When looking to purchase software solutions for their digitalization efforts, insurers are likely to find themselves spoiled for choice. On the one hand, there’s a range of all-purpose software tools available that insurers can simply adapt their processes too. On the other hand, however, there’s the option to purchase and implement specialty solutions that are tailor-made for insurance purposes.
The latter could present a higher acquisition cost, but like in many other situations—especially those that involve technology—there’s an advantage in choosing tools for specific applications. For example, it’s technically possible to layout numerical data and creates visual representations for it, in the form of charts or graphs, on a word processor. But the best type of program to use for this particular application is not a word processor, but a spreadsheet program. That’s because it’s easier and more efficient to carry out these functions with the spreadsheet program’s built-in tools. There’s also a higher chance that the user will achieve a result that’s of better quality and completeness.
The same logic applies when one is faced with the option to choose between generic enterprise software solutions and those that are explicitly built for insurers to use. Though more generic software tools can definitely be used for insurance-related applications, it will make a significant difference to the insurer’s performance if they use dedicated insurance software.
To illustrate, here are five things that your own insurance organization will be able to achieve with specialty software that’s purpose-built for insurance applications.
Deeper Insight into Your Insurance Organization’s Processes
The ideal software solution for your insurance business should do more than simply execute the rote functions that are involved in your insurance processes. The best purpose-built solutions will come with features that will allow you to derive richer, a clearer insight into your insurance organization, for example, dashboards with real-time info on your performance for key insurance metrics.
In this regard, a purpose-built solution will help you understand what’s going on in your organization at a glance. It may also help you zero in on areas that you might need to improve upon, like pricing transparency or claims management.
Greater Operational Efficiency for Key Insurance Processes
A purpose-built insurance solution will also pave the way for greater operational efficiency within your organization, which in turn will add more value to your business. There’s a limit to working with software tools that are just enough for your processes, but not capable of doing anything more complex. In contrast, a purpose-built solution is specially crafted to make otherwise difficult and cumbersome insurance processes—like underwriting, billing, and claims adjudication—easier and more cost-efficient to carry out.
Generic software may help you stay afloat in the completion of your key processes. But purpose-built insurance software will make you even more efficient at these processes over time, thus actively adding to your business’s profitability.
Granular Data Analytics and Calculation Capabilities
With the range of software tools out there, it may not be very hard to find tools that will fit the minimum requirements for calculating premiums and other figures involved in your insurance delivery. But again, these tools can do only so much to help you stay on top of your numbers. There’s also no guarantee that you can trust them in increasingly complex situations, like when you suddenly experience an influx of enrollments for a new insurance product line.
Purpose-built insurance software can serve as your trump card for achieving granular-level calculations and analyzing complex insurance data with ease. Consider investing in a special solution and taking full advantage of these abilities.
Broad Customization Options for Your Insurance Customers
Many insurers have found that the secret to resonating with today’s generation of customers is personalizing their insurance experiences. Rethinking your insurance delivery and incorporating greater levels of customization will be no easy feat for you if you’re using nonspecific software tools. But it’s fully achievable if you shift your insurance operations to a purpose-built solution.
Upgrading your tech stack with insurance-specific software tools will enhance your ability to roll out and oversee new product lines that are a better fit for modern insurance customers. It will be possible to unbundle your old insurance plans and release them into the market as lightweight, affordable policies. The solution will also bolster your ability to tailor your insurance customers’ plans according to their life stages, health conditions, and milestones. The customization factor that you can achieve with purpose-built insurance software could make you the provider of choice for a particularly exacting market of customers.
Future-Readiness for an Increasingly Digitalized Insurance Environment
Lastly, if you anticipate growing your organization to new levels in the next few years, an enhanced and specialized software solution will take you there much faster than a generic one. To excel in a competitive and highly digitalized future, insurers will need technologies that will make their businesses more agile, flexible, and resilient.
One of the best things that you could do for your business is to add purpose-built tools to its tech arsenal. Use these as part of its modernization plan and give your organization a fighting chance against the challenges of the future.
A specialty solution for insurance delivery may require an upfront investment and a fundamental change to your insurance workflow. But for the reasons detailed above, the money and effort that you’ll put into onboarding a purpose-built insurance solution will likely have handsome returns. Equip your organization with insurance-specific software and see for yourself the difference it will make.
By Staff Writer.