Insuranceciooutlook

What can Insurance CIOs Achieve with Personalization?

By Insurance CIO Outlook | Wednesday, October 23, 2019

With personalization becoming the keyword and digital technologies becoming the mainstay in the service sector, insurance firms are looking to create the best opportunities by blending the two. 

FREMONT, CA: The insurance industry has turned a corner, and a majority of firms offering insurance have adopted modern technology in one form or another. However, technology isn’t the only factor that helps insurance companies stay ahead in the competition today. To unleash the full power of technology, CIOs need to decide between the various choices available for relevant business strategies, among which personalization is an essential one. Advanced technologies have proved to be the enablers of personalization, making it easy to personalize many aspects of offerings and operations of the insurance industry. There are multiple scopes for personalization, and the following list mentions what CIOs can help their companies achieve with it.

 

• Reliable Cybersecurity

Insurance analytics

Cybersecurity risks have multiplied and grown in sophistication, driving insurance companies into defensive mode. In a quest to boost security, CIOs often invest in a range of software solutions and tools. A random approach in selecting the tools and solutions leads to compromises with their effectiveness and relevance. Given that every organization is different, CIOs should also understand that the cybersecurity approach cannot be the same for all. A generous amount of customization is essential to make cyber defense stronger. Thus, personalization is the key to dependable cybersecurity for insurance firms. Just like how companies consider compatibility and alignment of other software solutions with business models, they should also prioritize cyber risk management. Personalizing security protects critical data and assets much better than a generic plan.   

• Improved Customer Services

Never have customers been as important as they currently are. With the millennial population, the expectations of convenience and personalization have grown manifold, and insurance companies are aware of it. According to a report by Accenture, as much as 88 percent of customers are expecting increased personalization form insurance service providers. Customer services are, thus, under transformation. By leveraging technology, CIOs can drive the personalization of customer services, which will subsequently help insurance companies perform better. The emergence of automated chatbots that can respond to customer queries round the clock, with sufficient expertise and contextual knowledge, have made the personalization of customer services viable for the insurance industry. The technologies of data analytics and AI have contributed to making personalization a realistic possibility. Today, insurance companies can create individual customer identities and serve them according to their personal needs, thereby creating better business opportunities.

  • Marketing Intelligence 

The traditional approach of trial-and-error in marketing has become outdated today. Businesses are leveraging technology to drive intelligence into marketing. This intelligence helps personalize marketing. The value of personalization is immense when it comes to the marketing of insurance services. Personalization allows effective targeting of potential customers, leading to better sales. From generating leads to converting them efficiently, personalization is the key. CIOs can root for technologies that help gain market and customer insights. With these, it becomes easier to categorize customers, channelize marketing campaigns, and strategize better. Personalizing marketing content makes campaigns highly engaging and helps insurance companies attract more customers. Besides, companies are also able to reach out to potential customers in a timely manner, with relevant services on offer.

Be it designing products, services, or strategies, personalization has a lot to offer to insurance companies. As technology has advanced enough to make personalization feasible across domains, insurance company CIOs should look to prioritize the adoption and implementation of digital solutions that help personalize operations. From primary to subsidiary functionalities, everything gets a boost with personalization.

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