How InsurTech Paves a Pathway to Improved Efficiency and Customer Experiences
Insurtech, a word that refers to technology designed to improve efficiency within the insurance industry, has been accelerating for years. Now, most modern insurance companies agree that improving their technology is a key component of their future success, but that doesn’t mean reaching that future will be simple or easy.
Insurance companies cannot always innovate in the same ways as other industries, which are able to expand their offerings with fun, exciting new technologies. Insurance is a complicated field that is not straightforward for most consumers to understand. For most of us, it is a necessary but sometimes frustrating piece of our lives, protecting us from risk but also coupling the hassle of extensive paperwork with the uncertainty of dealing with a potential loss.
That’s just one reason insurance needs to change—perhaps not in the industry’s most fundamental aspects, but certainly in the technology it uses to streamline the customer experience. Instead of trying to make it fun or exciting, however, these technological breakthroughs should make the process of buying policies and making claims as seamless as possible. Luckily, multiple technologies are already making that easier to do.
The Future of InsurTech: 5G, AI, Voice, and More
One of the most exciting new technologies is already out there, fully formed on the market: 5G high-speed mobile internet, which began deploying in 2019, is poised to bolster economies and change the world as we know it.
This new wireless networking architecture reportedly increases data communication speeds by orders of magnitude over its predecessors, and it will improve how the world operates as a result. Of course, users will have increased connectivity, but apps may also be able to transfer tremendous amounts of data quicker than ever before, enabling unforeseen digital advancements for insurance companies, such as the integration of artificial intelligence (AI) with Internet of Things (IoT) devices to reduce risk and provide early warnings of catastrophe. It may also affect commercial insurance as this new tech begins to enable better shipment tracking, content management, and real-time data generation and analysis.
AI is also set to improve the industry by enhancing collateral valuation. Picture this: A customer or business takes a photo of their property and then submits it to an AI system, which can determine the item’s value without requiring extensive human evaluation. As a result, the process of determining coverage for everything from vehicles to homes becomes drastically more efficient.
But one of the most exciting frontiers is voice technology. Voice recognition has taken off in recent years with popular products like the Amazon Echo, and it’s easy to see why. Insurance companies would be wise to follow Amazon’s lead, whether that means augmenting call centers with AI-driven voice analysis solutions or providing more intuitive online input methods for customer interactions. If customers are typing something today, chances are they’ll want to say it tomorrow.
You might be wondering what happens to the people working these jobs now if machines take over. Despite advancements in AI and other technologies like robotic process automation (RPA), human interaction is still a vitally important part of this and other industries.
The Evergreen Importance of Human Interaction
Although new developments in technology provide the insurance industry with tremendous opportunities for growth, it also creates challenges as many companies struggle to adapt to the latest digital services their customers demand.
That’s where the human element comes in. Through empathy or experience, humans add greater value to customer interactions than machines ever can, and while most customers appreciate the convenience technology provides, they also require flexibility and customization in service. That’s why combining innovative technology like RPA with a human workforce is so powerful; by automating simple, repetitive tasks, you can free up human resources to perform more valuable work and interact with customers in more meaningful ways.
But this isn’t the only way humans are important: You’ll also need teams of people to implement these new technological wonders. Undoubtedly, this is where insurance providers typically fail, relying on legacy solutions long past the expiration date rather than allowing talented IT professionals to expand their companies’ toolkits.
With an IT staffing partner like Amzur, that problem disappears. You gain access to a broad pool of professionals with a wide range of skills—experts who can solve the problems you didn’t even know you had.
So remember: Keep moving forward, embracing new technology, and staying ahead of the curve. But never forget the importance of the human touch.