Earning more money may not be the most pressing concern of the consumer insurance industry. Insurers also need to retool their departments to handle change faster, a reasearch by the insurance Web analytics company Cybersight suggests.
Many activities are online now, so insurers need to rethink how they maintain records such as hours worked, and claim – processing tasks. Complex automated processes, integrated with existing customer and third-party tools, would help them create more value for their customers, the research suggests. Claims in particular have traditionally been a manual process, but the benefits of digitalisation could revolutionise the process of paying people out of real money. The company did not reveal specific results.
Saving money could turn out to be the biggest benefit for insurance companies in the long run. The company focused on workers’ compensation and industrial and commercial insurance, but the process of inspecting and rating claims would be applicable in other sectors.
The traditional definition of “insurance” may need updating as data becomes more valuable. What was a common claim is now often closely monitored through the Internet as contracts are commercial documents.
Andrea Miteski, PhD and MD in the field of reinsurance. Long term senior insurance executive with specialization of reinsurance optimization.