Taking a deeper dive into data-driven technology (cloud, advanced analytics, and microservices-based APIs) is enabling group insurance carriers to unlock intelligence buried in their systems and convert it into valuable customer insight. What’s more – insurers with accelerated technology stand to gain the highest value from these data-supported capabilities. Combined with increasing customer expectations, data-driven technology is allowing insurers to create more value across the full business value chain.
Today’s primary client interactions focus on issue management and bill reconciliation. Imagine if those conversations could center around workplace accommodations and return-to-work interventions? A McKinsey report noted that in the next 10 years, claims processing will be automated through AI and AI-enabled machine learning – based models.i Claims processing will remain a primary function, but carriers will increase their focus on risk monitoring, prevention, and mitigation.ii This would be a major shift in the industry and allow carriers to showcase other value-adding qualities to their clients.
It’s no surprise that putting data-driven information to work and unlocking all available data requires core technology investments. Carriers need a modern platform for group insurance administration that offers a single source of truth, with rules-based capabilities to facilitate intelligent work segmentation and routing as the foundation. Cloud-native platforms ease the aggregation of data from multiple sources to support 360-degree analytics. API-first-enabled architecture facilitates real-time integration with core systems and external ecosystems such as niche data providers in behavioral health, employee portal usage analytics, and segmentation across products and participation rates.
These resulting insights can unlock powerful possibilities: they can enable claims specialists to engage with claimants and advise on best practice interventions, which can mitigate having certain conditions become chronic and disabling. Product Management can leverage data generated by front-end customers or benefits administration interactions to strengthen product design and customer experiences. Employers could fully administer their products with robust self-service capabilities, tightly integrated with benefit administration platforms and internal core admin.
Data has always been at the core of the group insurance industry. Carriers that leverage data in new ways, harness their insights, and become trusted advisors to their employees, employers, and brokers will differentiate themselves from other industry players. Continuous performance improvements achieved by leveraging data can also enable the growth of new applications and products. It’s time to jump on the data-driven technology bandwagon.
