The claws of technology have gripped the insurance sector. For many decades, insurance companies stuck to methods involving loads of paperwork and making physical contact before any transaction could occur.
But now, most insurance companies have embraced modern technologies, making things much different from before. As a result, this article aims to update you on the latest insurance technology trends. Here are seven of them.
1. Digital Channels
The Covid-19 pandemic exposed the flaws of face-to-face dealings since industries had to shut down to avoid physical contact. Unlike most banking operations that could still go on due to the adoption of mobile apps and portals, most insurance companies couldn’t do the same. As a result, clients could not get a response to critical issues.
As a result, insurance companies are adopting self-service digital channels to ensure insurance agents, brokers, and customers are no longer stranded. Soon, mobile apps would become the most important mode of interaction of insurance companies with their policyholders or all activities, including policy purchase and renewal and making claims.
So, if you have such digital skills, you can apply for a global talent visa to countries in the UK. Insurance companies in the UK will need your skills.
2. Use of Telematics in Policy Pricing
Telematics involves using computerized devices to transmit information about machines and people. Insurance companies now use these devices to monitor and gather information on potential clients to determine the optimum prices.
You can see an example of its application in auto insurance. Telematics makes it possible to read factors about the automobile and driver by installing devices in the vehicle.
These devices obtain information through GPS, WIFI/Bluetooth, radio frequencies, engine control units, etc. Besides, the underwriting process now takes lesser time than in former times – when it was a queuing game to get a response.
3. Robotic Process Automation
Insurance companies have saved a lot using virtual assistants. They now use robots to execute repetitive administrative functions. A typical example is the use of chatbots to reduce the number of customer service agents they would have needed.
Chatbots are different from automated responses because they utilize AI and machine learning technology to interact with customers and resolve their challenges. They also make it possible to have a 24/7 customer care service.
Hence, only critical issues require physical interaction with a customer service agent. With time, there would be nothing these bots won’t be able to resolve. You’re likely to have spoken to one of them already, thinking you had a human at the other end of the line.
4. Drone Scouting
Insurance companies are doing all they can to validate claims before processing them. Most recently, drones are utilized to access places ordinarily problematic for the insurance inspection team to reach and access a situation or occurrence.
Also, while it would take a long time for insurance inspectors to examine a large expanse of land, drones would do so much quicker.
5. AI and Machine Learning
Fraud is a big deal to insurance companies. Insurance companies lose money to people who fraudulently take claims from them. According to data from the public domain, the cost of insurance fraud is over $40 billion yearly.
With machine learning, insurance companies can identify fraudulent claims to a large extent. Machine learning achieves this task by collecting data and making predictions based on connections it finds with other flagged claim types.
Using collected data from the client, the AI can analyze the client’s behavior for consistency. The AI flags such persons so the insurance company can further investigate their claims.
Also, these technologies do data processing and analysis in a short time. As a result, many fraudulent techniques are promptly detected, saving the insurance company lots of money.
6. Blockchain Tech for Data Integrity
Blockchain technology is trending in different sectors, and insurance companies are not left out. The innovation has its application in various insurance processes, such as reinsurance practices, handling claims, and lots more.
The technology allows real-time data sharing between insurers and the company without fear of data leakage. As a result, it builds consumer trust with the insurance agency, knowing their data are secure.
Again, blockchain tech encourages transparency because it offers an audit trail for future consultations.
7. Synchronizing Social Media Data
You should have discovered by now that you can log into your account on the insurance company’s website using your social media information. These companies access customers’ social media information to monitor their tendencies and also help them validate claims.
Insurers may review the client’s activities to see consistency in their report and what their engagements on social media suggest. In other words, clients’ social media data has become one of the insurance companies’ sources of data collection.
Conclusion
If you intend to travel abroad, you should be aware of these tech trends. Remember insurance is one of the things you can’t escape abroad. You can ask your US immigration attorney to tell you about the insurance packages you must have before going abroad.
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