In a world where business intelligence rules, the collection of data from consumers is a vital resource to mine. The insurance industry stands to benefit the most. Obviously, your insurance company deals with a lot of incoming data. The right IT solutions can help develop programs and software to deliver useful insight. Claims-based analytics can assist insurance companies sort and prioritize all of that data. Moreover, the organized data can help make your company more efficient.
How Are Insurance Companies Changing?
Insurance companies are in the business of helping people prepare for emergencies. They also make judgment calls. Agents examine the types of insurance, and how much insurance is appropriate for the situation. Even in the digital world insurance companies are a very personal service.
However, technology is changing the way insurance companies do business. IT solutions improve underwriting profitability, improve risk assessment and give real-time analysis. These not only make the company more efficient but improve customer satisfaction.
How Claims-based Analytics Improves the Insurance Industry
Claims-based analytics and IT solutions can help with many steps in the insurance process. Ten percent of insurance claims are fraudulent. However, predictive analysis helps eliminate fraud by mining data so that patterns emerge and risk can be identified.
Analysis assists in settlements. Sometimes when there is a natural disaster in an area insurance agents receive numerous claims and feel the necessity to pay out quickly. Using claims-based analytics can help the insurance agents compare claim histories to make a more informed decision.
Underwriting is enhanced by information on claims history, risk assessment and performance levels. Data allows viewing of information and research such as the latest technology in the medical field. Most noteworthy, this also produces lower costs for customers.
Gathering External Data Via IT Solutions
Some insurance companies are moving outside of claims-based analytics and looking to social media for more data. Of course, this process respects privacy laws. These IT solutions provide an immense amount of behavioral data that now plays a part in risk management. Additionally, many governments have begun to open data websites and make statistical information available to the public.
New Tools For the Insurance Industry
New and improved IT solutions continue to show up and provide valuable information for insurance industries. Above all, as the insurance industry charters new territory, such as the risk of identity theft and cyber-security, claims-based analytics will expand. For instance, monitoring devices are used to assist the insured and the insurance industry which improves behavior and risk.
At Logixtech we offer IT solutions and customized claims-based analytics to help your insurance company succeed. Our team can certainly develop solutions to give you insight into your claims management workflow. Contact us for a consultation today!