Improved Processing Time
Reduction in Leakage
Insurance companies must process vast amounts of data into actionable insights to improve underwriting, claims, and policyholder service. At the same time, they face many other challenges like disparate input media, legacy systems, and ever-changing regulatory requirements. Robotic process automation (RPA) enables organizations to quickly access data across disparate systems, automate repetitive manual tasks, and support their digital transformation. With manual processes automated, employees can focus on developing innovative insurance products, accelerating claim handling, and improving fraud detection.
Over 40% of Property & Casualty (P&C) insurers have already begun to deploy RPA to increase productivity and improve the quality of their claims processing operations. However, by leveraging AI/ML, hyperautomation enables insurers to increase automation potential by another 20–30%. In addition, many administrative functions are prime for automation, including Finance & Account, IT, HR, Agent/Vendor Management, and contact center operations.
Insurers must now offer multi-channel claims intake and processing to meet customers’ needs. RPA is an important digital asset, along with AI/IoT/Mobile solutions, to meet this challenge. RPA can be deployed throughout the claims customer journey, including:
- Intake & Triage
- Verification and Adjudication
- Invoicing & Payment
- Fraud analysis
It is common for insurers to see a 20-30% reduction in processing costs and time, along with 15-20% reduced leakage.
New Customer Review & Approval
New customer review and approval is a critical touchpoint that can be costly and error prone. It has been proved that a robot can accurately perform many of the necessary steps, including:
- Gathering and Reviewing background data across multiple sources
- Verifying identification data & completeness of application
- Inputting data into a CRM system
- Calculating the insurance premium
Once completed, the robot can send all necessary information to Underwriting for sign-off. Processing cost and times are reduced, customer experience is enhanced, and accuracy is greatly improved.
Servicing & Billing
Insurers must handle a large volume of changes, renewals, and cancellations in addition to routine billing and collections. A robot can monitor a customer database, and send renewals, past due reminders, and cancellation alerts. It can also verify multi-policy discounts, updates for pre-renewal billing, and complete the invoice process. If a customer initiates a request — whether by email, chatbot, or phone — a robot can use AI/OCR/NLP to interpret the request, pull necessary data from numerous systems, and either forward the information to the designated agent or initiate the appropriate response. Speed, accuracy, and customer experience are all improved, with many insurers seeing a bump in NPS scores of up to 10%.
Marketing to Existing Policyholders
Customers leave because they want better prices, faster service, and/or feel appreciated. We have already addressed how RPA can help improve service, RPA can also be used to enhance customer relationships. Based upon specific events, a robot can continually monitor a customer database and reach out to a customer to congratulate them or even notify them of new or changing options. Or taking it another step, an insurer created an algorithm to score customers’ risk of cancellation and then deployed a bot to run the model daily on the customer base and send targeted lists to its large agent network. This not only saved costs but delivered more timely communications and reduced customer attrition.