Staying innovative in the insurance industry

With changing needs and an increased focus on consumer health, insurers must not only keep up with trends but get ahead of them.

Most notably, during the pandemic the industry saw more digital health innovations and a greater need for insurers that pay attention to individual customer needs.

As such, today, customers prefer value-driven plans that they can personalize down to their premiums. Improved engagement requires customer-focused innovation, and insurers must prioritize consumers to create necessary systemic change in the insurance industry.

dacadoo, a developer of digital health engagement technology outlined a couple of ways in which insurers can be innovative and compete in light of such trends.

Firstly, insurers should assess unmet needs in the insurance market. This involves looking at areas that are currently suffering or consider how to make successful niches even better. Insurers should also focus on long-term initiatives that will continue to boost their company and reap the benefits over time.

Dacadoo said many insurers focus their resources on making minor improvements and maintaining their current projects, products, and services. Shifting that attention toward innovation prevents stagnation.

However, due to the risk that comes with innovating, insurers need digital health platforms and health risk quantification tools.

With dacadoo’s Risk Engine and Digital Health Engagement Platform (DHEP) with Wheel of Life™, insurers can better understand customer needs and focus resources on the areas most likely to make a difference.

In addition, insurers should endeavour understand customer feedback. According to dacadoo, customer feedback and data can provide a foundation for where to start innovating.

For example, dacadoo’s Digital Health Engagement Platform with the Wheel of Life tool, keeps track of the customer’s health score, so insurers can see where their health statistics improve and where they fall or stagnate. This data helps insurers understand where customers need more engaging resources or support.

When insurers innovate, they often appeal to agencies above customers. However, customers boost business, and it’s not all about buying plans. Insurers should consider how to engage customers beyond features alone and think of their overall experience.

This involves looking at innovating in areas such as policy flexibility an individualisation, generating awareness, and new services.

Insurers should also establish success metrics, timelines, and goals, dacadoo said. Then, create a strategy to meet them.

Read the full post here.

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