Insurance agencies and brokers often involve large amounts of documentation and other back-end processes. As agencies scale, these back-end processes consume most of their resources and weigh down on costs. When agencies handle diverse operations such as policy checking, claims processing, underwriting, providing policy quotes and more, manually handling these tasks cause several delays in achieving business success. This leads to poor customer service and delays in business promotions, and the achievement of profitable goals.
This makes it mandatory for the insurance industry to inculcate new and advanced technologies to meet their deadlines and also ensure a completely error-free process.
Most insurance companies are, as a result, moving towards new technologies to simplify their process and have a competitive edge in the industry.
A large volume of data can be analyzed in a very short span of time through technology. Apart from chatbots and artificial intelligence, the industry can also use Robotic Process Automation (RPA) to enhance the efficiency of their operations. Here are some of the processes where RPA is being actively and efficiently used by the insurance industry
Underwriting consists of information being collected from various sources to assess risks associated with a certain policy. It is known to be a long, time-consuming process.RPA can gather and process the data automatically and result in better overall performance considering the speed that automation comes packed with. This ends up freeing around 30 percent of the work capacity with complete accuracy.
Claims processing is very data and document intensive. It involves the collection of data from many sources. A claims process that is manual and lengthy can frustrate both customer service and operations. RPA helps insurers in easily gathering data from various sources to be used at centralized documents, so the claims can be processed a lot faster.
Manual data entry processes
There are several instances in the insurance industry where data is entered manually into the system. Policy checking, insurance claims and policy quotes are just a few of them. This is time consuming and expensive, not to mention error-prone. RPA gets the work done in no time, without errors.
Many insurance firms depend on legacy applications for handling many of their business functions. Whenever new ERP or BPM solutions are implemented, insurance companies face challenges in integrating them with the legacy applications. RPA can essentially be integrated with the existing system as it is compatible with any type of system.
Insurance companies rely on many compliance standards, including the HIPAA privacy rules, PCI standards, tax laws and more. These standards either change and/or get updated with time. The implementation of RPA makes it extremely easy to stay up-to-date with the compliance standards.
Scalability with the needs of the organization is a major advantage with RPA. AI-driven BOTs are capable of scaling up and down at any point of time based on the demand.
Blending new technologies with existing systems
Time consuming and redundant processes in the insurance industry can be made a lot easier by using image classification for claims and text analytics for handling customer queries. These systems can also be seamlessly integrated through RPA.
RPA also saves a lot of time when it comes to policy cancellation. Cancellation through RPA will only take one-third the time taken by manual cancellation, once the basic criteria have been met. This now helps the customer service executive focus on making retention attempts reducing revenue losses.
The form registration process is also enhanced through RPA. Form registration through RPA essentially requires only 40% of the manual time and effort and less than half the staff. Automating form registration will also get rid of human errors which will creep in when there are several forms to fill.
There are undoubtedly many advantages to digitizing processes in the insurance industry. Exdion offers the latest InsurTech solutions for the Digital Age Agency through a combination of state-of-the-art products like Artificial Intelligence (AI), Machine Learning (ML), Deep Learning, rule based e-BOTS and RPA.
Exdion has, through the use of RPA and AI, minimized or completely eliminated human dependency, improved the retention of customers and made the insurance process fast, accurate, secure and scalable
Get in touch with our experts to know how your industry can benefit from RPA.