Emerging Trends for a Digital World
The insurance industry is at the heart of digital disruption and convergence. Leading insurers are broadening and diversifying their products and services as they align to meet the changing needs of their clients. This includes investing in customer-facing, cloud-based digital innovations and creating unexpected new ecosystems that serve a broad suite of customer needs. Insurance carriers are also reflecting on their role in society, forging sustainability initiatives and championing diversity in their leadership and agents.
The machine-first approach to improve efficiency
The machine first approach will help insurers deliver consistent customer experience, enable straight-through processing, and design unique but simple products.Life and non-life insurers have leveraged commercial off-the-shelf (COTS) platforms to enable digital transformation in insurance. However, there is scope to further enhance value. This will entail reimagining business models rather than just digitalizing business processes and services. In our view, adopting the Machine First approach in insurance can help engender innovational changes to insurance business models, enable a swift response to market and macro-economic shifts, and improve operational efficiency by leveraging automation, artificial intelligence (AI), internet of things (IoT), and advanced analytics.