McKinsey- " Automation can reduce the cost of a claims journey by as much as 30 percent".
Digitising the complete customer journey from FNOL to settlement- including the supply chain could yield- could yield higher savings.
Combine this with improving
- Customer experience
- Net Promoter Score (NPS)
- Leading to increased revenues
and the target of doubling profit is viable.
See "Digital transformation, insurtech and doubling profits"
But this is short term -
a laudable goal but in the longer term digital disrupters are nibbling away at traditional business models. This is the challenge-
See "The Elephant in the Insurer's Room"
and read the McKinsey Report below;
"Time for insurance companies to face digital reality"
del has proved to be remarkably resilient. But it too is beginning to feel the digital effect. It is changing how products and services are delivered, and increasingly it will change the nature of those products and services and even the business model itself. We firmly believe that opportunities abound for incumbent insurance companies in this new world. But they will not b
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