Insurance in the Digital Age - Growing Pains
The Insurance Industry has been one of the last major industries to fully embrace the digital world. Insurance has long been the domain of personal interaction, with many of us still able to remember the door to door sales approach taken by the Insurance agent of the past. In many respects a good number of the processes employed back then are still used by traditional insurers today.
So, what are the reasons why traditional insurers have found it hard to adapt to full digital solutions? Well there are many underlying factors for this. If we look at Life Insurance as a product. Life Insurance policies typically require in depth assessment on the part of the insurance firm. Survey questionnaires are often complicated and involve many sensitive personal questions. The idea of a customer supplying private medical information over the internet to a company has faced sluggish adoption. Complex questionnaires, when transferred to online software applications by software developers can often become more complex and exceedingly frustrating for end consumers. Insurance companies have had to remain mindful of this, in an industry, which is extremely competitive. Any IT system seen to be impacting revenue is likely to be shelved in favor of financial results. IT Governance has also played a role in slowing down the pace of change in the insurance sector.
Insurance is typically one of the most rigorously policed industries and strict governance is not always the friend of innovation. The good news is that things are changing. IT departments are being restructured to support innovation, digital labs are delivering some good ideas, and CIO’s are learning to look outside of internal departments and make strategic platform acquisitions. There are also many new and innovative mobile development players in the Insurance market who are pushing the boundaries of disruption. As a software development company with a great deal of Insurance exposure Red Sky Digital Singapore is an excellent choice of app development partner for companies in this sector looking to make a difference.