Boston, MA (July 18, 2016) – High-net-worth and ultra-high-net-worth clients have unique needs and are typically underinsured. As insurers look to grow their net returns, this market is ripe with opportunity for carriers that can provide the right product mix and service levels. In its most recent executive brief, Key Technology Issues and Trends in High-Net-Worth Personal Lines, strategic advisory and research firm Novarica explores how current and emerging technologies can be leveraged to serve this demanding but profitable market segment.
“High-net-worth (HNW) and ultra-high-net-worth (UHNW) clients have unique, complex needs that can’t be served by traditional mass-market agents and direct carriers,” notes Mitch Wein, Vice President of Research and Consulting and lead author of the report. “The coverages they need are a combination of personal lines and commercial lines. The services and expertise needed are key differentiators in this market. New technologies like IoT, telematics and mobile are providing opportunities to create additional differentiated services. Carriers that support this group must understand the unique service requirements of these high-maintenance and high-value customers and their advisors and managers.”
Key findings of the brief include:
- Services make the difference. Carrier offerings are differentiated through the various services and products offered. These capabilities are enhanced through new technologies such as IoT sensors, telematics, big data repositories, and mobile capabilities.
- Distribution channels may be very different at the top end of the market. Equipping agents with the right technology can help them compete for new business and target the right people in the right way.
- The UHNW and HNW market segments require different workflows. Carriers should prepare to design custom workflows based on templates that can be enhanced to reflect the specific circumstances of a client or family.
Novarica helps more than 80 insurers make better decisions about technology projects and strategy. Its research covers trends, best practices, and vendors, leveraging relationships with more than 300 insurer CIO members of its Research Council. Novarica’s advisory services provide on-demand phone and email consultations on any topic for a fixed annual fee; its consulting services include vendor selection, benchmarking, project assurance, and IT strategy development, providing rapid, actionable insights and guidance, delivered directly by the firm’s senior team.