The CGI UK Insurance team have been working on the CGI annual Voice of the Client survey for 2021 and have been reviewing the thousands of hours of interviews that CGI has undertaken with our clients, analysing the trends in the responses. It’s a valuable source of insight.
Looking at the data, it struck us how far we have come in the last year. The London Insurance market shifted (practically overnight) to remote working, and what was previously held unthinkable has become the norm.
But have we reached the end of our digital transformation?
The answer is a resounding no. We may have reached a “local maxima”, but if we look further afield, there is a huge landscape of opportunities to explore in order to further optimise the insurance value chain.
Here are just three ideas amongst many to explore:
Transforming Placement Information
The earlier data is injected into the placement lifecycle, the greater the efficiencies that can be achieved. There is a huge opportunity for the industry to work with their clients to curate risk and exposure data. Details of locations, construction, activities and associated claims could be maintained collaboratively to create something approaching an open standard “Digital Insurance Twin” for an organisation.
The availability of trusted, curated data will accelerate the placement process, drive innovation and reduce costs.
Insurance value chains in the London Market can be notoriously long and opaque. There are huge benefits to be had by improving collaboration across the value chain.
Queries, missing or incomplete information can take days be resolved. This slows the placement process, adds cost, encourages Underwriters to be cautious and creates problems down the line when claims are notified and breaks in the information chain are discovered.
There is an opportunity to link “next gen” placement platforms with Case Management tools to foster collaboration. Roles and responsibilities would be unambiguous, information flow accelerated, increasing transparency leading to better outcomes for Insureds.
With trusted, curated placement information, the process of transforming the placement cycle can accelerate. The submission that the broker prepares will use the “Digital Insurance Twin” data requiring less work to compile. Brokers will add value by augmenting the available data and providing insights and analytics to improve the presentation and aid underwriting.
Machine learning tools will process documents and extract and summarise information to evaluate the risk against appetite.
Submissions falling outside of appetite will be declined automatically. Submissions within appetite and within the authority of an intelligent agent will be priced, using advanced analytics and machine learning and quoted within seconds.
More complex risks will be pre-processed, prioritised and presented to the Underwriter for a review & action. Tools will help the Underwriter view in real-time how a particular risk impacts their portfolio and make rapid decisions. The majority of placements should be executed in minutes, not days.
These are just three ideas to explore to further optimise the Insurance Value Chain, but there are many more. Our expertise extends beyond Insurance to embrace Banking and Payments, Internet of Things, Earth Observation, Machine Learning and more.
If your organisation would like to explore how we can help you on your digital transformation journey, please contact us.