AI, Analytics, IoT, Blockchain – do you know how all of this will fundamentally impact insurance? How will new processes and systems fuse with the traditional insurance business model to give a competitive advantage?
There’s no escaping it. Technology is dominating the conversation for modern insurers. From managing data resources through risk management, servicing claims and automating processes, the machines might not be taking over but they are playing a vital role in today’s insurance landscape. But simply onboarding technology isn’t enough to harness the disruption that is going on. It all has to work together across the organization to deliver real results. Getting new technology isn’t the ultimate goal, it’s just the tool to achieve it. Understanding the customer and keeping up with their changing behaviours is insurers’ number one priority. It’s the bedrock on which all future strategies will be built.
Customer interactions don’t happen in silos or fall neatly into channels. To build a strong picture of where the customer is and what they want their insurer to be, the insurer needs to be able to integrate technologies that work together and critically, whose outputs can be understood and actioned by everyone.
How much progress are insurers making? If we shine a spotlight on one of the upcoming technologies that could be delivering the customer data needed for market-leading analytics in the future, we can see that executives recognize the potential but their ability to implement is mixed. In our Insurance IoT industry survey, we discovered that 41% of insurers are looking at the Internet of Things (IoT) as a top or one of their top five priorities and the same number consider it to be at least moderately important. These executives expect to use IoT in customer behavior steering (25%) and risk-based pricing (22%) while a further 20% will be trying to use technology to deliver value-added services. These three areas represent the biggest challenges for insurers today – trying to adapt their products and services in a new, customer-centric age. That said, 41% cite a lack of clear strategy as hindering their IoT adoption with 14% claiming the cost of implementation is prohibitive and 11% concerned over the cost of implementation.
Insurance Nexus recently sat down in private interviews with New York Life, Chubb and Assurant to discuss the role of ever-changing insurance technology to their business.
Get insights on how technology integration can roll out in insurance with view on:
- Progress being made in insurance technology integration: see how your business compares with other companies striving to use new technology for competitive advantage
- Moving technology out of isolation in your business: make your new investments speak to all parts of the business and truly prove ROI across your workforce
- Identify who is in the driver’s seat on technology integration: figure out your company from a planning perspective and how your technology champions should deliver on business goals and performance metrics
Full insights from our industry leading interviewees:
David Castellani, SVP, Business Information Officer, New York Life
Damon Levine, former VP, Enterprise Risk Management, Assurant
Andrew Pelcin, VP, Claims Data Analytics, Chubb
Taking the mystery out of AI, Analytics, Blockchain, IoT and other technology is a riddle at the crux of change in insurance – don’t get left behind.