Automation has long been seen as a harbinger of the future. When machines can do the thinking, human employment is expected to decline. Underwriting software holds a different promise. Current day insurance companies, even small-to-midsize firms, can see the value of their underwriters intensify. Here are a few ways insurance underwriting software makes the underwriter of the future stronger.
With a combination of mostly analog and some digital technology, today’s underwriters manage to piece together disparate data sets to create accurate risk assessments for their quoting process. Backed by new data sources and data warehouses, integrated analytics tools are collecting, slicing and dicing these data sets and finding new information buried in the old unstructured data.
With integrated tools, underwriters access actuarial data and customer history through the same interface. They customize their dashboards and modules to find what they need without ever encountering a papercut or a time lapse. Increases in efficiency open the door for underwriters to take on the increasingly important role of a data analyst.
Single Platform Technology
Single platform technology is responsible for two innovations. The first is security. One platform with encrypted technology and flexible options keeps records secure. Updates are systemic, so every module and department receives the security protection it needs. Changes in one silo are updated in another, essentially breaking down walls and fostering efficiency. Employees can communicate on secure platforms that are accessible via mobile device and desktop. Single platform technology houses insurance underwriting software within a secure place while also placing it within a dynamic system.
Merging Tasks and Skills
It was mentioned earlier that integrated underwriting tools and software will transform underwriters into data scientists. The truth is, underwriters are already data scientists. They gather information and perform analyses. But as processes improve and as the amount of available information increases, underwriters are poised to interact with consumer-facing elements of the insurance industry.
For example, access to client history and information has increased with the advent of digital life. The tools to collect this information and make it meaningful have also developed. The result is customer relationship management tools that are equipped to capture any number of client behaviors. When combined with actuarial data, customer behavior data helps bolster predictive analysis. These analyses fall under the domain of the underwriter.
In their position as information collector, underwriters are now capable of introducing granular risk assessments. They can assist marketers in determining which leads will be most beneficial to the organization. They assist agents in providing customized policies.
The idea that automation will destroy future jobs doesn’t hold true. Underwriters are leveraging machine learning in ways that increase their relevance.