Digital transformation has become a way of life in the insurance industry. Innovations in technology and processes have allowed companies throughout the industry to do business differently. Digitization optimizes processes for gains in efficiency and speed, coupled with a reduced level of customer effort.
Adopting some or all of these top ten insurance digital transformation trends means your business can compete and stand out among the crowd. Customers demand an easy digital experience and will go to the company that provides it. Give your employees more time to focus on customer-facing processes while robotic process automation and other digital trends solve background problems.
After you learn more about digital transformation trends in insurance, reach out to us at Integratz for help making insurance simple.
Top 10 Digital Transformation Trends in Insurance
Consider how these top ten insurance digital transformation trends could transform your business. We’ll help you find the right ways to digitize your company and liberate your workforce from low-value activities.
- Low-code business process automation makes it easy to go digital. Speed-to-market can make all the difference with technology innovations. If you’re one of the first to offer a cool new solution, you can gain valuable market share. Low and no-code business process automation means you can easily update apps and make changes to offer products and solutions when the market demands them – not 6-12 months later after you’ve hired a developer to code, test, and implement the solution.
- Legacy systems will be connected. It doesn’t always make sense to get rid of all your legacy systems. It’s too expensive, time-consuming, and risky – but adding ways to integrate and enhance your legacy systems is one digital trend helping traditional insurers move toward digitization.
- IoT drives rating decisions. Metrics from IoT devices can provide a wealth of data for insurers to use when making underwriting decisions, from whether to accept a risk or not to pricing decisions.
- Insurtech joint ventures and incubators will continue growing. Traditional insurance companies often fund start-ups offering new technology – this is a win for everyone involved. Carriers often lack the technology to be innovative, and insurtech providers lack the traditional funding carriers can provide. But it isn’t just incubators anymore – traditional carriers partner with insurtech vendors and technology solution providers to find the best way to exceed customer expectations. Relying on the expertise of a tech provider is a best practice for traditional carriers expanding their digital footprint.
- Blockchain solutions are just getting started. Insurance companies exchange data every day with various government agencies, vendors, and other carriers – including payments, private health information, personal demographic details, loss details, and more. Blockchain provides a way to improve transaction time and security, and it may help reduce fraud by creating immutable records. P&C and life carriers are exploring various blockchain use cases, from FNOL to subrogation.
- The automation explosion will continue. Automated processes and workflows are having a big moment. The repetitive processes throughout the insurance lifecycle are ripe for disruption, and automation plays a huge role. For example, consider how much time your claims department would save if you digitized your incoming document process. Right now, claims adjusters are spending hours reading police reports, witness statements, and hundreds of pages of medical records to find relevant details to transfer to the claims system. Instead, OCR (or Optical Character Recognition) technology can scan these documents and extract the necessary details for further review by the adjuster.
- Chatbots and other AI-enabled tools improve the customer experience. Chatbots are helping customers on websites in most industries, including insurance. These time-saving tools can learn as they interact with customers and staff, making their value-add grow over time. Spending a little time programming your chatbot to answer simple repetitive questions saves your CSRs thousands of hours. Imagine if your call center stopped receiving calls asking for claims adjuster contact information, autobody shop details, or the status of a medical bill payment – those are just a few examples of questions your chatbot could be programmed to answer. When the chatbot encounters a question it can’t answer, and a human rep takes over, the bot uses AI and machine learning to remember the answer, effectively learning the solution and expanding its usefulness.
- Digital channels will overtake traditional ones. Insurance has traditionally been a people business, often built on relationships and face-to-face interactions. And while the personalized touch is still important, doing business digitally wins for the convenience factor – for many people, that ease of doing business from their laptop in their bathrobe outweighs their desire for human contact. It’s up to insurers to make it possible for complex transactions – like those involving insurance – to be performed digitally.
- Insurance employees are learning new systems while staying safe. Digitization means people do their jobs in new ways. Claims adjusters can review damages without going into the field using virtual inspection programs for homes and vehicles – saving time and money while keeping people safe. Climbing onto roofs to survey hail damage or traveling to view property destroyed after a catastrophe like Hurricane Ida is risky – with digital solutions, employees can remotely view and assess damages. Claims can be resolved faster, and customers can get checks sooner.
- Traditional insurance culture is changing rapidly. Insurance and risk management has been, by nature, a risk-averse, conservative industry. But this culture is shifting rapidly, as innovations change how insurance and risk are managed. Pandemic-related shutdowns forced a new culture onto many traditional carriers when every employee was forced to make work from home a successful option – and many thrived when some insurers thought it wasn’t possible. Technology creates opportunities, including for insurance companies. The new culture of innovation and acceptance of intelligent risks means carriers are ready for new digitization trends – which is excellent news for customers and employees!
Integratz Makes Implementing These Insurance Digital Transformation Trends Simple
Which of these top ten trends is your business ready for? We’ll show you how to apply these digitization trends to your workflow. We start by walking through your processes and mapping your value stream from beginning to end. Understanding your workflow lets us identify the best ways to digitize your processes and improve the customer experience.
By using low-code robotic process automation, chatbots, machine learning, and other innovations, Integratz can show you how to liberate your workforce and make everything simple!
Reach out today to book a preview call.