How automation can scale the insurance business
Why Implementing automation should be at the top of your list of investments in 2022.
Changes necessary for the insurers to scale
As PWC notes in the digital insurance report Top Insurance Industry Issues 2021:
“More change has occurred in the industry in the past year than in the previous several years combined and its pace is only accelerating.”
These changes are necessary for insurers to scale, add new risk products, and provide a modern, digital-first customer experience.
However, the digitalization of the insurance distribution cycle has strained legacy systems. Many of these systems are decades old and never truly delivered on their promises in the first place. As a result, more insurers than ever are considering replacing core systems with tech platforms that support the digital age requirements.
And while the insurance sector has historically been slow to adapt to change, we’ve now reached a point of no return when it comes to digital transformation – and automation tops the list.
Automation is on the top of the insurers list
Automation is well-positioned as a maturing technology that facilitates digital transformation without jeopardizing customer service. Implementing automation should be at the top of your list of technology investments in 2022.
At this point, solving operational problems by adding more people to the equation instead of using technology will be at a disadvantage. Automation is the engine of a modern insurer, and don’t buy into that “automation will replace the agent” myth. It’s about making the workforce more valuable, not obsolete.
The benefits of contents claims automation
Automation can bring value to the entire insurance distribution lifecycle by eliminating manual data entry and providing an easy, fast, and error-free digital experience customers expect. When technology can take over the repetitive tasks, claims agents will have the freedom to provide the personalized, revenue-driving human interactions and services that will add extra value to the claims process.
Reducing the human error
When employees are tasked with repetitive tasks in the everyday processes such as filling out forms, making claims estimations and valuations of contents, there is a risk that claims agents will make mistakes. It’s just human nature. However, automation eliminates these errors by extracting relevant and required information and moving the specific data directly into tech platforms for comparisons, calculations, valuations and proposals. It can completely remove redundancy across departments. Automation will help agents support a substantially larger client base, making scalability possible while making customer interactions more satisfying for everyone involved.
The potential business benefits of claims automation
There are truly substantial benefits of automating parts of the claims lifecycle process and across the entire insurance policy journey. Providing automation across the insurance journey can result in faster actions and decisions, better customer outcomes, greater efficiencies for the workforce and its processes, lower costs, greater scale, more product and service innovation.