According to a new Accenture report, up to $170bn of insurance premiums could be at risk in the next five years due to poor claims experiences, with process inefficiencies in underwriting potentially costing the industry another $160bn over the same period.TechnologyInsurance Industry
The report is based on surveys of more than 6,700 policyholders across 25 countries; more than 120 claims executives in 12 countries; and more than 900 US-based underwriters.
It investigates how the insurance industry is responding to the latest market dynamics, pressure from new competitors, and challenges facing underwriters.
It also prospects the growing demand for seamless customer experiences, notably, how artificial intelligence (AI) technologies can be applied to satisfy and retain customers and transform the underwriting function.
The research found that 31% of the claimants were not fully satisfied with their home and auto insurance claims-handling experiences over the past two years. Of this 31%, 60% cited settlement speed issues and 45% cited issues with the closing process.