Technology more than a ‘nice to have’ in the insurance market

Technology is now much more than a ‘nice to have’ in the insurance market, according to Anand Vyas, head of financial services and insurance at test management firm SQS.

Vyas claims technology is not only adding value to the insurance sector, but underpinning its growth. He added that the increased use of mobile devices, GPS, social media and CCTV footage is also helping insurers deal directly with customers.

“Insurers need to stay on their toes when it comes to technology as an enabler, by making it a central and successful part of their operation,” he said.

“How well the technology performs for both staff and customers is vital for future reputation and growth, as insurers vie for business amidst an online price and policy war.

“Technology is no longer a nice to have but a differentiator – keeping up with the pace of change and future-proofing the technology is key to making it work.”

Vyas said that with technology, firms are now able to transform customer data into actionable insight to make more informed individual risk assessments - rather than relying on responses to standard questions.

“This is demonstrated with the advent of black box car insurance, where premiums are based on the quality and quantum of driving by the policy holder,” he said.