The insurance industry has adapted to the circumstances by incorporating new digital channels to interact with its customers, such as automated claims processing, price comparison platforms, and mobile bill payments.

Insurance Trends Impact Your Business

2021 was a year in which vaccinations became widespread and, with them, some restrictions related to the pandemic were eased. It, in turn, revived the economy and the trust between people and businesses, even more than before the pandemic. However, with the battle against COVID-19 far from over, uncertainty and fragility will persist. This circumstance poses a challenge for all economic sectors, including insurance, which must continue betting on going one step ahead of the needs of its customers and the trends imposed by the new reality.

The insurance industry has remained able to adapt to the circumstances by incorporating new digital channels to quickly interact with its customers, such as automated claims processing, price comparison platforms, and mobile bill payment. It is demonstrated by a recent study by the consulting firm Mckinsey, which confirms that more significant but more targeted investments in technology by insurers resulted in better returns as businesses.

In 2022, new challenges will arise for insurance companies, as people’s interest in protecting their family and property in case of emergencies remains latent and intensifies as new variants of the virus spread throughout the world.

What do Users Want from Insurers?

The short way to answer this question would be: they want everything to be easy. They want to transact when they want, and on the channel they want; they aspire to quickly solve your need, whether it is to receive information, buy an additional service, change plans or file a claim.

Therefore, insurers should pay attention to the following points:

Automated but Personalized Processes

Insurance customers want the ease of processes, particularly on mobile devices, but they want empathy. They want to interact with agents who clearly understand their needs, and put themselves in their shoes. And understand their situation to provide better and faster advice.

Increased Offering

Many insurers have diversified their offerings beyond insurance, including, for example, investment and wealth products or risk analysis services. Changes in customer needs have significantly boosted traditional insurers. Users will choose the provider that suits them best, understands their needs, and best facilitates access to the products they require.

Trust

Customers expect their data to be protected and used wisely and with their consent inspiring trust in combining security and knowledge according to customers’ needs to build long-term relationships.

Trends in the Insurance Sector for 2022

Technology is an excellent ally of insurers to meet these demands and add value to customers. Users are looking for more security, peace of mind, and ease; insurers, in turn, aspire to enter new markets. That is why some recent trends go hand in hand with digital transformation.

Cyber ​​Insurance

Cyber Insurance

Remote work, new contractual modalities, and the increased use of digital channels have sparked interest in protecting computer systems against cyberattacks, hackers, viruses, or computer damage. Data protection is one of the most critical issues for both users and companies.

Some insurers already offer this service, including coverage for damage to data stored in the cloud. Cyberattack investigation, technical assistance, expenses for data repair and restoration, and legal defence.

Predictive Analytics

The world of big data has offered the possibility of anticipating various situations, from claims to customer behaviour. It enables predictive analysis of user behaviour and the identification of risks and services they may need. Which should facilitate access to more specialized insurance. It is a trend that will strengthen in the coming years.

For this reason, insurers must have the necessary technology to collect information and process and analyze large volumes of data that allow them to obtain better conclusions.

Sustainability

Issues related to the environment and the triple business sustainability account (economic, environmental and social) continue to gain relevance in many industries. The interest of young people in these topics is one of the determining factors in capturing their attention. And offering them portfolios of products adapted to these new consumers.

Insurers that change their discourse and show their interest in preserving the environment and in BIC companies and B companies will be able to better relate to the new generations. In addition, the number of claims due to natural causes has increased due to climate change. For this reason, insurers must study climate risks to understand them and provide clients with the best solutions in facing a calamity of this type.

Neo insurance

The term no insurance refers to digital native insurance companies. These companies employ emerging technologies such as automation, machine learning, blockchain, and the Internet of Things; These technologies help the sector to be more agile and reliable.

Emerging and disruptive insurers take advantage of technology. They are characterised by offering more personalized products and services, being at the forefront of digital channels, and offering applications that facilitate interaction with their users.

Important Points

  • The insurance sector has incorporated new digital channels to interact with its customers quickly
  • Insurers’ extensive but more targeted technology investments resulted in better business returns.
  • Insurance customers want the ease of the process, particularly on mobile devices, but want empathy.
  • Data protection is one of the most critical issues for users and companies seeking to inspire trust.
  • Insurers in Colombia and Latin America must continue promoting a culture of prevention. So that more and more people know the importance of having an ally on their side.

Conclusion

In 2022, the outlook is positive for the insurance market, a sector that must continue to provide the best user experience. And focus on the policies you need and add value. In the same way, insurers in Colombia and Latin America must continue to promote a culture of prevention. So that more and more people know the importance of having an ally who is on their side and who wants their well-being to cushion expenses in case of unforeseen events such as deaths, shocks, illnesses, and accidents.