TECHNOLOGY
The insurtech industry has embraced automation solutions to improve customer satisfaction . We take a look at the drivers behind the new technologies
In the good old days , insurance was all about long-winded processes , paperwork , and bated breath . Customers often had to wait weeks while a claim was ‘ processed ’ to find out if a payout would be made . This was true , even if their lives were put on hold because of it . Manual due diligence and the underwriting process were not a job for the impatient .
But fast-forward a decade and the landscape has transformed . Along with smartphones and a swiftly growing IoT , insurance companies have swapped paper , pens , and calculators for AI-driven solutions , Robotic Process Automation , and cutting-edge platforms .
Many firms cite customer centricity as the primary driver of automation , because it speeds up claims , on-boarding , handles data with 100 % accuracy , and delivers services – sometimes in seconds .
However , it also cuts costs significantly and is one of the reasons why innovative insurtechs have been able to succeed and grow with alacrity over the past decade . Less manual processing equals fewer staff and swifter processes equal significantly greater capital to create and market products .
Legacy systems vs insurtech innovation “ It ’ s a case of seeing the grass is greener , technologically speaking ,” says Paul Morgenthaler , Partner at CommerzVentures . He explains although insurance companies were initially sluggish to let go of their legacy business models , the success of technological advances in other sectors has driven the change . “ Compared with most other industries , insurance was until recently under-automated .” insurtechdigital . com 61