The embedded insurance provides a comprehensive integration of the insurance, bundling the coverage of a product or service, enhancing customers feeling of trust, protection, and safety. Integrated insurance solutions, specifically shared-economy platforms, retailers, and bancassurance platforms focused on B2C´s experience, can increase revenue by ten percent, and enhance customer lifecycle.
This article aims to shed light on embedded insurance solutions, covering questions about what the bancassurance providers must expect along the integration process, preparing to enable integration, and sharing a glimpse into automated claims processing.
Before you start: Challenges in a nutshell
Likewise, as in other industries, to enable digitalization within the organization, the IT infrastructure and environment are vital elements to access it. Although legacy systems play an essential part in the core business and development, they also slow the performance down. That can be resolved with a digitalized solution in the form of a landing page, deploying frictionless data transfer from embedded insurance solution to the legacy system.
But how about Data Privacy? When it comes to Data Protection, currently, there’s an ongoing procedure occurring, clarifying the potential restrictions in accessing and sharing insurance-related data in the open finance sector. The EIOPA’s ‘Discussion Paper on open insurance: accessing and sharing insurance-related data’ covers an overview of benefits, risks, and solutions on data sharing for the enablers and policyholders.
Expected to be launched on April 28th, the Year 2021, the publication will substantially impact the regulatory framework and further developments on data collection and processing in the open-finance field.
Automating Insurance claims processing
The embedded insurance is a win-win for all involved parties. Starting from insurance providers, non-financial retailers, product manufacturers, digital platforms and software companies, and, of course, the banking industry.
Here’s a comprehensive overview of how enabled automated claims processing serves the bancassurance sector:
Categorization of incoming communications
Today’s customers expect to have problem solutions right away, not wasting their time. Fast and clear feedback to the client offers the business’s most significant benefit, differentiating it from other competitors and gaining competitive advantage.
Thanks to the technology, the average feedback time can be reduced, having emails, scanned documents, and attachments classified and automatically routed when and where it matters – in internal and external processes.
Pre-filled web forms
When the claim is announced, filling out long web forms is a time-consuming and risky challenge. Why so? With so many fields, many incoming data, there is a risk of error. The embedded technology prevents human slip-ups and reduces resources when it comes to storing, receiving and processing information.
Track and measure every progress
Finally, automated claims processing enables tracking the claims process, starting from the first notification of the loss till the payment. Thanks to automated claims handling, all information is implemented and monitored in one place – one system. According to industry data, fraud accounts generate around ten percent of all claim costs.
Automated claims processing not only improves the monitoring of the data but includes fraud detection. That hits two rabbits with one shot.
No doubt, automated claims processing brings opportunities and benefits for different industries and parties involved. More information on that we will cover in the upcoming article series. Embedded insurance solutions have improved the efficiency and the performance of the businesses, leaving all parties in a win-win situation. Explicitly addressing the financial sector, automated claims processing enhances the processing speed and provides clear feedback to the customers; as a result, impacting customer stickiness and trust.
The automatic processes help prevent human error in data import and reduce time resources for data collection and analysis. Lastly, automation helps organisations to regularly keep track of the claims’ status, from the first notification till calculating the payment amount.
Have questions on how to accelerate digitalization and implement automated claims processing in your business? Ask us right away!