Naturally connect technology and Artificial intelligence For industries such as communications, marketing and manufacturing. In the insurance sector, maybe not so much. Customers still receive cards in the mail, meet agents at their desks, and speak with claims adjusters. However, technology is changing the way insurers provide coverage and how policyholders receive service.
Technological advances are beginning to automate and predict standard insurance related tasks, from filing a claim to adjusting policy coverage. As the industry embraces things like artificial intelligence, machine learning, and other technologies, the relationship between service providers and customers is also changing.
More efficient processes and data analytics will not necessarily remove the human touch. However, these advances will increase accuracy, make information more accessible, and have the potential to significantly enhance carrier-customer interaction. From the perspective of insurance providers and customers, there are five ways technology is revolutionizing the insurance industry.
1. AI provides faster claims estimates.
Usually when the policyholder files an automatic claim, the officer must be present to assess the damage to the vehicle. The customer initiates the claim online or over the phone and must wait for the officer to meet them. The officer looks at the car, notices defects and losses, and comes up with an estimate. This estimate can take several days, extending the time from initial customer contact to payment.
Meanwhile, the customer is likely to be without his vehicle or stuck in a vehicle with obvious damage. Artificial intelligence is speeding up the time it takes insurers to submit and process estimates. Instead of waiting for adjustments, policyholders can use the apps on the spot to take photos of the damage they need to repair. that Artificial intelligence based algorithm Comes with an estimate within seconds. This allows insurance companies to get paid for the policyholder or repair shop in a timely manner.
2. IT is to determine the premiums.
Remote communications may not be a term familiar to many insurance clients. But they may know about this emerging trend in auto insurance premiums from current carriers. Some insurance providers send out billing letters and emails that tout new technology that tracks customers’ driving habits. It is a monitoring device that enters the vehicle and records the driver’s habits.
These devices are used to collect data, including locations, speeds, driving distances, and accidents. Insurance companies then take into account this information to determine individual premium costs. In theory, aggressive drivers and those who log more miles may end up paying higher premiums. Conscious customers and those who drive less will pay lower prices. Telematics enhances the accuracy of risk assessment for service providers and rewards drivers with good route records.
3. Drones assess damage.
In general, the use of drone technology is increasing in many industries. Current forecasts indicate that the market will reach a value of more than 63 billion dollars by 2028. The estimates also reveal that the compound annual growth rate of the market from 2021 to 2028 will be around 16%. The insurance industry is already contributing to this growth by using drones to assess damages. Homeowners filing claims for roof damage or storms may soon be surprised to see a drone flying over their property.
Instead of relying on rooftop inspectors, insurance companies can send out drones to take pictures of hail and wind damage. The use of drone technology increases the efficiency, accuracy, and security of these assessments. Service providers can use drones to reach areas inaccessible to humans after severe storms. This technology also has the potential to pick up damage from impractical or dangerous angles that humans cannot reach.
4. Machine learning is the automation of claims models.
Filing a claim after a major car accident or emergency can be nerve-wracking. Anxiety and trauma can make it difficult for clients to remember important details, such as the time of the event. Going over the form details online or with someone can be too much for the policyholder to handle and often contributes to added stress. However, insurance companies often stress the importance of filing claims promptly.
machine learning It removes some of the burdens that customers may face during the claim process. Pre-filled forms with data from the customer’s history and policy eliminate the need to duplicate information. Machine learning reduces the possibility of errors during the filing process and increases efficiency. Even simple claims such as windshield repairs are streamlined as contractors submit claims to customers using their policy numbers.
5. Social media makes customer service easier.
No one wants to wait in line or spend hours wondering if their insurance agent has received their letter. Before Social media And chatbots, this was the reality for most policyholders waiting for a phone call. Asking a question, trying to create a new policy, or making changes to your existing coverage can take weeks. But now that insurance companies are on most of the major social media platforms, receiving customer service is even easier. Chatbots and email can be ways for customers to get help when they need quick answers to things like policy and coverage questions.
Research indicates that messaging is Now in second place Among the customer service channels that consumers use. Social media chat and instant messaging bots can handle routine questions about updating addresses, changing discounts, and submitting claims. The customer can send direct messages on social platforms and get responses on the same day. Often, carriers can provide solutions within minutes or at least roll the ball. Satisfaction increases as customers receive better service.
Technology in the insurance industry
Technological developments affect the way customers and businesses interact with each other in many industries. Insurance is one of those, as carriers are incorporating technologies such as artificial intelligence and machine learning into their business models.
Service providers and customers alike will benefit from these improvements as coverage and service become more accurate. Not to mention simplifying operations and increasing accessibility. Connection between humans will continue to play an important role, but technology is here to stay and will continue to play a role in elevating the overall customer experience.
Featured image credit: David Peinado; Pexels.com. Thank you!