Ekonomi.kosongin.com – The world is changing, digitally. We are moving into an era of reduced human intervention. The rapidly evolving technology has brought great disruption to your digital platforms. We see self-driving cars, contactless payments, and chatbots telling people how to manage their wealth and investments.
Netflix, Uber, Ola, Amazon and many other ideas have changed segments of their industry forever with seemingly effective yet simple ideas. The insurance industry is embracing digital transformation in a number of ways to mitigate the complex challenges it faces from the consumer, regulatory, and digital landscape.
Global leaders in the insurance industry are developing digital business portals built for the needs of the future. They cover meeting future demands with predictive analytics, product financial performance reports, and plans to provide a bird’s-eye view of all micro and macro metrics of the insurance business.
People now use their devices to upload documents, make claims, use mobile apps for payments, and receive reminders and updates for their insurance policies. As the world embraces mobility, the insurance industry must embrace digital innovation.
The modern consumer interacts with insurance companies in a variety of channels. They research, recommend, share and make purchase decisions through omnichannel applications. Digital insurance providers must incorporate all the key components that can drive customer engagement at multiple levels to ensure success.
Insurance companies can seamlessly transform into digital insurance providers with a phased roadmap. They can assess your current situation, systems, and infrastructure to plan which processes and parts of the business will move into the digital landscape. This helps prioritize investments and build a digital workplace designed for future needs.
Long-term evolution with short-term added value is the most effective strategy for the insurance industry that drives the digital transformation strategy in three main phases depending on its capabilities.
A recent Deloitte survey called on the insurance industry to digitally transform its operations. Of the users surveyed, 7 out of 10 insurers have begun to implement various digital strategies.
Surveys show that there is an overall 30% improvement in the signup process once they go through the entire process online. Its net income increased 45% YoY and EBITDA increased 28%. The survey strongly shows that the insurance industry is moving its business processes and operations online with great results.
After studying many surveys and talking to many industry leaders, we have compiled a list of trends that may become reality in 2019.
Portals and interconnected systems: Communication is key in digital business. The insurance industry has implemented partner portals, corporate portals, and intranet portals. Efforts will be made to consolidate everything on a single platform by moving away from different legacy technologies to create an omnichannel digital ecosystem.
Self-service dashboard: Seeing all the information from the top view is very important for making decisions. Customers and partners will benefit greatly from getting a bird’s-eye view of your performance, policies, pricing, due dates, and payment dates. Getting all the important information in one place will be an integral part of the insurance company’s system.
Compare and Shop: Consumers will move online to make better purchasing decisions by comparing policies on various insurance portals. This will allow them to understand the terms, conditions, prices, and many other details before making a final decision on your life, medical, auto, or insurance policy. This is where the insurer’s mobility solutions will be the catalyst for increased revenue and customer retention.
Seamless claims handling: Consumers will take photos, upload documents and choose their respective policies to file claims and insurance providers will scan and filter documents to resolve these claims. The entire process of making and settling insurance claims will be online.
Cloud computing: the future is in the cloud. In the survey, 80% of insurance providers agree that they are moving some of their business functions through the cloud or have moved to cloud storage.
Big Data and Analytics: With more and more users going online to purchase insurance policies, insurers will be able to take advantage of that vast amount of data to understand consumer needs and tailor their policies to meet them. With advanced analytics, they will be able to predict insurance policy types, claims management and customer profiles to ensure full transparency.
Development method: Most IT companies choose to develop their software using agile methods. More and more companies driving digital transformation are using DevOps as the preferred application development method.
IoT and InsurTech: The insurance industry applies beacons and GPS tracking to cars, industrial vehicles and many other instruments to monitor their use. InsurTech (Insurance Technology) will help insurance companies understand your usage and record your activities to create personalized insurance products and services for individual policyholders.
AI improvements: Automated chatbots that serve as advisors will become more common. They will even begin advising select consumers on different policies based on their past purchases and future requirements. We may even see some robotics in the physical verification of claims settlement, but with limited success as it is still in its infancy. But artificial intelligence as a whole will improve in the coming days.
Wearable Devices: These have the most potential and far-reaching effects on the insurance industry. Smart devices like iWatch, fitness trackers, and other monitors track user activity and health in real time with mobile apps. This allows insurance companies to modify their insurance policies to suit the needs of individual users based on their health.