One of our clients in the insurance industry engaged us in a digital transformation project. The task was to find a way to improve the existing customer service system and to move away from the dated way of working which still involved a paper-based process.
A recent study conducted by EY shows that 80% of customers are willing to use digital and remote contact channels including web chat, email, mobile apps, video or phone in place of interacting with insurers via agents or brokers. Insurance companies need to create digitally ready products that are customizable, reduce the communication barriers and facilitate interaction in a more personalized way. Insurance is moving from a product-centric to a customer-centric industry.
Our solution was to recommend the integration of new technologies like Artificial Intelligence, Internet of Things and Big Data to digitize the processes in a way that would bring more transparency and efficiency to customers.
A fully digitized company collects data from every touch point and uses external sources like social media, wearables or public data sets. Better integrated data from sensors deployed within cars and buildings can make for easier underwriting of claims. It can also lead to the creation of new pay per use policies.
-Big Data played an important role in gathering and using consumer insights that proved instrumental in developing and optimizing the claims handling process. In the past, the company was building claims on historical information whereas now; it has access to a vast amount of data that helps the company to create performant products;
-Limited the time between information collection and claim handling;
-The use of predictive analytics reduced the risk of fraudulent claims and losses;
-The use of automation eliminated barriers to communication especially when agents were dealing with renewing policies;
Building a digital company involves making use of all the available technological resources to improve work processes, increase efficiency, and deliver better customer value.