Digital Transformation, Cost Reduction and Process Improvement.
Embracing true digital change in the insurance industry from removing legacy technologies, to streamlining operational processes and improving the customer experience is easier said than done.
Recent socio-economic events have highlighted the reliance upon legacy ways of working, the fragility of some operating models and how an insurer can be negatively impacted if one of its business unit experiences trade complications.
The time for change is now unavoidable.
The insurers that will lead in the future are those that will take action to embrace digital experiences, truly understand their customers, utilise automation, and future proof their operating models by investing in data and digital technologies.
Dun & Bradstreet, through its products and service offering coupled with its global Insurance industry experience, is an ideal partner to support the industry through this change.
Customers across all sectors are largely price sensitive, less loyal and sometimes even unclear as to who their insurer is as offerings can feel very similar. Rising customer expectations have started to give rise to more holistic risk services that are personalised, device orientated and easy to use.
Consolidation has increased and consequently, market differentiation is a growing problem for consumer choice. Distinct new offerings present a huge opportunity for first movers.
True product innovation has been lacking in the sector. Data and analytics combined with behavioural economics can help innovative Insurers expand the type of product offering to their policyholders.
Investors, regulators and governments are increasingly focused on the industry’s consumer response to defining events, i.e. pandemics, catastrophes, flooding etc. The industry must look to optimise it’s costs and modernise operating models to future proof their business against a rise in claims and consumer demands.
Insurance is experiencing both internal and external disruption. Investment Banks are providing Insurance Linked Securities, manufacturers are offering point of sale insurance and Reinsurers are increasingly targeting primary insurance etc. Non-traditional players, such as InsurTechs and FinTechs are also redefining customer expectations and product offerings.
The rise of new technology trends such as IoT, big data, AI and smart technologies all present opportunities for insurers to become more efficient, process driven and cost effective. Innovative insurers will be able to offer new ways of consumer interaction, automate procedures and provide tech enabled risk prevention products.