iPipeline Expands Product Management Group with Appointment of Industry Veteran Roy Goodart

Roy iPipelien 20 Year

Focus Will Be on Advancement of iPipeline’s SSG Digital Platform for Brokers and Advisors, Direct Writers and the Direct-to-Consumer Digital Experience

 

EXTON, PA (August 4, 2020) – iPipeline®, a leading provider of cloud-based software solutions for the life insurance and financial services industry, today announced the appointment of Roy Goodart as VP of Product Management. A 20-year veteran with a record of success in managing SaaS and business process automation platforms for the life insurance and financial services industry, Goodart comes to iPipeline from Paperless Solutions Group, where he served as Chief of Product and Customer Success. In his new role at iPipeline, he will be responsible for implementing his vision for the enhancement of the SSG Digital® Platform and Direct-to-Consumer (DTC) solutions, as well as executing the company’s overall product strategy to fulfill customers’ digital initiatives.

 

“We have been re-thinking our approach to our solutions given the impact of the COVID pandemic. As part of our initiative to accelerate the pace of digital transformation we have decided to add multiple additional senior leaders and top talent to our Product organization. We are happy to welcome Roy Goodart back to iPipeline to drive a seamless digital experience for consumers, agents, and advisors.” said Larry Berran, CEO, iPipeline. “We are looking to double down on our investment in this space and Roy has a track record of producing innovative, easy-to-use products that meet the immediate needs of our industry. Given the likelihood that more business will be transacted remotely, one of his strategic initiatives will be the continued development of comprehensive, next-gen direct-to-consumer (DTC) solutions, including DTC offerings enabled by advisors and brokers. Roy is no stranger to anyone in our industry, and we are pleased to have him onboard at iPipeline to drive our innovation.”

 

“iPipeline is in a unique position to deliver incredible value to an industry greatly in need of fulfilling their digital transformation imperative. The new challenges emerging from COVID-19 are going to be with us for the foreseeable future. There is no better way to overcome remote engagement obstacles than by using an integrated platform designed for agents, advisors, and consumers,” said Roy Goodart, VP of Product Management, iPipeline. “My immediate focus will be on advancing the SSG Digital platform, integrating new products, and delivering on the next installment of a DTC solution to power sales and meet consumer expectations.”

 

Prior to Goodart’s role at Paperless Solutions Group, he held key executive positions at Prospect9, Aplifi, AgencyWorks, and InsureSocket. He earned a Bachelor of Science Degree in Marketing at Westminster College, and a Master of Business Administration Degree from University of Phoenix.

 

For assistance in reimagining how your organization does business in the COVID-19 environment and to achieve a competitive digital advantage, contact sales@ipipeline.com or call 1-800-758-0824, option 2.

 

About iPipeline

iPipeline is a leading provider of cloud-based software solutions for the life insurance and financial services industry. Through our SSG Digital, end-to-end platform, we accelerate and simplify sales, compliance, operations and support. We provide process automation and seamless integration between every participant in our ecosystem including carriers, agents, general agencies, advisors, broker-dealers, RIAs, banks, securities/mutual fund firms, and their consumers on a global basis. Our innovative solutions include pre-sales support, new business and underwriting, policy administration, point-of-sale execution of applications, post-sale support, data analysis, reporting, user-driven configuration, consumer delivery and self-service, and agency and firm management.

 

iPipeline’s platform is used by approximately 150 carriers, 1,400 distributors and financial institutions, and their agents and licensed advisors in a cloud-based environment. With headquarters in Exton, Pennsylvania, iPipeline has locations in Bromley (UK), Burlington (Canada), Cheltenham (UK), Dallas, Fort Lauderdale, Huntersville, Ontario (CA), Philadelphia, Pleasanton, and Salt Lake City. Visit www.ipipeline.com.

 

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For iPipeline:

Lisa Shea

Marketing

lshea@ipipeline.com

484 870 6234

Solving Unique Pain Points For Life Insurance New Business And Underwriting

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By Ken Leibow

Published: August Broker World Magazine

 

There are a lot of changes happening in the life insurance industry because of COVID-19—market environment, types of insurance products, processes, and technology. As these changes are evolving, there are unique challenges impacting new business and underwriting. I want to show you some innovative solutions solving these pain points.

