The InsurTech have constantly been evolving towards digital insurance platform to becoming a steadfast place. However, the COVID-19 pandemic, as tricky as it was to get through, accelerated the change and renewed many industries.
The insurance industry is one of the industries which was swept by changes and transformed itself digitally. New landscape forced the industry to look at the value chain through digital lens, including products, distribution and service models.
After understanding the technology, insurance companies are gearing up to invest in digital tools to remain competitive in industry. Regarding innovation, the insurance industry is not among those at the frontier of digital transformation. Therefore, one may quickly think there needs to be more room for advancement in selling insurance products.
But that’s not the case, as organizations in this field have gone digital. A recent study from Accenture points out that 86% of insurers believe that to remain competitive. Insurance companies must implement innovative solutions to their business.
Therefore, these companies have started investing in various new technologies that would make them more customer-oriented and cost-effective, eventually leading to a greater return on investment.
According to the customer’s point of view, they also became more comfortable browsing for insurance products on the internet and purchasing them online. Plus, they seem to enjoy the speed and convenience it provides.
Now, what is a Digital Insurance?
The concept of using technology in Insurance is often used as digital Insurance, which is an umbrella term comprising new technologies that have in the past changed the way Every Insurance Organization works. Simply put, it is using technology to sell and manage insurance policies.
These Insurance Companies have differentiated themselves in the following ways:
- Providing a customer-first approach
- Providing Omnichannel experiences – The customers can research, compare, and buy Insurance online or through a Mobile app without speaking to an agent over the phone or meeting in person.
- Automation of Pricing, risk evaluation, and claims handling connected to the InsurTech ecosystem
- Providing Coverage options to cater to individuals or family’s basis their needs.
Comparatively, to compete in today’s evolving insurance industry, Insurance Organizations quickly jumped from the conventional in-person selling of insurance policies to digitally distributing them.
Modern Features such as chat, customer self-service portals, and online claims filing are all made possible by digital insurance applications and technologies, which grow and expand at an ever-increasing rate. All of this was made possible with technology.
Digital tools enabled insurance companies to onboard customers via digital channels and carry out the entire process of selling Insurance virtually.
Furthermore, e-KYC has made it reliable for insurance companies to verify and gather information on potential customers.
The Insurance Value Chain
Digital disruption has positioned Insurance companies with improved process control and secure transactions, which means better business output and credibility. Almost all of the insurance innovation has happened across customer-facing functions and applications.
By enhancing the customer experience on digital platforms, insurance organizations have invested in their growth and their most valuable asset, their customers. These insurance operation activities that generate value are known as the insurance value chain. When we discuss or talk about the insurance value chain, we are referring to:
- Product management
- Sales and distribution
- New business underwriting
- Customer Service
Benefits of Digital Insurance
The Insurers know the value of being on the cutting edge of the industry. Customers want to know and trust that they are working with a company which has adopted the latest tools and technologies to give them the best service possible.
Furthermore, implementing digital insurance solutions like the iNube’s Digital Platform is the simplest way to communicate that, and the insurance companies can quickly see the benefits, such as:
- Meeting & Exceeding Customer Expectations: Altogether, customers want everything to be available instantly, everywhere. Whether it is communication, payment, or even claims, insurers must have the technology and infrastructure to meet insureds where they are.
- Cost Reduction: As a result of going digital has significantly increased cost savings for insurers and their customers. With more accurate underwriting, insurers and insureds both save big.
- Employee Experience: Digital insurance is just as sought after by insurance intermediaries and employees as it is by consumers. Digital tools such as comprehensive dashboards, SaaS applications and tools. Altogether the unified data systems make their jobs easier and help them perform their duties better. After all the tools available, insurance companies are investing in their employees with digital insurance.
- Low-Code Capabilities: There is a common and valid concern that converting to a digital operation. That require hiring developers, IT professionals, and people who are well-versed in working with these digital insurance tools. Especially, Low-code solutions exist to mitigate these fears, and there is no need to hire a new team of web and application developers.
Delivering digital insurance across the customer value chain
Significantly, the difference in capabilities of an organization using digital tools compared to those is not glaring. Doubted, many believe that the update will be much more significant than they are prepared. But it will require a considerable budget, which is not valid. As well as to deliver value across the customer value chain, you need a partner who can help you do that.
Lastly, iNube’s SaaS-based platform offers solutions across the insurance value chain and is continuously updated to ensure a modern, Scalable system. These capabilities enable insurers who have adopted iNube’s Platform and Solutions to rapidly update and leverage digital insurance capabilities.