In the wake of COVID-19, insurance customers are looking for more than most insurers typically offer. They are looking for protection from all forms of controllable adversity.
To meet these new customer demands, insurers need to move from traditional risk indemnification models to proactive risk mitigation and management. This means changes in both external, customer-facing interactions and in the insurer’s supporting technology and operations.
Protection without the asterisk
Customers who entrust their personal and behavioral data to their insurers demand that their data be used responsibly. That certainly includes protecting it from a security breach, but it means much more than that. Customers now demand that their insurers use data shared with them to help protect their interests—not just their assets.
Reimagining insurance internally with future-ready tech & ops
To achieve this kind of customer experience, insurers need to transform their businesses internally to be future-ready. In taking a future-ready approach, the insurer will rethink how all work is done across dimensions of people, process, and technology.
At the start of the pandemic, business leaders across multiple industries scaled their investments in technologies like cloud and AI. These technology transformations helped absorb the disruptive impacts.
However, the pace of change in operations across multiple industries, including insurance, is slow. Ninety percent of insurers say their operations are not future-ready. And nearly 60% say they don’t expect to be there within three years.
Incremental change is no longer enough. The events of 2020 revealed opportunities to elevate performance through new workforce operating models, increased cloud operations, and proactive digital customer engagement. Now, insurers have seen what’s possible and know they have the power to provide real-time monitoring of risk with expanded data.