Customised cloud transformations provide alternatives for the insurance coverage trade
The race to differentiate between insurers in the industry has begun. As insurtechs change the marketplace and customers demand seamless, personalized experiences, insurers need to change the way they serve their customers.
Insurers are responding to the challenge in different ways, but across the board, adaptation is key. Some come out with new products, some differentiate based on the level of data usage, while others focus on refining the overall customer experience. A great example of how the market is changing is Fennia, a Nordic insurer that has partnered with Accenture and Salesforce to drive the first cloud transformation in the insurance industry in the region. In this case, the company has focused its digital transformation on the customer. By rethinking your business, you are making yourself a competitive unique selling point. Let’s take a look at how their process sets a precedent for the industry.
The insurance industry needs a new approach
Traditionally, insurers have served their customers with a well-known suite of products that has been created over years of customer data analysis and insight. However, customer needs are changing rapidly. Customers want insurance products that adapt to their changing needs, as well as the ability to add or change a policy or to file a claim digitally. While many insurers have access to the data that make this possible, many lack the digital infrastructure to adapt quickly and flexibly. Fennia’s transformation was driven by a similar situation. While Fennia’s customer service and Net Promoter Score (NPS) are good, they want to keep pushing their customers’ customization.
“In our multi-year Future Fennia program, we strive to deliver the best customer experience in the industry. We want our customers to be able to create their lives and experiment with confidence. We have already polished our brand and further developed our customer experience. We are now making a big leap in the development of our digital services. To deliver the best customer experience in the industry in line with our vision, we must first evaluate our entire business and the systems that support it, ”said Antti Kuljukka, President and CEO of Fennia.
The intention to serve the customer needs to be reflected across the board. This starts with investing in a digital platform that can reflect a new insurance experience at every touch point. As the transformation of Fennia shows, the new platform should not only improve the customer experience and increase customer satisfaction, but also promote business agility so that the company can react quickly to changing market and customer requirements.
The importance of technology
After the rapid change of the last few years, most insurers will be thinking about a digital transformation. This supports a refined customer focus and business agility. However, not all technology platforms are created equal. The insurers who will stand out from the crowd will be the ones who invest in the technology that suits them best. In Fennia’s case, it was Salesforce, known for its customer relationship management systems. With its experience implementing the platform, Accenture was able to work with Fennia to establish an entirely new operating model and reimagine the customer experience with enhanced digital capabilities so that the customer comes first throughout the insurance process. This will help expand sales, claims and policy management processes
By building a new, digitally supported customer experience, Fennia will set itself apart with an innovative and future-proof platform to meet and adapt to the needs of its customers. The new system is being built in a future-oriented manner: The end result is a system that can be developed easily and flexibly. Thanks to cloud technology, the system is always up-to-date and can be used regardless of time and location.
“In practice, we are building up a new insurance business alongside the existing one, instead of just patching up the existing one. In this way, we can shape the future with our customers at the center, ”explains Patrik Serén, Fennia’s Chief Development Officer.
A bold reinvention is an opportunity for everyone
Insurers need to go beyond data and understand how customers think if they are to deliver at least an average experience. For an outstanding experience, they should know how this data is translated into relevant offers.
The cloud is an important tool for insurers – both new and established – because it scales quickly and uses reliable technologies as the foundation for transformation. However, as the latest report from Accenture Reimagining Insurance: The New Cloud Imperative shows, initiating or accelerating a cloud transition is not always easy. Fennia’s bold and visionary solution is an example of what it takes to carry out a strategic, relevant cloud transformation: careful planning, the courage to enable a comprehensive transformation of business and technology, alignment with leadership and a customer-centric approach.
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