Data drives everything in insurance – customers, rates, claims and risk. Innovative insurance companies are now using data collected through internet-of-things (IoT) devices to improve efficiency and create data-driven customer experiences. But how can insurance companies turn this data into innovation?
That was the topic of the webcast Navigating the Innovation Landscape: Best Practices for Insurance Provider Success, which was hosted by InsuranceThoughtLeadership.com. Panelists included Andy Breen, senior vice president for Argo Digital; Donna Peeples, chief customer officer at Pypestream; and Jamie Yoder, insurance advisory practice leader for PwC.
New tools can help industry be more proactive
While data and machine learning are not new concepts, Breen said that five years ago the industry didn’t have the tools to handle the scale of data that was coming at us. But those tools exist now.
“The opportunity is how can we use vast resources of data, computing power and new approaches around machine learning to take the friction out of the process,” Breen said.
“Now is the time to put it to work through product development, service delivery strategies, being more proactive about how we deliver on the customer experience,” Peeples said.
Changing the organizational mindset
Although the tools exist now, Breen said one big obstacle remains: changing the organizational mindset when it comes to data and innovation. That starts by organizing a network with customers and partners instead of a traditional hierarchy.
“You have to make sure that you connect the organizational design so that innovation can rise out of a bunch of different pockets in the company, not just something that has been siloed off,” Breen said.
Fueling an engine for innovation
Breen recommends adopting a research and development mindset by creating an engine for innovation – ideas, customer problems, and needs – and then testing the resulting hypotheses and looking for data to validate them. By connecting R&D with operations, brands can find operational inefficiencies and leverage them to do something at a greater scale.
“A lot of companies have gone to an agile IT model, but it’s more about how we create an agile business model,” Yoder said.
Listen to a replay of the webinar, and learn more about Argo Digital at argo-digital.com.