Technology trends are changing insurance customer’s expectations

Technology ‘megatrends’ have changed customer expectations in the insurance industry, according to a Celent report.

The analyst said trends such as big data, location-based services, gamification, social media, object recognition and the Internet of Things (IoT) were transforming all aspects of how insurers do business with their customers.

The report claimed that these trends are impacting the economy, society and business as a whole and thereby will define the future of insurance - especially claims.

“Significant innovation is occurring in claims today,” said Karlyn Carnahan, research director with Celent’s Insurance Group and author of the report. “Carriers and vendors are investing in innovative technologies to improve claims outcomes, assure a consistent customer experience, and to cost out of the process.”

The report added that while a tremendous amount of activity is occurring in the replacement and modification of core admin systems, there is also considerable activity outside of these systems.

It said: “Advancements can be found in all aspects of the value chain: from location-based services being provided at first notice of loss, to photo recognition tools being used in estimatics; from 3D imaging to social and collaboration; and from predictive analytics to robust vendor management. Carriers are moving forward in a variety of areas and generating significant results.”