How the Influx of Technology (Mobile Apps) is Disrupting the Insurance Industry?
The net premiums written for the year 2017 in the United States of America was $1.2 Trillion. There has been an observed 12.7% increase in the net premiums written in 2018.
A look at the figures mentioned above, and you can guess that the insurance industry is the biggest industry, not just in terms of volume, but also in terms of the monetary valuation. While technology is invading almost all the industries, it has massively impacted the insurance industry. You can see the seamless customer experience and the personalized solutions that is being meted out by this industry owing to the customer-centric technology-based approach it has taken.
While a lot of insurers are not really sure how technology will benefit them, they know that it is the way forward, and have slowly started accepting the new move.
The traditional insurance companies have to adopt the new age technology, not only because it is necessary, but also because it is the only way they can offer risk-free approach to their clients.
In the recent times, most insurance companies are finding it difficult to innovate. One of the main aspects that needs to be innovated would be the way security, storage and data privacy are maintained in the insurance sector. Apart from that the new business models need to be devised for the insurance niche.
However, none of the traditional insurance companies can perform this task without the help of technology. It is important for the reinvent themselves into InsureTech for the sake of innovation and promptness in solutions.
Here we will look at the technology trends that are transforming the insurance industry, and how they are aiding the stakeholders at various levels. We will also look at some of the famous InsureTech startups that have evolved in the recent times.
Tech Trends Transforming Insurance Industry and why you need to development mobile app for your insurance business
Personalization of Insurance Products: You can see that personalization is quickly taking over the insurance industry, in an attempt to offer better solutions for the end user. Not every insurance solution available in the industry can help the user. In the traditional world, the insurance distribution costs were ranked high. However, the digital models will solve the issue by cutting down on the intermediary cost. You can get everything from flexi-insurance options as well as peer-to-peer insurance solutions. You will need to use the technology to create APIs that will help you get insights into insured and offer solutions that are aligned to their needs. An understanding of the customer will help you offer better experiences, and assess their risks in a better way.
Artificial Intelligence with a Hint of Automation: Yes, this trend is getting better by the day. You would have seen the influx of AI in most of the other industries. This technology not only helps you with customer-centric approaches, but also helps you determine the way forward. The AI algorithms will help with better data processing for the customers, thereby allowing you to get hold of improved solutions. The AI technology combined with bots and automation will help relieve the people of most of the tasks they are involved in. For instance, handling the claim management processes and connecting with the people on a one-on-one basis can be done using the bots. You can reduce some of the repetitive tasks with the help of bots and AI. You need to instill these algorithms into the web or mobile solution that you are planning to devise for the insurance technology solution. The idea is to accelerate the whole process, and eventually make space for better experience.
Wearable and IoT for Analytics: Real-time data will help the insurers offer quick solutions and analyze the situation better. It helps them make informed decisions. For instance, the property and casualty insurers need the real-time data to understand when a particular event happened, and how much the end user was affected, in order to be able to process the claims faster. The wearable technology combined with IoT algorithm can help the insurers get real-time data regarding the incident, which will help accelerate the mitigation of these issues. The other ways in which technology will help the insurance industry. Drones can help gather real-time information for remote properties and help them analyse the situation.
Augmented Reality: It is very important for the insurance industry to reduce the overall costs of not just acquiring the insurance, but also offering solutions and training the people or end users on how to use these solutions. The AR and VR technologies can aid the InsureTech companies in terms of gathering the data and also using the insights in the right way. If you want to offer product information to your users, what better way than showing them AR videos. It will help them understand in a realistic manner. The VR technology has been used to facilitate the self-driving tests for the end users, and it helps the insurance provider choose an insurance solution for the users. The VR technology can be similarly used in the other insurance solutions too such as property and casual insurance, healthcare insurance etc.
Top InsureTech App Ideas
With technology disrupting the industry, and mobile being the go-to tech for most users, it has become important for the insurance industry to devise a mobile app for their business. The first question, however, is what kind of app solution can you define for your target audience.
The Claim Adjuster Solution: The claim adjuster in any insurance industry is the one with maximum work outside the office. A mobile app solution would help them be more empowered and productive. Even when they are travelling, the app would help them know the situation and offer claim solutions that would ease the lives of the end users. From having the documents available while travelling to being able to access the latest information on the claims, the claim adjuster app solution offers it all. You will need to pick and choose features that will enhance the customer experience with your app
Support the Sales Team: The second app idea that you can initiate for your startup would be supporting the sales team by giving them access to the information, and capturing real-time information. When the sales meeting happens, the sales team would want information on the potential customer, and what they are expecting. The app would help them avail detailed information on the same. Secondly, the salesperson can access all the information and material that is needed to sell the product. Finally, when the lead information is made available to the salesperson, they should be easily able to feed the same into the system
Customer-Centric Solutions: The final idea is to devise a solution that is meant for the customers. For instance, if the customer has to submit their claim, the process should be simple. The mobile app should allow them to upload the claim, the related documents and make it easier for the end user. In case of property insurance or car insurance claim, the user should be able to upload the pictures of the damaged part along with the insurance details and other real-time details. You can even integrate AI based solutions into the mobile app to know what exactly happened, and at what time it occurred.
Everledger was formed with the aim of offering insurance solutions for the high value products, in order to prevent fraudulent attacks, mitigate risks involved in owning them, and accelerate claim processing. The company uses Blockchain, and Smart Contracts to track and manage the insurance claims and solutions HomeLyfe is the other startup that is earning quite a bit of fame in the InsureTEch niche. Till now there were third parties and multiple sales people involved in catering to the insurance policy solutions to the individuals.
However, this app has removed all the intermediaries. With their intuitive app, users can easily get access to comparison quotes, as well as purchase and manage the insurance policies. It is improving the way you invest in home insurance solutions Coverdrive is a marketplace for the insurers and the ones wanting to get insured. It helps the agents understand the kind of solution the user is looking for, and guarantee the same to them. It is more like a digital assistant for the insurance industry.
There are many other startups that have redefined the insurance technology industry. With multiple features and a motive to make things easy for the end user, space is becoming competitive, inspiring more companies to tread this path.
If you are looking to be a new entrant in this space, and win over the competition, then you should connect with us right now. Email or call the Coruscate team, and we will help you with the apt solution for your needs.
Our experience in mobile and web application development, as well as an industry knowledge for the insurance niche, will help us give you the apt solutions. We can even help you devise the perfect app idea based on our understanding your business, its requirements and the end goals you aim to achieve.