By Jenna Earnshaw, Head of Revenue, Wisedocs —
As we near the end of 2022, the Canadian insurance industry is in a positive place, setting itself up for long-term success in a remote-first and digital-forward environment. Globally, the insurance market has transformed into a digital business model. The digital insurance landscape had an estimated worth of $102.2B at the end of 2020, yet by 2026 it is projected to grow to $169.2B. Canadian insurance companies are benefiting from cloud-based platform technology. With an increased focus on personalized premiums and usage-based coverage, insurers are leveraging the internet, advanced analytics, and machine learning in many aspects of insurance. In Canada, an increase in partnerships between traditional insurance and insurance technology (also referred to as InsurTech) firms are proving profitable while reducing operational costs and improving the user experience.
New Technology Trends in the Canadian Insurance Industry
Positive trends in the insurance industry as it pertains to technology cover all aspects of the customer experience, claims process, coverage and plans, security, underwriting, and so much more. Technology has enabled the insurance industry to move at a faster pace and offer higher accuracy. Once reserved for technology-first companies, blockchain, artificial intelligence (AI), and personalization are now familiar technologies employed at insurance carriers.
Blockchain can create trust within an untrustworthy ecosystem by using public ledgers and cybersecurity protocols. They optimize the efficiency, security, and transparency of insurance claims processing and can expedite payment times. AI can discover essential information and insight to improve decision-making and provide more opportunities for business model evolution. The automation of complex insurance processes to accelerate claims processing, enrollment, underwriting, and account servicing has vastly improved customer service, data collection, and overall efficiency.
With blockchain and AI, firms can design more personalized products for their customers and better understand what each customer needs. However, there are new forms of volatility that have prompted the innovation and development of these technological solutions.
Changing Trends in the Canadian Insurance Industry
There is vast importance in firms’ abilities to execute their environmental, social, and governance (ESG) responsibilities. The evolving business regulatory requirements to reduce the impact of climate change are taking importance as Canada contributes approximately 2% of the total global greenhouse gas (GHG) emissions.
In the insurance industry, ESG responsibilities have emerged primarily in risk analysis. This newly conducted research has provided evidence that ESG information is relevant in the industrial insurance segment, assisting with identifying companies that have better risk management performance than their peers. The better a company’s ESG performance is, the less probability they have of experiencing workforce-related accidents, reputation-damaging controversies, and fines from government and regulatory bodies. This research aimed to identify early warning predictors of future harmful events so they can be proactive in delivering appropriate measures to reduce the risk.
These factors can now be tracked through artificial intelligence and machine learning capabilities that InsurTech platforms are creating. Machine learning engineers and software solutions can track early warning indicators and design documentation processing that allows for high rates of accuracy. Indexing, organization, keyword pull, and duplication are features that these platforms can deliver so that insurance companies can better understand their clients.
There will always be fast-changing trends that insurance carriers need to address and technology will be a key part of allowing large carriers to small providers to be able to adapt to changing market needs.
The Future of the Canadian Insurance Industry
Ultimately, cloud-based platform technology will enable proactive claims minimization and avoidance, delivering higher value protection. As firms take on automated processes to better deliver their products, customers receive a heightened focus of attention from their brokers, making better choices when deciding what insurance coverage to purchase for their specific needs. Insurance carriers will continue to leverage the top and newest technologies to provide a supportive and user-friendly experience to all across their clients, their agents, their partners, their third party service providers, and all involved in the insurance ecosystem.
About The Author
Jenna Earnshaw is the Head of Revenue at Wisedocs, the artificial intelligence platform that enables insurance, legal, and independent medical evaluation firms to review medical records with ease. Jenna spent several years growing GTM in the early stages of PartnerStack before joining other high growth startups in 2021. She is currently leading the revenue team at Wisedocs, scaling growth and customer reach. In her spare time, she is an Angel Investor and Advisor to startups.
Wisedocs is building a future where working with medical records efficiently is the standard, not an anomaly. Our mission is to erase the headache of manual work to create a more positive experience for insurance companies, legal firms, healthcare providers, independent medical evaluation firms, and their claimants.
To learn more about how Wisedocs can support your organization in reviewing and processing medical records, visit www.wisedocs.ai. To get in touch with our sales team to upload a document today, visit www.wisedocs.ai/contact .