Life insurance coverage firms are committing to elevated underwriting efficiencies and improved threat 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 programs use quite a lot of information sources—some unconventional, akin to social media, and well being and wellness apps—to complement typical ones to supply deeper and extra actionable insights.
Working collectively, these new applied sciences can’t solely enhance underwriting effectivity but in addition create new alternatives by extracting higher worth from a deeper information pool. That is excellent news for underwriters as a result of it permits them to look at threat extra completely 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 truly elevated the workload for underwriters. They informed us expertise has had a optimistic impression on their underwriting efficiency, however as a lot as 40 p.c of their time is now spent on non-core administrative duties akin to information entry and information gathering.
Our analysis exhibits that insurers wish to enhance underwriter effectivity by investing in applied sciences akin to AI and Pure Language Understanding/Processing (NLU/NLP). The ensuing new capabilities, akin to automated information extraction from buyer or producer paperwork, will free underwriters from these mundane duties and enormously enhance their capability.
Knowledge on the level of want
However these information are solely as helpful as they’re accessible; info turns into way more useful and offered to underwriters after 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 programs whereas containing all the information underwriters want for threat analysis. When built-in into the underwriting workflow, these clever and automatic platforms present underwriters with the information and insights they want, after 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 get rid of time spent on information administration, and might even transcend underwriting by offering insights throughout the life insurance coverage worth chain. Such insights might, 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 supplied for common info functions and isn’t supposed for use rather than session with our skilled advisors.
