How Technology Reshapes the Role of Insurance Brokers

By Pamela Morgan, Insurance CIO Outlook | Monday, May 04, 2020

Insurance brokers can leverage technological innovations to stay relevant to potential clients.

FREMONT, CA: The constant advancement in technology has transformed the insurance industry beyond recognition over the past few years. Broker management is not alien to the insurance innovations either. The introduction of digitalization and artificial intelligence (AI) is influencing the way brokers are used to operating. Further, the emergence of chatbots and automated advisors are also transforming the experience of modern customers. According to a report, 74 percent of consumers would like to receive computer-generated insurance advice. 

These technological advances might seem like a threat to the brokers, but the effective use of technology can indeed transform the traditional brokering significantly. For instance, brokers who take the lead in digital transformation can make huge revenues, which as is evident in other industries. Further, there is a significant proportion of customers who still expect human interaction when dealing with complaints and complex insurance procedures. Thus, brokers need to identify the link between the digital and the physical world in order to offer enhanced services to modern customers.

Insurance brokers can actually leverage technology and enhance the essence of their contributions. For instance, brokers can use digital platforms to have a background detail about their customers. Thus, brokers can approach prospective clients with a certain degree of knowledge about the client. Brokers can also use social media for this purpose. This capability will certainly enhance the prospects of a business.

Brokers can also use a client portal or a mobile app to access the detailed database of the clients with all their information in one place. Such a detailed view of the clients will enable the brokers to understand the requirements of the potential client and approach them accordingly.

The technological innovations must be viewed in a positive light by the brokers. Insurance brokers who accept the innovations and transform their tasks to suit the modern customer class will excel in the long run.

See Also:- Top Insurance Technology Solution Companies


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