RPA The Driving Factor Of Growth And Efficiency Across Insurance Industry
The insurance industry has plethora of repetitive and stringent back-office processes. The processing of these tasks is as per set guideline with negligible scope of deviation. These tasks include processing of claims, underwriting, serving of policy, renewals of policy and operational tasks. They amount of data collection from various sources is huge and a tedious task. The task is overwhelming for many insurers, often stalling the growth. For many insurers, the challenge of servicing existing customers is more than acquiring new one.
This is where Robotic Process Automation (RPA) comes in the picture. With the use of cognitive technologies like computer vision, Machine Learning and Artificial Intelligence with RPA, insurance companies have succeeded in radical transformation of their business processes. By automating they have achieved accelerating of claim handling, improvement of fraud detection and creating new insurance products. Hence the substantial growth in implementation of Robotic Process Automation across the Insurance industry. Insurers are reworking on their existing legacy business models and replacing them with emerging technologies for effective operations.
About RPA
RPA is automation of repetitive mundane manual tasks through Robots or BOTs. These are known to improve the communication between the existing legacy systems and the new systems within an organisation. With automation of manual processes, employees can work towards innovating ways for better products, processes, fraud detection methodologies and customer delight.
Implementation of RPA has helped the insurance companies in streamlining of various business processes to reduce administrative tasks. As per a report shared by McKinsey RPA has been successful in saving 34% of employee time. RPA has proven to increase efficiency by reducing of manual errors and help in cost saving. Afterall, the programming of Robots is not to get tired and commit errors in entries. Apart from costs and efficiency, RPA also extends the lifespan of your legacy systems by working as a layer between human and systems. It works by replicating human activities like data entry, report generation and much more.
RPA And Insurance
RPA and Insurance are best fit because RPA automates the overall lifecycle end-to-end of a process. It works in coordination with the latest technologies and the company’s existing legacy systems.
Over the past few months, the Insurance industry has seen growth in implementation of RPA. Since the onset, RPA has worked by focusing on one process at a time. The ideology here is working towards identifying bottleneck or critical mundane task and then automating them. With simple automation of repetitive tasks like data entry, report generations, copy paste activities, organisations have been able to save a lot of time that improves efficiency of the overall business.
Huge amount of paperwork is associated with creation of a customer profile. Filling of hard copy forms and data entry in the system is a repetitive task and is prone to manual errors. The integration of intelligent optical character recognition (OCR) along with Software Robots has helped in reducing paperwork and manual errors while data entry. OCR’s works as aggregators by scanning the paperwork and transferring the unstructured data into digital formats. OCR technologies specialise in recognising document, capture data and process it with accuracy.
RPA helps in meeting the stringent compliance parameters set for the insurance industry. In case of any discrepancy during audits, the data is easily accessible due to prior recording and storage. Customers today are aware and concerned about data threats, they need assurance of no misuse and security of data. Automated round-the-clock support, ease of data access, less human errors in processing of claims have helped the insurance sector provide better customer service.
RPA in coordination with ML and AI has been able to rework on the traditional process followed by insurance companies. Resulting to automation of various tasks like processing of claims, processing of approvals and speeding up of service delivery.
Conclusion
With the use of strategic Robotic Process Automation solutions, insurance companies can improve efficiencies and be cost-effective. A study had concluded that in Insurance companies almost 25% of the tasks are repetitive. Automation can help in reduction of these manual tasks. However, it is important to get the best tool for your automation needs.
We at Broca, help you in your digital journey at every stage. No matter where you are, we will help you achieve your business goals. We work in collaboration with various partners to provide the best suited RPA solution for your insurance company. Talk to us, to learn more about how we can help you in your digital journey.
