Technological innovation and digitization have become the key forces to drive major transformations in the finance industry. This has resulted in improved workforce productivity and business efficiency, though these changes are associated with uncertainty and risks. The insurance vertical is no exception as it is also brimming with unique digital capabilities and technological developments, paving the way to growth and success.
Relevance of Digital Technology
During these unprecedented times, most L&D leaders understand the significance of digital transformation, focusing more on the need for virtual collaboration between employees, channel partners, and customers. Does the question arise whether insurance companies should adopt digital technology to unlock their business potential? The answer is, YES! Companies must harness digital capabilities not only to boost business efficiency, but also to foster client relationships and improve brand loyalty.
L&D insurers face various challenges and threats when it comes to overall business growth. The global pandemic is considered the most pressing challenge followed by cyber threats, technological evolution, and other political threats such as trading conflicts, overregulation, etc. Therefore, L&D teams need to leverage multiple opportunities such as adopting new technologies and workforce upskilling and reskilling to sustain business.
Emerging Scope of Digital Transformation
Have you ever wondered how different L&D pros from the insurance sector can drive the scope of digital transformation? The scope of digitization is different for different insurers as some consider it an automation of processes, while others may include it as an agile methodology to modernize existing systems.
Each market player in the insurance industry agrees that a digital shift is essential, but often face challenges in getting up to speed. So, the very first step for L&D leaders must be to articulate a clear vision and understand their customers’ suitable needs. This helps them define and unlock their core competencies and ultimately create a clear roadmap to attain the company’s objectives.
Unlocking Potential Through AI
Artificial Intelligence has proved to be the most successful investment for the insurance industry. AI will aid insurance companies in automating their process of policy personalization by replacing data with human conversations. AI will help L&D insurers to accomplish the following business goals:
- Increase data accuracy to mitigate human errors
- Boost efficiency by automating and streamlining processes
- Improve decision making by using relevant data
Insurance companies can leverage different types of AI technology such as speech recognition, text analysis, pattern detection, and others to improve customer experiences. In 2022, and even beyond, insurers are expected to unlock more capabilities in AI to improve customer retention, automate distribution processes, and ultimately drive business productivity. Before investing in digital technology, L&D teams need to ensure whether they have hired the right talent who can leverage new technologies to stay ahead of the curve. They also need to redefine their existing business model and processes to identify the changes required to respond to the evolving corporate landscape.
To know more about the future of L&D for insurers, watch out for the infographic ‘Future of L&D for Next-Gen Insurers.’