They say change is for the brave. In times of profound transformation, like the one we are living today, changing is no longer optional. The new possibilities that technology opens up have revolutionised an extremely traditional part of the economy: financial services.
The combination of finance and technology (which can be seen in the term FinTech) has led to open banking, forcing banks and other financial institutions to transform their vision and accept the new players and competitors offering services (services that had often been their exclusive domain). And, as it takes time for the wheel of change to stop once it gets going, other segments, like insurance, are also destined for transformation.
Clients at the centre: change as an opportunity
Fostering competition is one of the main focal points of Open Banking, but it’s not the only one, or even, possibly, the most important. The aim is to put clients at the centre: promoting quality in everything on offer and improving their experience as a client. A challenge? Undoubtedly. But also an opportunity. In competitive environments (and the insurance sector is surely one), those who innovate with more than just their own profits in mind (thinking also of consumers’ best interests) are the ones that stand out. Turning back to folk wisdom, we could say that these are the ones who end up grabbing the brass ring.
Three steps to stand out from the competition
All the reports, national and international, agree that the InsurTech sector (insurance and technology) is one of those that will grow (and change) the most based on open banking and the new business opportunities popping up thanks to technology (artificial intelligence, the Internet of Things, big data). All of this will allow them to gain clients’ favour with personalised (even on-demand) deals in every segment of business, including health insurance.
Sounds good, doesn’t it? But, where to start? The task seems so enormous. The answer is to prioritise and make choices. At Unnax we know there are three steps that will bring this shift to a successful conclusion in any company in the insurance sector: make it easier for clients to sign up (avoiding those who walk away during complex registration processes), boost conversion with personalised offers (because open banking puts clients at the centre, so they aren’t going to put up with any less) and automate processes to cut administrative costs (so the transformation doesn’t go hand-in-hand with increased complexity, and adjusts to your business’s workflow).