Insurtech is the fastest-growing segment in fintech. The insurance industry is experiencing rapid digitization. As a result, many insurance companies employ platforms that use AI and machine learning to streamline their processes and make them more efficient for the end-user.
The Kanopi Insurtech platforms host innovative technologies that allow insurance companies to reduce their customer service expenditure while raising the customer service levels. With so many Insurtech platforms on offer, how do you know which is the best platform for your business?
Here are some practical tips to help you choose the right platform.
Insurance That Adapts to Customer’s Needs
Traditional insurance products follow the one size fits all model. In today’s world, customers need products that meet their precise requirements. As per a leading survey, around 28 million people in the US are uninsured. A large section of the young population finds traditional insurance products unattractive as they do not meet their needs.
Gen Y is the biggest target market for insurance companies. As per recent data, members of the Gen Y generation hold deficient insurance policies, 3.7 on average. So, the younger generation thinks they are just an audience for insurance companies and not customers as none of the insurance products is designed to meet their needs.
The Insurtech platform you choose should offer insurance that covers the customer’s needs and when and where they want it. So, the insurance products should be customized as per customers’ needs to ensure they find value in them.
Simple and Instant
One of the reasons for the younger generation turning their back towards insurance products is the traditional route they need to take to buy insurance policies. For example, to take out policies, they have to visit the offices of an insurance company or an insurance broker. So, the second option is a visit of an insurance agent at home, and the third option is buying insurance online.
The insurance companies need to look for an Insurtech platform that makes purchasing insurance products fast and straightforward. Gen Y is quite comfortable with computers and the Internet and is customary in buying what they need. Kanopi, an Insurtech platform, does not require customers to fill out lengthy forms and submit them to insurance agents.
Customers can even fill out the application form online and upload documentation as a picture on the platform. The Insurtech platform should make the customer onboarding process transparent and understandable.
Data-Driven Products
The Insurtech platform should utilize machine-learned data to create insurance products. The company should convincingly offer target-based products. For example, the younger generation interested in occupation disability insurance or policies with retirement provisions.
The Insurtech platform should allow insurance companies to design data-driven products to establish themselves in the heart and mind of the target audience.
Smart Pricing
The cost is an essential factor in insurance products. So, the Insurtech platform should help the insurance company smartly price their insurance products. The easy availability of information enables customers to check whether they are paying for insurance coverage they need or paying a fixed (high price) for cover that they do not need at all.
Conclusion
The Insurtech platform should customize the insurance products to customers’ needs and follow an intelligent pricing strategy to help customers see they are not paying extra for cover they don’t need.
So, these are some factors to focus on when choosing the best Insurtech platform for your business needs.
