5 Technology Trends Driving the Insurance Industry
The insurance industry is confronted with a volatile environment, new regulatory norms, highly evolving customer preferences and disruptive technologies. The priority for the insurance industry is to use cutting-edge technologies to drive growth. The key technology developments are catalysts to transform the insurance business most effectively to enhance customer experience, manage risks, increase service quality, and improve profitability. Here the convergence and controlled collusion of 5 technology trends will make a significant impact on insurers’ growth across new channels.
The rapid growth in mobile technology enables insurers, agents, and brokers to leverage the functionality and features such as geo-location to enhance the user experience. Using mobile apps, consumers can compare and buy insurance products, get quotes, and receive offers. Insurance carriers and agents can use smartphones and tablets to distribute products, collaborate with underwriters, and generate reports to service customers effectively and improve agency performance.
Big Data & Analytics
The Big Data revolution and advanced analytical techniques are harnessed by insurers for transaction processing and intelligent decision-making. Unstructured and Multimedia data such as Social Media, Video, and Blogging will complement Structured data such as analytical techniques to help insurers to forecast the trends and take strategic decisions.
Automating Business Processes
As a highly regulatory industry, automating business processes and services presents a tough challenge for insurance companies. Insurance claims can be handled more efficiently through automated business processes that are consistent with regulatory requirements. The insurance claims solutions software can be integrated with the existing enterprise infrastructure to streamline claims processes and improve customer experience.
Insurers are leveraging a number of distribution channels to increase sales and maintain a competitive edge. Though cloud computing is used by many industries, insurers are yet to exploit the advantages of SaaS offerings for insurance applications such as Policy Underwriting and Administration, Claims and Billing.
Social Media tools such as Facebook, Twitter, Google Plus and LinkedIn are used by agents and consumers to connect, collaborate and share information. Social Media in the insurance industry can create brand awareness, improve interactions, generate new ideas, improve business processes and efficiencies, and drive profitable growth.