Learn how insurtech can be used to save time and boost revenues
If you’re interested in fintech, the technology that’s transforming the financial services sector, then insurtech is a niche you’ll want to have on your radar. Insurtech is technology that’s using innovative digital solutions to improve current practices in the insurance industry.
Combatting a bad sector reputation
Insurance companies haven’t always been well received by customers. They’re often perceived as being untrustworthy as a consequence of:
- individual bad experiences from poorly run insurers
- the view that insurers will go above and beyond to avoid paying out on a claim
- a lack of understanding of an insurers role
This can make building customer loyalty in the sector challenging. Insurance technology tackles this head on, making premiums lower, policies easier to understand, access and manage. Rather than trying to compete with new entrants to the market, some leading insurance companies are removing the threat of competition by partnering with disruptive start-ups. This extends their product and service offering without having to change legacy systems overnight.
Get more for your money
The premise of insurance technology isn’t to entirely replace the existing infrastructure of the sector but evolve it and maximise value. There is often resistance and panic surrounding digital disruption, but organisations that approach change as an opportunity rather than turmoil stand to see the benefits of digital.
Automation: McKinsey reported that using automation can reduce the cost of a claims journey by 30%. This is just one of the ways some insurtechs are reducing costs and improve efficiency for their customers. Adopting marketing automation into your digital strategy can help your organisation improve conversion rates, reduce churn and fine tune campaign activity.
Engagement: Digital solutions are helping insurance companies overcome poor customer experience. Creating an always-on service is being achieved through chatbots and artificial intelligence by insurtechs around the globe. Gartner predicts that by 2020 85% of consumers’ interactions with brands will happen via chatbots. Insurance companies need to be considering how they can maximise machine learning and IoT projects now or they risk falling behind the competition.
Data driven decisions: Insurtechs have taken customer pain-points and used digital techniques to develop their business models. By pulling behavioural insights from various channels like dashcams, wearables or mobile devices, companies are able to use personalisation to create relevant, timely and engaging user experiences.
Your organisation’s digital roadmap
By tackling existing frustrations with insurance companies, insurtechs are rebuilding trust within the sector through digital and stand to gain market share from traditional businesses that refuse to innovate. Using the Sitecore platform, we have helped leading enterprises realise and exceed their digital ambitions.