Technology and insurance? Who would have guessed these two words would be in the same sentence. Though the financial world isn’t known for being at the forefront of innovation, that’s changing. Technology is dramatically reshaping the insurance industry, changing the way insurers conduct business. It’s an exciting time to be in the insurance industry and witness the technological shift. Whether it’s contractor insurance, life insurance, or disability insurance, expect the wave of change to hit every corner of the industry. But what are the tech trends you’ll witness? Let’s find out.
Consumers do not come in a one-size-fits-all box. Instead, consumers are complex and more educated about the options in front of them. That being said, they want their insurance to work for them. Firstly, insurers are changing their policy construction, creating personalized packages for customers. In addition, customers will be able to “pick and choose” elements of insurance online. Self-service gives more control to the customers, reduces human error, and wait time.
Say hello to Blockchain
Though blockchain has been around for a while, recently it’s been introduced to the insurance industry, but not for the purpose of Bitcoin. Instead, to enhance security, the insurance industry is adopting blockchain to protect client and company data. Any piece of data will be encrypted, preventing fraud and theft.
Increased online experience
Prior to buying insurance, whichever insurance it may be, consumers are interested in researching the product online. They’re not going to give their money to something they haven’t double checked on. Insurance companies are now focusing on providing customers with improved communication through mobile channels. The world is now digital, and if insurers aren’t embracing the times, they’ll fall behind. Companies are now focusing on tech-friendly features such as self-service, chatbots, and mobile apps.
When it comes to obtaining health insurance, companies don’t really know the health of their customers. However, through biometrics, insurance companies can track a person’s health through these wearable devices. Not only will these devices alert the insured of a possible medical problem, but, it will allow insurance companies to provide lower rates to those who exercise.
Artificial Intelligence (AI)
AI is making a massive impact in most industries as this technology is working with blockchain and big data to enhance user experience. Most insurance companies are and will use chatbots as a way to improve customer service, giving the user a more personalized experience. In addition to providing customers quick responses, it also reduces company costs. Through AI, insurance will be easy to purchase and will reduce human error. And as AI continues to develop, customer service will eventually become entirely robotic.
Who knew the world of insurance was undergoing such a big change? As you can see, these tech trends will undoubtedly influence and improve the industry. Well, it’s clear that the future is here, and will make processing and purchasing insurance that much easier for people around the world.