Digital transformation is revolutionizing the insurance industry, which is quickly catching up with the financial services and banking industry in establishing a digital connection with their customers. By embracing mobile technology solutions, insurers are gearing up to provide similar self-service options for discerning customers to meet their rising service expectations. However, many insurers are still deliberating to launch their mobile app despite the apparent benefits and prefer to maintain their status quo with traditional touchpoints. It is not for lack of interest, but perhaps the lack of understanding of the full value a mobile channel can deliver to the organization. In this post, we revisit why it is beneficial for an insurance company to offer a mobile app to its personal lines customers, and examine the typical barriers that hinder the fruition of such a plan. The intent of this post is only to urge insurers who are falling behind to act soon, and close the ever-increasing gap in meeting customer expectations.
Apart from the apparent ease of use, competitive pricing formulated by data-backed business processes, customer’s preference for digital solutions and online engagement are the key factors that make mobile technology a dominant choice. The ease of access delivered by a mobile channel is unprecedented, and its growth across customer demographics is exponential, with multiple apps being launched, offering a variety of capabilities to the connected population. The huge popularity of the mobile channel is due to its ease of access that allows companies to piggyback on this advantage and offer their services anytime, anywhere.
Insurers who have had the foresight to adopt mobility early are already reaping significant benefits, such as:
There are several perceived barriers to the development and implementation of a sound mobile strategy. More often than not, these barriers are self-fulfilling prophecies if not resolved quickly -
While all of the above points may inspire insurers who do not already have an app, to start their mobile journey, they must be cautious to not go to the other extreme of getting entangled with the need for a comprehensive digital roadmap for the company, before any action is taken. Taking such a position and direction could delay meeting basic and urgent expectations of the customer, and cost the company even more.
Getting started with app development even before all the i’s are dotted and t’s crossed, would be a no-regret move, as its natural that any digital blueprint would include development and launch of a mobile app, if not already done. Companies must certainly have a vision about the future, and get a technology roadmap in place which aligns with the corporate goals, but those are living documents and likely to change every year with new information and conditions. The mobile app features and services can enhance and change based on what the digital strategy would outline.
Pundits are already saying that the future of insurance is here in the form of personalized products and coverages, enhanced customer-service, big-data analytics and machine intelligence-enabled risk selection, tailored pricing, and so on.
Companies like Xemplar are paving the way with configurable solutions containing rich capabilities to catapult insurers into the connected world. Insurers that are falling woefully behind on their digital presence should consider “buy” versus the “build” to leapfrog ahead. Customer demands are real, compelling solutions exist, and the cost to change status quo is negligible compared to the significant returns that can be derived. Getting started as soon as possible is the easiest decision one could make in these challenging times.
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Over the last 24+ years, SK has been at the forefront of delivering technology solutions in Property & Casualty. For the last few years, he has been spearheading the development of risk management solutions at Xemplar Insights, LLC. As the head of the business, SK passionately leads R&D and product engineering teams to advance the Xemplar product portfolio. He is continuously associated with customers, prospects and industry partners in solving their chronic business issues with cutting-edge technology.
Personal Auto insurers and Agents can harness the power of this configurable digital platform to advance their digital strategy, while simultaneously increasing customer engagement. Platform provides the capability to gather new risk data to develop new insurance products and services.
Commercial Auto insurers and MGAs can discover the true potential of data to explore new opportunities for risk management and enhanced service for their commercial accounts, who in turn can implement additional safety controls within their fleet to lower the risk exposures.
Xemplar Drive - Business
Commercial businesses operating a fleet of vehicles can now monitor the driving habits of their drivers - to reduce risks of drivers, vehicles and the goods within. This is a direct-to-business telematics solution can help organizations improve their bottom-line.
Xemplar Drive – Family
Parents can now leverage the same technology to help coach young drivers in the family, using this direct-to-consumer offering for a low-monthly fees, with no long-term commitments.
Our journey began in early 2015 while experimenting with smartphone technology to analyze motion patterns that led us to develop an innovative and economical solution for risk management and customer engagement. By the summer of 2016, we released the first generation product for a market test with beta customers. Based on the feedback, new ideas and more research, we launched the second generation solutions in April 2017.
Xemplar solutions are designed to provide simple yet powerful features - to curb unsafe driving habits and offer auto insurers with new data to analyze the health of the book and to predict losses with real evidence of risks taken by the insured. Our solutions are highly configurable and customizable to suit every Insurance carrier’s appetite and objectives. It is economically priced to deliver high-value at low cost. With teams located in the United States and India, Xemplar solutions can support insurers and commercial businesses of any size, to transform how they monitor manage driving related risks.