Technological Communications are Increasing: Is Human Touch still Relevant in the Insurance Industry
Technology is overreaching. It filters into every aspect of our lives. Companies have become more digitized in recent years, especially over the last three years when technology kept relationships afloat during periods of isolated lockdowns. With all this focus on technological improvements and automated systems is it important to keep the human touch? Forbes insists that businesses need to adapt and integrate their business systems with technologies in order to stay relevant but there’s more to it than that.
Technology saves time. Automating processes saves time. When people are in crisis every minute matters. Additionally, assigning digital processes to repetitive, menial tasks frees up time for employees to have meaningful interactions with customers. However, it is very easy to become lost in a world of automated communications that leave us feeling deprived of human connection. It’s a knife-edge problem - 45% of employees have stated that they would prefer to have meetings such as performance reviews in person. That leaves 55% of employees who would rather have these meetings digitally. Employers are placed in a tough situation because employees are almost split directly in half in terms of what to digitize and what to do in person. This problem becomes even more complex when clients are thrown into the mix.
In Laura Drabik’s Ted Talk, How Technology is Changing the Stale Insurance Industry, she boldly states that insurance is about community. Insurance brokers are there to provide peace of mind, support, and help as far as possible. It is an industry that relies on compassion and empathy. So, where does technology come in? Staying connected with clients has never been easier. We have a wide variety of tools available to us: websites, WhatsApp, email, mobile apps - and the list goes on. Technological interactions on their own are not enough. Bain & Company has revealed that relying solely on digital interactions results in lower customer loyalty scores than adopting a mixed model of both digital and traditional communications. Human interactions are, therefore, important in the insurance industry because you are working with other human beings. While technology is a valuable tool, we crave connection.
Turns out, Drabik was correct. Research shows that insurance companies do well when they are indeed taking part in the community. This does not necessarily mean being involved in charities or outreach programs, but rather, it means creating a collaboration of services. This has been termed creating an ecosystem. At Deo Gratia, for example, we offer personal lines insurance, business insurance, and specialized insurance. In doing so our clients can rely on one broker for an array of services, which also gives us the chance to interact more frequently with our clients. It is difficult for insurance companies to build relationships with clients when you only interact with your clients once or twice a year (which is the norm for insurance companies).
Becoming one of our valued clients is easy. We aim to integrate technological processes with the necessary human touch. Send us a message or WhatsApp us directly to become part of the DG family.
Bain & Company:
Laura Drabik’s Ted Talk, How Technology is Changing the Stale Insurance Industry: