Thinking ahead was the mark of an effective insurer in 2021, as the COVID-19 pandemic required constant adaptability and intelligence. When insurance needs were changing day by day and week by week, responding quickly and flexibly with accurate quotes and appropriate product lines was essential. 2022 will be no different.
We may move past a global pandemic, but new risks are constantly evolving, and insurers must be on their guard. With new coverage markets growing in the uncertain spaces of cyber and climate, companies must be faster and more agile than ever before.
Datasets originating from third-party providers could enrich the insights insurers desperately need to offer accurate and timely quotes to clients. In addition, exciting developments in modeling tools and analytics contribute to an elevated decision-making process for carriers, as underwriting grows easier.
The more you know…
Predicting and pricing risk requires insurers to be well-educated on each instance before underwriting, and gathering the necessary information could take valuable time and resources. But with the introduction of spectacular new datasets, insurers can speedily access up-to-date assessments of a risk anywhere in the world.
These datasets are also more accessible now than ever before, with many data companies dedicated to specific data targeted toward different industries. Not only this, but companies also understand the value of a well-constructed interface, creating digital spaces where insurers can easily navigate gigantic data sources via clickable features and useful plug-ins. Going even further, the incorporation of AI capabilities into these knowledge bases can advance the underwriting process to a new level. Machine learning can even build a preventive element into insurance practices, adding important value beyond a simple quote.
See also: P&C Commercial Lines in 2021
Capturing new niche markets
Insurers must be quick off the blocks when building new product lines and securing influence in emerging markets, and the specialized insights datasets provide are invaluable for this. The end customer will only benefit if an insurer can offer more targeted services and stay ahead of the coverage curve, so it makes sense to collect all the information possible around a risk, at speed, to quote accurately. This kind of knowledge will massively improve service delivery, leading to seamless purchasing journeys for clients and simpler underwriting for carriers. Everybody wins.
Those insurance lines created using the power of data, and constructed on agile, customizable platforms, will make for a radical change in the criteria for quality in the P&C space. Gone are the days of basic and homogenous contracts distributed slowly and without personalization: There are so many resources out there for insurers today that past standards no longer measure up. Insurers must make sure to make the most of the powerhouse of datasets and prioritize finding intelligent, innovative platforms upon which to build these new, richer product lines.
In 2022, smart insurers will capitalize on every technological innovation available to them, leading the pack in digital transformation and combining data insights with smart product design to leapfrog competitors. If nothing else, the introduction of datasets prove that an insurance revolution is not just on the way: It is already here, and forward-thinking insurers will not be left behind.
