Insurers must embrace artificial intelligence (AI) and similarly advanced technologies if they want to succeed in the current post-digital era by meeting their customers’ needs, according to Accenture.
The Technology Vision for Insurance 2019 report found that by implementing advanced technologies, insurance firms can enhance customer engagement through more personalised, real-time offerings. It suggests that they could tap into ‘momentary markets’ which offer services and products that are tailored to a customer’s unique life moments. For example, they could potentially offer recently married couples a loan for buying a house.
The report emphasises that, with the start of the post-digital era, insurance providers should not disregard digital technology, but they should no longer consider it a differentiator of a business. It found that 64% of participating insurers believe that digital demographics give their organisations a new way to identify market opportunities for unmet customer needs.
Accenture also found that insurance firms are looking to increase engagement with their customers. Around 60% are already using technology to build products or services that boost the frequency and quality of customer engagement, with another 35% planning to so in the next year.
“For insurers to excel in the post-digital environment, they’ve got to become more agile and implement social, mobile, analytics and cloud as a core competency before they can rotate to newer technologies, including distributed ledger technology and AI,” said Jim Bramblet, managing director and North America Insurance Practice Lead at Accenture.
Read the full report here.