“Digital is the gigantic puzzle with many misplaced pieces, you have to put them all in the right places to discover the true meaning and unleash its full potential.”
The digitalization of the customer journey is the next big thing in the world of tech innovation. Digital opens our eyes to the new opportunities and challenges, and this change we are witnessing has daunting speed and sheer extent. Speaking about insurance, which has been known as 'digital dinosaur', staying ahead of the latest developments is crucial in meeting customer expectations. Digitalization, in fact, influences practically each and every facet of the insurance entity — from offerings to the customer to internal procedures.
Apparently, there has to be a fertile ground for the digital transformation. Taking into consideration the pace and wideness of the change, it is my strong belief that agile culture creates favorable prerequisites for an insurer to permanently adjust, reshape and rethink itself in order to be relevant. The ability to remain relevant in swiftly changing environment means being a digital leader in the eyes of the consumer.
It is not difficult to see the difference between good and bad customer experience, and the proponents of the latter vision usually pay for this (true story for the insurance industry as one of those belonging to customer-facing spheres). Today providing the client with strong customer experience goes far, far beyond dealing with the risk of customer service mishaps. Flawless customer journey in the context of competitive markets is the tool for brand distinguishing.
The axiom is following: people are unlikely to have relationships with the businesses that do not give a good customer experience. In today's reality, good customer service implies clarity and simplicity. The leaders of the insurtech finally realized the philosophy of success under abbreviation KYC (know your customer). Personalization of the insurance business is no longer just about knowing customer's name. By means of deep learning (a subset of machine learning) and artificial intelligence, we can use the other rhetoric, which is 'deep personalization'.
There is one valuable point when it comes to digitalization: it is very important to draw the line between the use of the digital tech and its implementation into a business. The distinction is similar to the difference between the knowledge and the ability. go2solution(Kasko2go) team has been working with cutting-edge technologies for considerable number of years, and it would be no exaggeration to call us pioneers in the field. We are constantly learning and analyzing the way digitalization changes the culture inside and outside the company. It is customer's responsibility to choose the channel of communication, thus, omnichannel is the spine of digital maturity.
I see blockchain as one of the most powerful techs on the road to digital transformation. The old business models in insurance had fallen short, and blockchain provides a ground for completely new product offerings. It is all about peer-to-peer insurance that can ensure virtual assistance in claims, quoting etc. Blockchain literally means decentralization, accuracy and transparency. From the perspective of its architectural properties, blockchain is a digital basis for safe and swift transactions and reduced risk.
The concept of 'digitalization' finds itself in one triangle along with 'customer-centricity' and 'innovation' — these three are interconnected. Customer service is the quality mark. So the digitalization process spread to all the internal processes plays an important role in providing high-quality service. Digital transformation delivers value across the value chain in the major areas of insurance: cost reduction, customer experience enhancement, speed to market, sales productivity, underwriting efficiency, and claims efficiency.
The word 'reinvention' may sound a bit radical, however, in the context of digitalizing the customer's journey it is not hyperbole. Successful digital transformation implies starting off with the zero-based reconsideration of the customer experience of each particular task. Renovation demands to leave behind everything the company has and ask: "What would the maximum experience look like with this task?". When the answer is ready, one should proceed to the development of the processes and techs to support the idea.