What is workflow automation in insurance underwriting?
Workflow automation in insurance underwriting is the use of technology to automate insurance applications. It streamlines the process of evaluating and accepting insurance applications, leveraging software to manage the underwriting workflow and reduce manual effort.
From data collection and risk assessment to pricing and policy issuance, workflow automation integrates data-driven systems to reduce labour, speed up decisions, and increase the accuracy of information.
Why is workflow automation helpful?
In a complex industry like insurance, underwriters must quickly assess and customise a large range of policies. Automating client data intake and policies can enhance the accuracy of information and reduce human error. Workflow automation also limits the time spent on repetitive, low-value tasks, enabling underwriters to focus on higher-value work.
Why is workflow automation important for underwriters?
Enhanced efficiency of work: Workflow automation reduces the time and effort spent on manual labour and repetitive tasks. Underwriters can then focus on higher-value tasks and use their specialised skills more purposefully. Day-to-day workflows become more efficient and streamlined.
Greater accuracy of information: Automating internal processes means that human error is reduced. When underwriting is handled manually, there is a higher risk of delays, inefficient processes, and data entry errors. Workflow automation speeds up internal processes, improves the accuracy of data, and limits human error.
Quicker decision-making and better customer experience: Automating workflows enables underwriters to make quicker decisions about insurance applications. At the same time, faster claims processing improves the customer experience.
Improved consistency in the evaluation process: Workflow automation helps build a consistent and highly integrated evaluation process. With automated processing, every application is evaluated according to the same standards and protocols.
Increased transparency for auditing: Workflow automation provides a clear, highly traceable audit trail of how a decision was reached. Real-time visibility into the workflow increases the transparency of information and processes.
What are the key benefits of workflow automation?
Automated task designation: Workflow automation sets up integrated internal systems for staff. Tasks are automatically assigned to the right person or team based on predefined rules.
Improved data integration: With workflow automation, internal systems and software are completely integrated, meaning they share data across different platforms. Data integration eliminates manual data entry requirements and ensures information is exchanged in real time.
Straight-through processing: When it comes to simple insurance applications, workflow automation can provide a ‘straight-through’ process where a decision is made, and the policy is issued without the need for manual intervention.
Rules-based decisions: Workflow automation software contains predefined rules and often relies on AI. Decision-making processes for claims become highly rules-based. Rules are applied to assess risk, pricing, and to accept or reject claims/decisions.[EV1] [TH2]
Continuous monitoring and reporting: Another key benefit of workflow automation is real-time visibility into the status of applications. Monitoring and reporting are continuous, and the automation software can generate reports on workflows, progress, and performance outcomes.
How can Gratex help?
At Gratex, we are insurance underwriting and technology experts. Our mission is to drive digital transformation for underwriting agencies across Australia and New Zealand. We provide customers with the freedom to grow and the agility to innovate.