Robotic Process Automation software helps organizations such as the insurance industry on their digital transformation journeys, using bots to automate the tasks like faster claims processing, policy cancellation, easy transition, and offering benefits that include better customer satisfaction improved efficiency, and cost savings.
This article will discuss the benefits and use-cases of Robotic Process Automation in the insurance industry.
What is RPA?
RPA stands for Robotic Process Automation. RPA operates in automating manual tedious repetitive tasks by software robots. These robots are software programs built to do the self-regulation work by replacing the human element.
The work could address queries, make calculations, maintain records, and perform transactions.
Why should insurance industries opt for RPA?
RPA has proven to be effective in automating the transactional and administrative tasks of the insurance industry. The insurance industry mostly works in back-office processes, which are operational, high workload, and repetitive in nature. The processes could be moving data from spreadsheets to core systems, pulling out data from invoices into a core system, and scraping information from the internet and websites, which are some of these sub-processes RPA helps automate.
RPA has helped the insurance industries to upscale their growth by automating most of their backend repetitive tasks. With the rise of RPA in the insurance industry, insurers can focus on increasing customer satisfaction rather than on time-consuming processes.
What are the benefits of RPA in Insurance?
There are several benefits of Robotic Process Automation in the insurance industry. Some of them are-
- Automating and speeding up claims processing.
- Unlocking the scalability potential.
- Synchronizing new data with existing programs and databases.
- Ensuring legal compliance.
- Increasing customer satisfaction.
- Reducing human errors etc.
How RPA is used in the insurance industry?
1. Claim Registration and Processing :
Claim processing requires companies to collect an extensive amount of data and documents from various sources resulting in a high level of human work. Some examples of where these manual work requirements are auto insurance, travel insurance & life insurance.
With RPA in hand, insurers can automate work processes in the insurance industry, such as data extraction, complex error tracking, claim verification, integration of claim-relevant data sources, and more, resulting in a better customer experience.
2. Underwriting:
Underwriting in insurance entails acquiring and evaluating data from a variety of internal and external sources to assess, determine and reduce the risks involved within the given policy. The completion of the process usually takes more than 2-3 weeks.
Robotic Process Automation automates the process of data collection from internal and external sources reducing the underwriting time.
3. Regulatory compliance:
The insurance sector has strict guidelines when it comes to documenting work and creating audit trails. The risk of the regulatory process tends to increase. RPA involvement has completely changed the regulatory processes.
RPA automates those processes and ensures that data is accurate, and maintains a complete file of changes. Some compliance processes RPA can automate are name screening, compliance checking, client research & validation of customer information, data security operations, and generation of compliance reports.
4. Responding to Queries:
Customer support is required in every industry to respond to service requests & information. When done manually, it takes a lot of time and other strategic work gets delayed.
With the help of Robotic Process Automation, chatbots can be created to answer regular queries, emails, and complex queries can be forwarded to humans.
5. Process and business analytics:
Any industry can improve its processes when it can track whatever they are doing.
It's hard to track and measure operational efficiency or find areas for improvement because there are so many operational processes.
All the processes or workflows which are taken care of by RPA can be tracked and recorded at each step which makes it easier to keep records.
The competition in the insurance industry has been increasing and the needs of the customers change rapidly. The insurance industry mostly deals in back office work that can be automated with Robotic Process Automation to an extent. The insurers with RPA in support can focus on increasing efficiency and more strategic work.
Hope you found the above helpful.