Three ways smart technology will benefit the insurance industry
As the world continues to grapple with the aftershocks of the pandemic, the insurance industry has experienced a gradual increase in stability and profitability.
When initial reports were released in early 2020, Australian insurers were experiencing a 10 to 20 per cent drop in renewals and a 20 to 30 per cent drop in new business on average. [1]
Now, with the influx of new technologies available and the growing demand for their services, the industry is on track to reach growth projections of AU$98 billion in 2025. [2]
Part of this upswing in growth is due to the rapid digitisation of the industry. Gone are the paper record days as we emerge into a future of cloud services at our fingertips. Customer-centric software creates a simpler process for both the insurer and the customer.
The use of smart technologies like artificial intelligence (AI) and automation has become a key differentiator for insurance firms. Those that embraced emerging software solutions have experienced several benefits across all aspects of day-to-day business processes. Some of these top benefits include:
1. The automation of simple tasks
Automation is often one of the underrated gems of the digital transformation process. By automating time consuming and repetitive tasks, insurers can empower staff to focus their time and resources on more important human interactions. Automation reduces the time spent across laborious tasks, completing them faster and with less chance of error, without ever requiring a break or losing focus. There is no better way for businesses to save money and increase output than through the adoption of automation.
2. Increased data collection
The insurance industry has always been driven by data but having access to new technologies allows insurers to access big data to the customer’s advantage. Having access to raw data in real time can provide critical insight into the specific needs of the client and point the consultant towards the exact products needed. The more in-depth the data is, the deeper the customer insights and the more useful the analysis will be.
3. Improved customer experiences
Customer satisfaction is at the heart of all service industries, and insurance is no different. Providing a simple and stress-free experience to customers is made even easier by implementing the right digital tools. Workflow management programs that offer intelligent allocation and communication options for simplified and streamlined claims management can increase the pace and efficiency that comes with processing claims. Implementing these smart technologies will help insurers fast-track customer interactions with greater consumer satisfaction, and a bolstered bottom line.
With the countless changes the world and the insurance industry face, one thing is clear: companies that are quick to adopt new tools and technologies will better set their business up for success.
Stelvio has been helping Australian insurers to accelerate their digital transformation for nearly 20 years. For more information about how Stelvio and the EstImage suite of products can help your business harness technology to better support your customers throughout the claims process, contact the team today.
[1] https://www.pwc.com.au/insurance/pwc-insurance-snapshot-april-2020.pdf