By: Luke Jones, Published on November 17, 2017 11:06 AM, Last Update on November 17, 2017 08:08 AM
Brokers have responded positively to the calls of an insurer to find solutions in technology to help the industry’s “administration problem”, welcoming open dialogue and pointing to several tech solutions that are already in place.
The assessment was offered by RSA Canada president and CEO Martin Thompson, who was giving a presentation at the Insurance Institute of Canada on Wednesday. At the event, Thompson encouraged insurance companies to collaborate with broker partners to find make the property and casualty insurance industry more efficient.
“What is driving costs?” Thompson said. “As we get into that, one thing has become clear: the industry has an administration problem — we spend a lot of money shuffling paper. If you look across the process, the amount of double efforts between brokers working here and insurers working here, it just creates inefficiency.”
Thompson said insurance companies can remove the inefficiency by working “with our [broker] partners to figure out who’s best doing what. I think increasingly when you look at things like robotic process innovation, when you look at some of the modern technology platforms that are coming out, and you have a variety of tools that can help you get costs out of the system.”
Insurance companies are increasingly turning to technology to fill gaps and make processes more efficient. The industry as been largely slower to see the benefits of digitalization, but meeting customer demands now means making processes easier through a technology approach.
In September, technology leaders called for the insurance industry to further embrace digitization. Analyst researcher Gartner sees digitization and digitalization as two different things. The firm sees digitization as a company moving its traditional paper process to a digital environment.