Top 10 RPA use cases in the Insurance industry

The workflows in the Insurance industry are such that a large part of the workforce is heavily burdened with manual, mundane tasks. Manpower resources, that could have been utilized for more value-added tasks are allocated to plain and repetitive work. This impacts the organization’s efficiency as more critical tasks that require the intellectual faculties of humans suffer due to a lack of automation. Daily tasks in the world of insurance such as underwriting, onboarding, claims processing, report generation, and a host of crucial tasks that do not require a high level of skill and are tedious, affect efficiencies and profitability.

RPA for automation of rule-based and repetitive tasks

Introducing RPA or Robotic Process Automation has the potential to bring a quantum leap in the way the insurance industry operates. Apart from the productivity level, RPA implementation can also empower them to handle the processes efficiently. RPA mimics all repetitive transactional and administrative tasks that are simple and rule-based. This works for activities that do not require complex decision-making.

Use cases for RPA in the insurance industry

The ten best use cases for RPA in the insurance industry are listed below:

1. Client Onboarding and Underwriting – Registration of new forms, onboarding new clients, and underwriting are all repetitive processes that require a bulk of the workforce of the insurance industry, and robotic process automation is the best solution to simplify them.
2. Processing of claims – Claims processing entails the manual collection of information from various sources and is a nightmare for customer service and operations teams because of its manual nature. Automation tools help in an easier collection of data to be used centrally, making the entire workflow streamlined and faster.
3. Business and process analytics – When processes are manual it is difficult to measure and improve operational efficiency. Automation makes it possible to measure not just business performance but ease and pace of operations too. It helps in better utilization of resources and optimizes efficiency.
4. Regulatory Compliance – Regulatory obligations of insurance companies include compliance with HIPAA privacy rules, PCI standards, tax laws, and a host of others. RPA helps insurance companies and their employees adhere to the prescribed standards.
5. Policy administration – Policy administration links all the functions of the insurance industry together – be it quotations, ratings, underwriting, or customer service. The existing processes and systems are ill-equipped to handle the demands of a growing business. Navigating across a myriad of applications makes operations inefficient. RPA solves this by allowing key players within each process to perform a number of tasks easily and negating the need to traverse multiple applications.
6. Policy cancellation – Cancellation of a policy involves multiple transactional tasks such as verifying policy inception and cancellation dates, terms of the policy, etc which are tedious and time-consuming. With robotic process automation, cancellation of policies can be done in one-third of this time.
7. Scalability – RPA allows organizations to scale up or down based on demand. This offers huge flexibility to the insurance industry as they can engage the desired number of RPA bots based on requirements.
8. Integration with legacy applications – Most insurance companies have legacy applications that are too complex and cannot integrate with new-age software and applications. However, RPA can be done without interfering with the existing systems.
9. Finance and accounting – Reconciliation of financial and transactional data which requires clerical tasks like copy-pasting, template filling, pressing the same buttons, and keystrokes can be automated to a very large extent with robotic process automation.
10. Sales and distribution – Automation in insurance sales and automation can simplify goal setting, distribution of targets, compliance-related processes, legal and credit checks, and a host of other actions.

Automation leads to improved efficiency

Complex business models, legacy systems, and lack of vision are the greatest impediments to the automation process. When implemented across various manual functions, automation can make a huge dent towards an insurance organization’s efficiency, turnaround times, and in turn profitability in a highly competitive market with thin margins.

Venture7 is in the business of implementing RPA across the insurance industry and its in-house experts and automation tools excel in the automation of mundane operations.