Published On: April 17, 2019
There is an increase of innovative new entrants into the insurance space; what effect will these disruptors have on the industry?
As we’ve talked about many times here in Modern Insurance Magazine, tech-savvy disrupters have been entering the insurance space over the last 2 years and making quite an impact. The basic principle remains the same, take historic problems that an industry has suffered from and use technology to solve them. But there is more to it than that, look at the Majority of Fintech success stories and they do two things. They make things easier and give you more.
To briefly jump to a well-known banking “disrupter” Monzo, we can see that in order to be effective they had to offer something that traditional banks didn’t. The way they allowed users to reap usage benefits and track spending easily, handle their money and bills with only a few clicks and swipes was pretty revolutionary in 2015. And now the chances are that your “Traditional” bank has since seriously upgraded their app which allows you to do more, such as depositing cheques and more?
So, what can we take from this lesson in the banking industry? Well in much the same way banks have reacted positively to new entrants into the market, we can expect insurers and brokers to as well. In fact, we can see brokers seeking out new technology to help with Brand and processes.
Insurance has moved online with “click and buy” and thanks to some people, claims… but there is greater scope for improvement. How about greater flexibility over your policy with access via your app? Want to drive to Morocco – a few updates and a payment from your app and you’re away. Want a breakdown of your commercial risk claims history instantly? Tap the button and expect to have it in the palm of your hand in a few moments.
The industry knows that disrupters have changed the landscape, expectations will keep rising and more and more Insurers, Brokers and Customers will align. With aligned needs met comes transformation, the technology is the easy bit, it’s the mindset and culture change that will unlock the big advancements.