Technology is leaving significant footprints in the insurance sector. Innovations and digital interactions are modernizing the industry and refining its ways of operations for good.
Insurance companies understand the need to become more responsive to customer needs and expectations. It’s not just streamlining insurance business processes, but also focusing on improving the overall customer experience. Insurers need to adopt new technologies if they want to sustain and grow in a digitizing world.
We have listed a few ways in which technology is helping the insurance industry advance.
Traditionally, insurance companies used to have a large network of underwriters and claim adjusters to assess how much an individual’s policy should cost and the amount to be paid in case any claims are made. This process required customers to provide a lot of documents for assessment, making the entire procedure time-consuming.
Harnessing the power of big data analytics, the process is being made faster and more efficient. Insurance companies can now compare customers’ data digitally with thousands of other users with similar backgrounds, making underwriting more accurate.
Telemetrics has become the talk of insurance town nowadays. The Internet of Things (IoT) linked sensors help insurers get customers’ insights and valuable data that can be very useful in assessing risk. Increased data processing power and improved communication methods have further enabled the widespread use of IoT.
A lot of property and casualty (P&C) line of businesses have already adopted IoT in the form of vehicle telematics, connected home technologies and wearables. These technologies can help insurance companies save on claims, keeping premium costs low.
To provide a quick and efficient service, there are chances for fraudulent claims to slip through the net, especially if human assessors fail to check for warning signs. This brings insurance companies in a difficult situation. But now, underwriters and claim adjusters can highlight foul play – thanks to evolving big data analytics tools. Analytics generally search through massive amounts of data submitted by the clients and can help insurers note suspicious patterns.
Insurers are at a crossroad to deal with key challenges like new entrants disrupting the business model, lesser productivity due to redundant processes, fraudulent practices and increasing operational costs. As a result, insurers are harnessing the power of technology and automation to seize new opportunities.
Being an experienced IT solution partner, we have expertise to address these challenges, with our proven technology and engineering capabilities. With KMG, you get a digital innovation partner that understands the complexity of the insurance industry. Our insurance consulting services are using AI, cloud and other transformative technologies to help P&C insurers improve their core operations, settle claims more efficiently and reduce fraud.