Life insurance coverage firms are committing to elevated underwriting efficiencies and improved danger analysis by accumulating extra information and investing in new digital processes.
A brand new Accenture Analysis survey, Clever underwriting, of greater than 500 underwriters discovered that insurers are prioritizing information use whereas additionally introducing robotics course of automation (RPA) and fashionable coverage underwriting platforms. These methods use quite a lot of information sources—some unconventional, similar to social media, and well being and wellness apps—to complement standard ones to supply deeper and extra actionable insights.
Working collectively, these new applied sciences can’t solely enhance underwriting effectivity but additionally create new alternatives by extracting better worth from a deeper information pool. That is excellent news for underwriters as a result of it permits them to look at danger extra totally than earlier than.
Want for effectivity
Bettering underwriting effectivity is a key aim for insurers, as a result of our survey discovered that new applied sciences have really elevated the workload for underwriters. They advised us know-how has had a optimistic influence on their underwriting efficiency, however as a lot as 40 % of their time is now spent on non-core administrative duties similar to information entry and information gathering.
Our analysis exhibits that insurers wish to enhance underwriter effectivity by investing in applied sciences similar to AI and Pure Language Understanding/Processing (NLU/NLP). The ensuing new capabilities, similar to automated information extraction from buyer or producer paperwork, will free underwriters from these mundane duties and drastically improve their capability.
Knowledge on the level of want
However these information are solely as helpful as they’re accessible; info turns into much more beneficial and offered to underwriters once they most want it. It’s particularly helpful for underwriters to have wanted information at their fingertips at key determination factors all through the underwriting workflow.
My colleague Michael Reilly describes this functionality as a “third-generation underwriting platform.” Such a platform enhances workflow and coverage methods whereas containing all the information underwriters want for danger analysis. When built-in into the underwriting workflow, these clever and automatic platforms present underwriters with the information and insights they want, once they want them.
Transformational change underwriters search
We predict these platforms can present the transformative change to underwriting that time options to this point haven’t addressed successfully. Having information on the level of want is vital to underwriting transformation.
Third-generation underwriting platforms maintain the facility to remove time spent on information administration, and might even transcend underwriting by offering insights throughout the life insurance coverage worth chain. Such insights may, for instance, affect product growth and distribution by figuring out and addressing alternatives in new and/or underserved markets.
We invite you to learn our newest white paper, AI-powered Insurance coverage: Automated Underwriting – Reimagining the life insurance coverage underwriting expertise for productiveness and earnings, to discover new methods to empower your underwriters. Please contact Michael or me to study extra.
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Disclaimer: This content material is offered for normal info functions and isn’t meant for use rather than session with our skilled advisors.