The past two years have taught the industry some crucial lessons. Most obviously that the market has changed forever, and servicing client needs will never be the same again. However, there are a number of other lessons we can take away.
1.Technology is an imperative
A major lesson we can take from the pandemic is the need for digital evolution. Building on the technology already in place and simplifying processes in the insurance space has been a fundamental business enabler.
Being able to adapt to changing business models and optimise workflows to ensure great customer service is directly reliant on innovation in technology. How we use it for the greater good of our changing client needs and also business process optimisation is up to us.
The great thing is that, pre-pandemic, certain businesses already started gearing up to be more digitally enabled, creating platforms for the adviser to adapt to modern consumer demands, as well as future-proof their business. This proactive step stood both insurers and their adviser network in good stead.
2. Intelligent underwriting makes a difference
We have learnt that automation of workflows is critical to reducing turnaround time and ensuring solid customer experiences – reducing paperwork by almost 80% and increasing claims processing by around 50%.
However, it is also about intelligent underwriting – business critical as it forms a cornerstone of client onboarding and experience. It ensures that the insurance application process is convenient, and uniquely aligned with the needs of the client by generating a premium suited to the client’s financial means and life stage.
3. Processes should be more client focused
Simplified and convenient sales processes that speak to financial needs analysis and outcomes in real-time are crucial. We need to make sure that we produce focused offerings, based on individual needs and affordability.
People also expect remote, time-saving processes. So, offering real safety and security for clients signing up for a new policy, for example, in the comfort of their own home through a one-time pin (OTP), has become the norm – a new age of remote acceptance. Financial advisers can make use of remote interaction processes to bring both technology and the human touch into play for the most efficient outcome.
4. We must create products that clients understand
But it is simply not enough to offer great technology – this has to be backed by products and benefits that are relevant, easy to understand and tailored to the client’s life stage needs. Clients want a proactive approach from insurers throughout the policy lifecycle that ensures 100% compliance and no surprises down the line. This simplification should include exact pay-out processes and restrictions – if any.
5. Faster claims processing wins every time
And of course, lastly, insurers that provide real-time claims processing are winning today as not only did they stand out in the market when claims processing was at an all-time high, but they have set themselves up for effective claims processing in the future. As we know, paying out a claim is the golden tool of insurance.
For those insurers and financial advisers who have not yet directed their business objectives towards digital enablement, there is no doubt that as they mitigate risk for the future and reflect on the past, this will become a cornerstone of every insurance business. The good news is that some of us were ahead of the curve with human-tech collaboration built into technology servicing, and it is insurers with a mature digital understanding – backed by advisers that see the intrinsic value – who will lead the pack into the next few years!