The insurance industry is undergoing many changes related to current technology trends, such as the Internet of Things, Big Data and Analysis, Blockchain, which are changing the way it works in a dynamic and irrevocable way. Let's take a look at the main trends that impact the industry and discuss the various challenges that underlie InsurTech's current priorities and see if we can call the most important of them.
Every industry has its leaders and laggards, and the insurance industry is no exception. Deep pockets help some insurers take advantage of digital technologies to change their way of operating and:
- Propose new models and customized products to meet changing customer expectations, based on online retail models,
- Partner with technology players to keep up with emerging technology trends and take advantage of the Internet of Things to adopt sensors or connected devices to collect data for disaster prevention and to enforce better pricing methods in the areas of property and casualty insurance like health insurance.
- Establish a cybersecurity strategy to protect the sensitive personal and business data that they store and follow the privacy rules.
- Adopt cloud computing, AI and automation to improve speed and flexibility and to settle claims faster to provide better customer satisfaction,
- Use advanced analytics to gain strategic insight, proactively plan future business offers, and gain competitive advantage.
- Consider using blockchain technology to add "smart" contracts and secure, decentralized data collection, processing, and delivery to their processes.
Are these strategic initiatives sufficient to allow the companies that adopt them to benefit from the leadership and success of the industry and the market? What capabilities do insurers need to prepare for responding to industry demands for channel expansion or business model development as they evolve? How can insurers prepare for tomorrow's requirements even as they meet today's expectations? The purpose of this article is to postulate that many insurers do not recognize the importance of claims management for their business, even as they focus on many other strategic imperatives they face. Let's explain why we would say it.
Everyone knows that customers are always satisfied with a good experience in claims resolution, but tend to be very upset and start sending very negative online comments when their claim is delayed, contested or rejected. While claims satisfaction is an extremely critical element of an insurer's overall customer relationship management challenge, it is only a work in progress for most of them. 39, present time. Instead, they must pay attention to customers and focus on themselves, as they deepen the reasons for their dissatisfaction:
- Insurers must pay particular attention to customer feedback and satisfaction with the claims process and settlement experience, particularly when they are denied.
- Insurers must collect customer feedback, take into account how their processes work, question the clarity of their sales pitch and see if the claim has been fairly rejected.
- They must pay close attention to their reputation in this key area of customer satisfaction, which could impact their ability to retain a customer.
- It must be remembered that dissatisfied customers never come back for extra coverage or another policy.
- Even agents who find too many customers making their voices heard against an insurer's claims process tend to leave the companies behind.
- The transparency of the customer experience must extend to the processing of requests, because the processing of requests becomes a fluid process.
- Insurers can use the technology to offer more options for filing a claim, including uploading photos and videos, with increased speed and accuracy and fewer points of contact with customers. humans.
- As algorithms more easily detect fraudulent requests, the efficiency of claims management improves. Data-based claims prevention can help reduce costs and generate value by predicting real risks and reducing premiums.
By managing the delicate balance between identifying fraudulent claims and paying legitimate claims, insurers can create a negative relationship with a customer by being too strict or too wary. But that does not mean that they can trust and continue to endorse every request indulgently. Any unfairness, real or imagined, could determine whether a policy is renewed, if our online reputation suffers, or if the insurer can be litigated in court. Even as insurers work hard to identify the technologies needed to expand their distribution channels and ensure that they create an optimized customer journey; they must not lose sight of the importance of eliminating fraudulent requests from their list of priorities. This is why we believe that claims management could challenge InsurTech's priorities for the insurance industry. What do you think? Please write and share your thoughts.