REPOST: Originally posted on The Ontario Broker here.
It’s all around us. Digital transformation in the insurance industry is roaring. Companies like Deloitte and The Milken Institute are tracking close to $15B of investment in over 1,500 InsurTech players. They also report that at least 48 insurance carriers have dedicated innovation departments. The promise of it all? A complete, straight-through digital world with AI chatbots that quote and bind for us, immediate zero touch policy issuance and excellent loss ratios for digitally driven customers. Basically – Insurance Autopilot. Ok, it might be time to take a step back.
What is Digital Transformation?
Major corporations and websites like Salesforce and Wikipedia define digital transformation as going beyond digitization, which mainly refers to going paperless. Leading experts define digital transformation as driving the next industrial revolution with a central focus on creating a better customer experience. Obviously not a simple task in a market that doesn’t yet have complete underpinning digital connectivity.