Insurance may not have historically been the most tech-centric of industries, but that is fast-changing. Thanks to a new breed of innovative start-ups and greater investment from the incumbents, the sector is now a powerhouse of exciting ideas and cutting-edge technologies. Not all of them will succeed. But already they’re helping to change the way insurance is delivered and consumed, for the better. Yet few tech innovators have yet been able to overcome one of the key challenges facing many insurance CFOs: the extra cost, complexity and risk associated with legacy payment processes.
That’s why Optal will be at the Insurance Innovators Summit 2019 this week, to share with attendees how digital automation can transform B2B payments to support agile growth.
Insurance innovation offers key players new opportunities to cut costs, expand their portfolio and increase profits by enhancing the customer experience. In fact, Deloitte predicts that a third of premium income will come from brand new propositions by 2024. We’re already seeing:
Machine learning and AI: which can streamline internal workflows, calculate personalised insurance policies for individual customers, and automate claims processing.
Blockchain: to support P2P insurance models, accelerate claims, improve audit trails and empower customers.
Chatbots: which can dramatically cut the costs of call centres without impacting service levels.
New models: like parametric insurance, which trigger pay-outs on specific events, and policies which insure on an “as needed” basis.
The value of payments innovation
Yet despite the breadth and depth of innovation we’re seeing in the insurance space, there has been little sign of progress in the area of B2B payments. Although legacy payment processes like cheques and BACS are labour intensive, prone to human error and saddled with extra charges and administrative overheads, there hasn’t been an alternative, until now.
This is where companies like Optal offer a new way of doing things: digital platforms that automate and streamline supplier payments to save time and money and even reduce data security and fraud risk for the buyer. In so doing, they preserve important supply chain relationships and therefore ensure the claimant has the best possible experience, increasing customer loyalty at a time when it’s easier than ever to switch providers.
One of the UK’s fastest growing businesses, Optal is already helping major insurance players like LV= and Allianz to transform B2B payments via its Virtual Account Numbers (VANs) and Invapay platform. We’ll be taking this message on the road to the Insurance Innovators Summit 2019 in London this week. We’d love to see you there.
Where: QEII Centre, London
When: 13-14 November, 2019