Mobility in Insurance

December 26, 2013

The global insurance market is growing bigger due to increasing customer demand and highly-differentiated customer requirements.  To take advantage of this market opportunity insurers have to innovate to differentiate themselves from the competition and also to satisfy the changing  demands of the customer. Technology is one of the key levers on which innovation hinges. Mobility is the latest technology which insurers are leveraging to accelerate the internal work process, identify new channels to reach out to customers and other such areas.

Mobility opens up an alternate channel to connect with customers. The Insurers can use mobile technology for a faster premium/Claims processing. The customers find it easy to make payments through mobile devices. As a result, the duration /effort of the overall process cycle is reduced which saves cost too.  Some Insurers have begun to use Telematics(fitting mobile devices) in customer vehicles .This helps in accurate premium calculation and eliminate fraudulent claims. It also benefits Customers with low-risk behavior to pay low premium fee. Insurance agents  with mobile devices can collaborate faster to convert a potential lead into customer. Telematics enable the Insurers to monitor the work productivity of the field agents. Thus mobility can be a effective technological  tool for Insurers in business operations/expansion.

The customers interact less frequently with their Insurers. So, if the connectivity breaks during a premium payment (once in a year) through mobile, it can easily bring a bad impression on the customer service. Hence the Insurers should ensure seamless, fail-safe network connectivity for a satisfying user experience. Insurers need to support multiple mobile platforms/devices used by both employees and customers. The Customer information should be always protected from unauthorized access. A mobility strategy that handles encrypted data storage and transfer, network bandwidth and device/application management will enable mobility to be a sustainable innovative tool for the Insurers.