No insurance business can be a success on the basis of quality products alone. In the absence of proper sales and marketing strategies and high levels of customer service, this would not be possible. However, the business also needs to consider the expenses involved in this. In such a circumstance, automating the underwriting process may be a good way to avail all these advantages including enhancing productivity, saving time and resources, cutting down costs, and aiding profitability.

Incorporating an underwriting engine in the work process is a wise idea. However, before you settle on a particular one, it is essential to understand the types of solutions available to automate the underwriting process. Here is a quick update on the categories of automated solutions you may opt for.

Point of sale underwriting solutions makes it possible to shift the repetitive tasks to the automated system; this makes it possible for the underwriters to work on more complex issues. Automated processing of insurance applications makes it possible to save time, increase sales, boost straight through processing rates, and provide good customer service. Freeing quality resources for complex matters also helps to organise the business better. The success of the automated underwriting solution would, however, depend on the usability factor. User-friendly interface, trouble-free operational procedures and proper structuring are necessary for the success of this.

Tele-underwriting solutions incorporate telephonic interviews and automated processing of the accumulated data for risk analysis and determining the right policy and premiums. The trained staff working at the contact-centre conduct telephone interviews based on a questionnaire prepared by the IT department. The set of questions usually depend on the insurance coverage applied for. The knowledge of the staff asking the questions regarding the medical conditions makes it possible to analyse risks and determine the policy that is suitable for the specific condition. However, a well-organised structure suitable for the sales channels at work is necessary for the success of this endeavour.

Hybrid solutions deliver the advantages of both the aforementioned automated underwriting solutions. Majority of the insurance applications are processed by the automated tools placed at the point of sale. Only complex cases involving details of certain medical conditions go to specialist underwriters for risk assessment. In some cases, the underwriters get in touch with the applicant to complete this analysis. Most of the applications are processed by the automated system; however, expert advice is available whenever necessary. This makes it possible to complete regular insurance transactions with the automated tools and keeping the difficult ones for experts.

An insurance carrier needs to find a solution that is easy to implement and utilise. It is necessary to keep the specific requirements of the business in mind when you are choosing a particular type of solution. If you were planning to automate the insurance processing completely, you need to incorporate the essential tools at the point of sale. You may also use the hybrid solution if you need to opt for the hybrid solution. Partial automation of the insurance processing makes it possible to assess the advantages you may avail.

Author Bio

Daniel Smith is a professional underwriter. He provides an overview of the underwriting automated solutions available for insurance businesses. If you were looking for more details regarding underwriting rules engine, he suggests you to visit http://automation.munichre.com/for further information.