Like many Other industries in the global economy, the insurance sector is also growing with the help of digitization.
The insurance sector is one of the highly paperwork or documentation based actors which has to deal with personal and vital data, files, and content on a daily basis to perform its core business duties. Insurance sector hence exploring the different digital products like esignature solutions to boost its workflow and function smoothly. Before we go ahead and understand different digital trends of 2021 that are affecting the insurance industry, let us understand the meaning of electronic signature and its benefits in brief.
Definition of Electronic Signature:
According to the US Federal laws like ESRA and ESIGN, electronic signatures can be defined as:
an electronic process, symbol or sound that is connected to or logically associated with a content/data/message/record/file/document and is performed or adopted by a user with an intention to sign it.
The definition clearly states that any electronic process symbol or a sound can be considered as a signature. This allows digital signature in banking solutions providers to be versatile in their offerings and features. One should go for esignature software features that allow to make signatures by using voice, image, ticking in a box, stylus or finger, etc. One should also be able to use mobile devices.
What are the Benefits of using Electronic Signature?
Electronic signatures are accepted globally thanks to International laws and provisions made by various countries that Gurmeet International transactions using the best esignature service. This not only saves time and cost but also allows different businesses to deal with each other irrespective of the geographical distance without compromising profit and simplicity of the business transaction. Here are a few benefits of e signature for insurance.
eSignatures being an advanced Digital solution electronic signature helps to shorten the competition period of transactions. Apart from that, the software also lets you track the document and signing process completely, and the audit trail feature helps bring transparency. One can know the real-time status of the document any time from anywhere.
Cost-effectiveness matters irrespective of the technology you wish to deploy. Cost-effective means the ability of that software or product to perform all its functions without costing you much. If the cost-effectiveness of the software is high your ROI will be better. An electronic signature for insurance if purchased from the right vendor will be cost-effective for your business in the long run. It will save you from all the expenses you usually make on papers, printing, ink, postage, stamps, mail, fax, etc. The same expenses are made by your clients also in order to complete the signing process. Hence, when you replay a reliable electronic signature for insurance, you save cost for you and your client too.
Here are a few trends that are revolutionizing the insurance sector and the use of digital signature in banking.
Digital document management
Digital document management is the first step towards the transformation of your insurance business. The goal is the total elimination of physical documents.
Here are some more advantages:
Saving time and efforts.
Better security and safety of data.
Reduction or elimination of errors.
A speedy and simple process of sharing documents.
Easy access to data whenever needed.
A Modern IT Architecture
This particular point is connected to the previous point where we have talked about digital document management. Insurance companies generate share receive & multiple documents. Most of these documents are complicated. Designer documents through which the insurance company directly connects to its customers. Plus, we can not overlook the work interfaces for employees. The list is long. These are a few of the reasons insurance companies must invest in creative IT Solutions. Solutions like Cloud Computing and electronic signatures.
The Growth of aaS
Yes, it is not SaaS, it is aaS. "As A Service"! It is one of the most trending concepts in the insurance sector. Here, we are discussing a custom or short term insurance which has to be activated as soon as possible. The future will demand more and more utility-based or usage-based policies that need to be activated smoothly and faster often with the help of specific, dedicated applications.
For example, travel, sports events related to insurance policies. The best esignature service will always stay ahead of the time and adapt to the new technological trends that meet its objectives and needs.
Internet of Things
How can we forget this one of the most dynamic and trending Information Technology concepts of the 21st century? Internet of Things! Wondering to know a few successful examples of businesses adapting to the Internet of Things?
Wearable healthcare devices like smartwatches devices which keep us aware of our health. Advance car components that are providing 360-degree driving experience with other information which is leading to dynamic changes in automobile planning. Why should the Insurance sector worry? Because of the gathering and processing of huge amounts of data that IoT brings to the business.
Internal: Maximum optimization of the workflow is possible with an accurate and consistent flow of data into the business. Smallest of the details are available to make informed decisions and boost the speed of documentation too.
External: it is about collecting as much information as possible on the potential and existing customers both. Learning to study data and interpret it correctly with the help of AI and ML, IoT. This also helps in generating personalized approaches towards each customer. You can categorise your customer base and audience. And build a dedicated marketing and customer relation strategy for each category of the client.
Artificial Intelligence and Machine Learning
As we have seen above the transformation in the insurance sector is due to the huge inflow of data into the insurance industry. Right custom marketing plans, process optimization to specific strategic decisions, every trend in the insurance sector has to do with data in one way or another. Needless to say, human efforts are no longer enough for the growth of this sector. Right from collecting data, filtering it, interpreting it and incorporating it, everything can be done through technology with the automation of tasks. This is where Artificial intelligence and machine learning comes to the rescue. You can use these technologies as per the characteristics of your business, your objectives, expectations, etc.
Why are the businesses collecting data and categorizing it with different labels? Why are businesses dividing their customer base and target audiences into small parts? The answer is simple. They wish to go beyond the traditional business workflow and serve the individual as directly as possible. The focus has been shifted from the group of customers to each individual customer.
The main aim of all the businesses in the insurance industry is to learn how to reach or approach individuals, how to build a healthy one-to-one, dialogue with them. How to be dynamic and interactive. Once this is hit right, customer loyalty can be expected and with customer loyalty and trust, market names come automatically. To make this happen businesses can take help of different digital trends like document digitization, CRM, e signature for insurance, etc.
Gamification is one of the interesting and exciting digital trends in today's market. Almost every customer service executive and marketing professional have his/her eyes on this phenomenon. Gamification about integrating the features and functionalities of the gaming world to the digital customer experience, such as gaining prizes, bonuses, conquering levels, etc. This makes customer experience engaging and entertaining.
An Italian company named Vittoria Assicurazioni developed a game called “Vittoriadi, ”. The game was active for a few months from November 2018 to May 2019. Care to know the results?
The company witnessed a 57% yearly increase in numbers of customers who subscribed to the company’s loyalty scheme.
Virtual Reality and Augmented Reality
Accenture conducted a survey a few years ago in which 623 top managers from the insurance industry participated. Following were the results of it:
85% of respondents said that VR or AR are crucial to reduce the physical distance with the employees and the customers also.
84% of respondents agreed that it matters to their company to be the pioneer in the market when it comes to AR and VR.
DLT and Blockchain
Last but not least is Distributed Ledger Technologies and Blockchain structure. Here, no central governance, management or authority is required to run the system. From the development of the first-ever cryptocurrency, this technology has gotten all the attention in the world. The use of this technology however is not restricted to cryptocurrency. Many Sectors across the globe are leveraging this newborn to disrupt their business system. The insurance sector is not an exception to it.
It is the rule of nature that those who fail to walk with time, fail to grow. This same rule is applicable to every business sector. Hence, insurance businesses must stay updated and flexible. They must be open to adapt to new technologies and exploit them to earn more profit and offer better services to the customers.
Apart from the above-mentioned trend of the digital world, an electronic signature for insurance is another trend that can make wonders in the insurance sector.