostering it. The solution lies in how the offer is timed and positioned: not as “selling more,” but as genuinely closing protection gaps, keeping communications advisory rather than pushy.  Empathetic messaging - “Many customers in your situation consider…” - paired with relevant add-ons ensures the outreach feels supportive rather than predatory.

• Organizational silos and mindset: Claims departments focus mainly on efficient closure, while sales teams rarely access claims insights. As long as the claims function is measured only on cost control and closure speed, the growth potential will remain untapped. The gap can be bridged by fostering cross-functional cooperation, processes, and automations. By flagging high-satisfaction claims, sales can engage only where the timing and context are right.

• Operational nuances: Not every claim is suitable for upselling. A minor windshield repair may leave a customer open to discussing roadside assistance, but a catastrophic house fire is clearly not the moment. Insurers can manage this sensitivity by segmenting claims by severity and satisfaction - focusing outreach only on low-severity, high-NPS cases where customers leave the process with stronger goodwill.

• Risk control: Many insurers remain cautious, assuming that prior claimants are automatically higher-risk customers. In practice, modern analytical tools can distinguish effectively between high- and low-risk profiles. Often, minor claimants pose less risk than brand-new applicants.

When handled thoughtfully and implemented with care, the issues mentioned above can be managed professionally and open the road to unexploited sales opportunities.

Turning Claims Into a Growth Engine

The irony is that many insurers spend heavily on marketing to win new customers, yet overlook the loyal clients who are most open to additional products: those who have just experienced firsthand the value of insurance.

“Sales after claims” should not be seen as opportunistic - when done right, it is a customer-centric way to protect policyholders better at the exact moment they recognize their vulnerabilities. Customers benefit from relevant additional coverage, while insurers strengthen relationships and generate new business - creating a genuine win-win outcome.

It is probably worth the effort to bridge organizational silos and manage compliance carefully, so the claims function can transform from a cost center into a growth engine.