How end-to-end automation can revolutionize the insurance industry

By Jamie Peers

The insurance industry has made a concerted effort to stay relevant in these times of anxiety and uncertainty, with nuanced products that meet the diverse needs of policyholders. A major aspect of this evolution has been the introduction of data automation. To meet the demands of modern customers, insurance companies have invested in automating several aspects of their business - from quote generation to claims management.

In a rapidly transforming market – with insurtech companies, AI-powered solutions and new market entrants emerging every day – traditional insurance companies are discovering that they must invest in end-to-end automation and comprehensive data orchestration to stay ahead. Insurance businesses can optimize operational efficiencies, increase return on investment and gain a competitive advantage by adopting true end-to-end data integration and automation across every aspect of their business.

Why insurance businesses must adopt true end-to-end automation

Insurance companies have labored under the illusion that they can continue to stand by and leave their insurance processes unchanged – however, incrementally digitizing specific processes can be considered a robust first step in leveraging the benefits of automating insurance processes. Insurance companies have complex operations and business processes. For example, an insurance carrier’s underwriting process involves stages of evaluation, risk assessment and endorsement, requiring review and sign-off. The entire process requires close management and clear visibility to prevent bottlenecks from slowing down the process and causing costly delays.

When a process is conducted manually, it becomes difficult to track progress accurately or to share information smoothly between various systems or departments, resulting in increased errors, poor communication and reduced customer service quality. The issues from manual processing then affect not only a single department but the entire company.

End-to-end approach: Connecting data, systems

First, a hybrid integration platform can be used to transfer data dynamically to a specific location. A HIP also can eliminate manual data entry processes as well as ensure that checks and balances are in place to ensure that tasks are accurately completed without manual review and sign-off. This kind of agile data movement can simplify and facilitate communication between different systems and lets businesses reliably automate processes between various endpoints and systems.

Streamlining the integration and automation processes allows companies to consistently implement iterations in a low-risk environment and improve synergy between departments. This is the crucial make-or-break stage, enabling insurance companies to successfully achieve their automation goals without disruption.

Benefits of end-to-end automation

Insurance companies are discovering the power of end-to-end automation. It was previously believed that several insurance processes could not be completed without manual intervention and could not be automated. However, companies investing in a HIP that makes it possible to access data from disparate systems can address these challenges and automate almost all their repetitive manual processes.

End-to-end automation enables insurance companies to minimize the time taken to complete specific insurance-related tasks across various departments within the company. For example, the time required to assess and settle uncontested claims can be reduced to days compared to weeks.

Several insurance processes still require human input, and naturally, these processes are subject to failures and delays caused by human error. Data automation eliminates manual processes, reducing the chance of human error while ensuring that necessary checks and balances are included to verify and confirm that tasks are completed with accuracy and efficiency.

In addition to eliminating human error, end-to-end automation enhances productivity and accuracy across the entire company and provides greater visibility into organizational processes. This results in better business insights and a deeper understanding of customer needs.

The insurance industry deals with allaying human anxieties and fears. The customer experience is extremely important from the first interaction, and a human touch is essential and expected. End-to-end automation enables faster business processes, real-time customer feedback, and insights, which improve the overall customer experience. The need for positive customer interaction is especially significant for traditional insurance carriers competing with agile insurtech companies built around exemplary customer service.

End-to-end automation allows for human resources to be assigned to the roles likely to be most appreciated by customers and create the most significant value. Adopting end-to-end automation can truly revolutionize the traditional insurance company - creating a faster, more efficient business with happier customers and higher profit margins.

Jamie Peers is vice president of business development and alliances for Synatic. Jamie may be contacted at [email protected].