Retail industry experts describe 2018 as the year of AI and voice technology. The world has moved on and adopted the technology and that will be also applied to the insurance industry.
The insurance industry is shaking hands with evolving technologies. The latest study by TCS shows that the insurance industry outspent an average of $124 million in AI systems.
Most insurers have chatbots and AI on the screen. Insurers are learning how chatbots can enhance sales and marketing, underwriting, claims, and customer service. About 80% of insurance underwriting will be automated soon. The Chatbot, which is shorthand for automated insurance is on the rise, and the P&C industry is beginning to comprehend how this evolving technology can be best explored.
The world’s first Chatbot was called Eliza. “She” was a computer program wrote in 1966 by Joseph Weizenbaum. And since then, they have been used to speak to people. Chatbots are a form of AI that enables insurance businesses to stay accessible to clients 27*7 — even when employees are engaged in other duties or out of the office. Chatbots by assisting thousands of queries simultaneously can allow fresh efficiencies in the insurance industry and are now being used to support both clients and agents in many fields.
As technology improves, chatbots are likely to flourish in the data-intensive insurance industry where their capacity to spot trends and cross-reference data will enable them to create informed choices rapidly.
Chatbots can enhance the experience of customer service ranging from risk analysis and validation of claims to algorithms that allow smart human conversation, creating a world where clients have 24/7 access to insurance professionals.
As easy as a Human Conversation
For clients to provide information, the conversation is a simpler and more convenient process than tedious form-filling. A chatbot is merely an algorithm that can generate a natural human discussion for answering questions and providing data.
Chatbots are used to provide policy citations, account and accounting data, and in the case of certain insurance techs, easy claims are processed.
In the insurance industry, chatbots are increasingly used to assist agents and in customer-facing applications such as boarding fresh customers and claims for processing.
Currently, there are more than two dozen insurance clients who use conversational bots for multiple uses ranging from customer service to inner help desk. Bots are also accepted for underwriting assistance, consultancy services for agents and for onboard support for HR teams.
Real-life Humans talking to Real-life Computers
The technology has changed the interaction of customers with mobile devices. Chatbots take a rigid strategy to comprehend words and sentences and in seconds can answer questions correctly.
On average, about one in four consumers at this point prefer chatbots for many insurance interactions. As these chatbots grow more advanced, they are becoming more comfortable to use by businesses and customers.
On the customer-facing end, one of the greatest benefits of a chatbot is that it is accessible 24 hours a day and does not involve human intervention. They can also “talk” with thousands of customers and respond simultaneously to thousands of issues, enhancing communications effectiveness.
While it’s still early days for the industry, there is great potential to provide a more personalized experience in the customer’s choice channel while tapping an information source to further comprehend user practices and personalize the customer experience.