Adapt or Die: 3 Critical Insurance Technology Trends
Recently, I wrote an article entitled “Adapt or Die” for the Ontario Broker, the official publication of the Insurance Brokers Association of Ontario (IBAO). Because the technology trends discussed in "Adapt or Die" have universal implications, I've summarized key takeaways from the article to share with our readers.
The world is changing exponentially. Smartphone and tablet sales have exceeded PC sales, meaning more people are using mobile devices to access the internet. The app market is $10 billion strong and doubling annually. Consumers are looking to social networks to provide information on products and services. Cloud computing is expected to be the standard in 3-5 years.
What does this mean for the insurance industry? Adapt or die. How do insurance brokers take advantage of technology?
Your competition will leave you in the dust if you do not adapt to these 3 technology trends:
Mobile Applications: Everyone expects there to be some sort of application for just about anything they want or need. Do you have apps that support your business? There is a free deductible and cost of risk calculator available for Apple products.
Social Media: It makes communication with clients and prospects very easy. If you’re unsure of the benefits of social media, look at what large companies with vast media budgets are doing. Coke doesn’t send people to its website anymore; it guides them to Facebook. Facebook provides a platform for conversation, not just one-way communication. If it’s good enough for Coke, it’s good enough for you. Banks and insurance companies are jumping on board as well, so it is relevant to insurance brokers. (You can follow me on Twitter for risk management and insurance news here: @ClearRisk)
The Cloud: Do not fear the cloud! There are many misconceptions about cloud computing. The cloud simply means your information is not on your own server. Banks, insurers, and high-end solutions providers have been doing that for decades. Almost all insurance companies and most of the large insurance brokers use the Salesforce CRM, which is the largest cloud computing platform in the world. At ClearRisk, we've even built a claims & risk management system on Salesforce. Companies that move to the cloud can save more than 70% on their IT budgets. How do you compete with companies whose expenses are that much lower than yours?
Many companies have been technology adverse up until this point, but business in general is changing so much and so quickly that businesses that fail to catch up within the next few years are dead. There is an unstoppable train coming down the tracks; either jump on or get out of the way!