Page 22 - Insurance Times March 2022

chance of success. This means that these projects are often The figure explains about clearing the minefields obstructing
dreamed about and debated internally but may never actually each phase of the product development life cycle-from concept
get off the ground. to development to launch monitoring-they can clear the path
toward a future customer experience-driven state.
The industry found out that customers are no longer buying Depending on a carrier's tactical plan and budget, minimizing
products and services; they are buying experiences that such friction may be as broad as launching an entire
products and services provide. But in the small commercial technology system overhaul or as targeted as aligning with
insurance segment, there are still wide gaps between what one or several third-party vendors to exploit innovative
could be done and what is being done to make the shift to a technology capabilities.
product development framework that enables customer
experience-driven modernization. The way of finding each thread to customers is the right way
to initiate the digital innovation in product development.
The way of thinking towards must be changed. The flow should Insurer must identify their potential ways of achieving that
start from customer to company which has been identified thread.
by Deloitte. To attract the skill sets necessary for product
development modernization, insurers should find ways to The insurance industry has traditionally been a producer of
vastly elevate their appeal to make a career in insurance products, with the bestselling ones providing competitive
more relevant and attractive to innovative and tech-savvy advantage. This is gradually changing, as the consumers are
individuals. demanding a more flexible approach to their challenges, and
this resulted in the launch of more service-based products.
Nevertheless, creative and new products pave the way to
This could start with initiatives to modernize the company
culture. Leaders can demonstrate a commitment to target specific needs. Such products will always be required,
as insurance companies will need a futuristic outlook while
innovation, diversity, and social impact through related
incentives and career development opportunities. working in the present market.

Innovation Leveraged by Technology
If handled successfully and holistically across the organization,
these efforts can help convince those with cutting-edge skill Insurance companies in India are highly data intensive but
sets that a career in insurance can immerse them in an not much effort is being put in converting them into actionable
intriguing, exciting, diverse, and innovative world of risk business intelligence which is today's requirement in the era
solutions. The rapid growth seeking companies are well known of big data analytics and the artificial intelligence which is of
of the fact that disruption is spearhead to their success. utmost importance globally.

Insurance Industry is the perfect fit when it comes to
application of artificial intelligence looking at the sheer
intensity and the amount of data collected. Application of AI
is changing the outlook of insurance business with the use of
multi-variates like Machine Learning, Natural Language
Processing and Robotic Process Automation to begin with.

There are five technologies having a major impact
on the insurance industry:
Y Blockchain
Y IOT
Y Artificial Intelligence
Y Big Data
Y Spatial Intelligence

a) Blockchain
Fig 1: Target State (Source: Deloitte Analytics) With the distributed ledger technology (DLT), details are

22 The Insurance Times, March 2022