Property, Casualty and Auto: Hot Trends for 2016
According to a recent J.D. Power conference in Chicago, over the next three to five years we can expect several trends to take shape in property, casualty and auto insurance. Here are the highlights.
Legacy systems, an Achilles heel amid rapid tech evolution
Not to paint with too broad a brush, but “technology” is the first trend on the list. IT is in the midst of a rapid evolution, bringing an unfolding array of benefits that bear a positive impact on customer satisfaction, policy pricing, claims processing and claims volume.
The challenge? Staying current. Now more than ever, insurers need technology that helps them take advantage of emerging opportunities instead of inhibiting that process.
Easier said than done in an industry plagued by legacy systems. “Forward-thinking businesses understand that clinging on to older, bloated systems cannot be justified when reputation and revenue is at risk,” Claims Journal said.
Millennial drivers are changing their behavior; big data could help insurers keep pace
Who’s surprised that millennials are behind another big emerging trend? These tech-savvy drivers are taking advantage of trend number one, technology, and it’s dramatically changing the way they use vehicles.
With car-sharing, ride-sourcing, public transit apps, GPS and multi-modal trip planning (to name a few), disruption is in the air. “All of these options will have some sort of affect [sic] on car insurance,” said Property Casualty 360.
Insurers must watch closely and stay light on their feet in order to be able to respond to emerging patterns in time. To that end, big data will likely prove invaluable to those with the software to leverage it.
Self-service an expectation that insurers should accommodate
Thanks to the mobile revolution, customers are keen to shop prices and purchase policies online, file claims on their smartphone, and receive digital updates as claims are being processed.
For insurers who lack the software to support increased accessibility and self-service options, this trend may prove painful. But it’s good news for those who are equipped to accommodate those desires. As policyholders demand mobile access around the clock, insurers receive an opportunity to improve the customer experience and strengthen customer retention with frequent, personalized interactions.
Mobile innovations could help insurers adjust losses more effectively
Mobile innovation hasn’t only expanded customer expectations for accessibility and self-service. It’s also introduced “a number of exciting options … that allow adjusters to use tablets, cellphones and other mobile devices to quickly and effectively adjust losses,” said Property Casualty 360.
As innovations continue to change the way the game is played, it’s important to stay modern, eliminate legacy and ensure a continuous upgrade path. At Silvervine, we can help you do just that. Contact us today.
Thinking about replacing your legacy system? Download our “Losing Your Legacy” white paper for an outline of key considerations.