Insurtech: Fostering a Customer-Centric Business as a Primary Business Model
The world is well-aware of the fact, “life is full of uncertainties” and for this statement no testimonial is bigger than Covid-19. The onset of the global pandemic and its severity has completely shifted the user perception about insurance with more individuals realizing the need for financial backup to meet unforeseen medical expenditure to safeguard the well-being of their loved ones and self, in times of distress. This situation not only fueled the penetration of health insurance but also drove people’s attention towards other insurance, with a common quest to get covered for everything. In this following article we are engaged in one-on-one interaction with an industry veteran, Dipu KV, Senior President, Bajaj Allianz General Insurance, where he is guiding us through the latest trends and innovation. Let’s read through.
Portray us how a DAP affects digital transformation.
The word pandemic has not been easy on business; however, some businesses are thriving in the market by embracing a digital-first mindset. With such mindset, businesses are seeking latest technologies that support flexibility, increase efficiency, and boost productivity in order to rise above the noise. One such platform leading this digital revolution from frontend is DAP (Digital Adoption Platform) otherwise known as walkthrough software because the DAP literally ‘walks users through’ how to use their digital tools. With providing a live guide of sorts to end users, it enables them to self-serve and reap all the benefits of the business’s digital assets. It not only not only helps employee learn about the latest tool, but also teach them to use it to its maximum capability.
The path to digitalization across industries
After the sudden thud of the pandemic the world has become more dependent on the internet. From healthcare to education to retail every industry started dipping their toe in providing online services. While some industries are thriving in the market by adopting digital technologies, sustainability and change management as their new asset, some are still immobile and even losing potential to make through the digital race because of not accessing the possibilities around digitalization. Owing to the precise career journey, my viewpoint is amidst major developments around insurance, companies still find it a big challenge to change and adapt to legacy systems limitations due to a lack of building system limitations or a lack of tech expertise. Accepting the change and navigates through it, is something stands tall against implementation of digital transformation. Despite the reality that ‘Change is the only constant’ humans by their nature are still tend to enjoy comfort and routine as it gives them a sense of security. Most of the people neglect their fascinating ability to adapt to changes, especially when the change is huge. This employee pushback holds back many organizations to thrive in this digital era.
To leverage convenience, security, choice, and a seamless experience to their customers, today Insurance is more dependent in technology
AI is facilitating digital transformation and adding immense value across enterprises
With back-to-back technological breakthroughs, today the world is evolving at a rapid pace and so are People and Businesses around them and AI has a lot more to do with this. What has only been considered a thing of science fiction is now a part of household. This disruptive technology is now upending the world, and yes, every industry has succumbed to this megatrend. Undoubtedly, AI holds immense potential that has and will continue to alter the way people function in every facet of life, be it personal or professional. Be it retail, manufacturing, healthcare, or customer experience, AI has been exclusively deployed in many industries and is changing the future of work. One of the most significant contributions of AI towards human is the chatbots, a computer program that uses AI and natural language processing (NLP) to understand customer queries and automate responses to them, by combining AI with a more advanced and responsive way of autonomously learning. Also, it uses several data sources, starting from databases to websites, to improve the service without human intervention and crafts accurate replies and personalized messages, to foster a real-time feel for customers.
Today there is hype around businesses and enterprises that AI is soon going to replace human workforce, however, this is not at all true, as the human touch is critical in every business irrespective of their size and revenue. Rather than serving as a replacement for human intelligence and ingenuity, artificial intelligence is generally a wide-ranging supporting tool that helps rethink the way of information integration, and data analyze. With AI's ability to learn and improve with more data, it assists organizations in developing successful digital transformation roadmaps. Thus, AI will not replace the human workforce, but organizations that use AI will definitely replace those who don’t.
"Most of the people neglect their fascinating ability to adapt to changes, especially when the change is huge. This employee pushback holds back many organizations to thrive in this digital era"
Value does insurance technology bring to insurance firms
To leverage convenience, security, choice, and a seamless experience to their customers, today Insurance is more dependent in technology. Insurance technology, often referred to as "insurtech," brings a wide range of benefits and innovations to insurance firms. These advancements leverage technology and data analytics to streamline processes, enhance customer experiences, and optimize business operations. These innovations integrated with technology enables insurance companies to provide more personalized and user-friendly experiences to their customers. With the help of digital platforms and mobile apps, customers can easily access policy information, make claims, and receive real-time support, leading to higher customer satisfaction and loyalty. Above all, insurance technology brings agility, efficiency, and customer-centricity to insurance firms, empowering them to adapt to the rapidly changing market landscape and meet the evolving needs of their clients.
What are some emerging technologies that are expected to disrupt the insurance industry in the near future?
Consequently, the traditional forms of insurance are slowly making way for the tech-powered insurance of the future, along with innovations. Technology usage in the insurance industry has come a long way and the insurance industry is all set to be revolutionized like never before, with real-time connectivity, IoT integrations, big data, and blockchain coming into the picture. By easily integrating and leveraging innovation these technologies constantly disrupting the way the insurance companies operate. With a data-driven approach these technologies touch almost all business functions of the insurer such as Risk assessment, Underwriting, Claims processing and Reporting, to foster a customer-centric business as a primary business model.