 

Life Carriers Need Predictive Underwriting in the COVID-19 World
In a perfect world insurance companies are changing their strategy in a void, a company changes pricing while the industry is static and the company can evaluate the impact on the policyholders and the profitability of the company over time. Due to new regulations, principle-based reserving (PBR) and a new standard mortality table, the 2017 Commissioners Standard Ordinary (CSO) Table, and now due to COVID-19, companies are changing pricing while the rest of the industry is also changing pricing. To be able to trace the impact of a change, to simulate strategies and make decisions quickly, companies must have reliable data and predictive technology (such as Artificial Intelligence and Machine Learning) to evaluate the impact in real time.

 

Companies are building complex products, and sophisticated underwriting protocols and benefit programs, to attract specific distributors, producers and customers or specific market segments or specific risks. Being able to simulate what-if scenarios and build strategies based on data allows companies to be more scientific and therefore generate better results. COVID-19 disrupted the way insurance companies onboard a policy, there is a move to eApp, underwriting is done remotely, the ability to take liquids has decreased. Companies that can predict the probability a policy will be placed and what would be the biggest driver to improve placement probability can help companies optimize their operation, reduce waste, and improve consumer satisfaction with the process.

 

iPipeline,® a leading provider of cloud-based software solutions for the life insurance and financial services industry, has integrated its InsureSight Case Analytics Platform with Atidot’s Predictive Analytics Models to analyze the impact of product and pricing changes based on prior sales performance and industry data. The ability to predict future performance based on product selection, producer group, producer, location, demographic and other critical factors, will enable life carriers to adjust product, pricing, or distribution strategy dynamically to optimize market penetration.

 

Transform Paper Apps into Digitized In-Good-Order Applications
In an ideal world we all want our agents to use eApp for submitting life insurance applications instead of paper so that they are submitted in-good-order, processed quicker, and automated as much as possible without having to manually handle the case. There are times when agents will paper-out of an eApp for various reasons or send paper apps to a BGA sending it down that NIGO, slow, expensive path. But now there is a solution to get the app back on track on the data highway. PaperClip, Inc., has a platform called Mojo. This is an innovative cloud-based service that digitizes the life insurance paper application from handwritten or typed text with 99.9 percent accuracy transforming it to data and data transactions.

 

Let’s say, for example, an agent sends a handwritten paper application to the BGA. The BGA then scans the paper application into Mojo, securely transforming the application into data. The BGA can use Mojo for several purposes. Mojo can send data to the agency management system (AMS) to auto-create the case. At the same time, Mojo can file the documents into the BGA’s document management system like PaperClip’s VCF System. And the application data transformed by Mojo can be sent to an eApp platform automatically to get it back on track and in good order. iPipeline has partnered with PaperClip whereby Mojo is seamlessly integrated into iGO eApp. iPipeline calls the integrated solution iGO Link. If the agent had papered-out of iGO, they still would have the opportunity from the BGA’s website to access iGO Link and get it back on track into the eApp process.

 

BGA’s can Reign in the Costs and Turn Around Times for Informals
Informal underwriting has not kept pace with the advances in formal underwriting. For decades there have been two forms of informal underwriting practiced by agents and agencies. One way, all the collection of health information is collected by the agency before formally presenting a prospect to carriers. When an agency does not have the resources of a support team nor a strong, cooperative relationship with the prospect, an agency will use a victim carrier’s formal underwriting to prequalify a prospect. With this second way, an agent’s investment may only be to find the carrier with the lowest Super Preferred rate, get a ticket app and let the carrier, the agency and the prospect do all the work until the carrier can come back with an offer. Often this offer is not Super Preferred and underwriting and selling starts from here.

 

Both processes are expensive and disruptive. Employee Pooling (EP) has a better solution. They can eliminate weeks of physical and emotional toll on all parties. EP’s accelerated informal platform uses data technology and human capital to give distributors on-demand access to the tools traditionally reserved for insurance companies. Tom Gray, CEO of Employee Pooling, said, “I have been on the distribution side of this industry for 30 years. This is how it has been. I have been determined to obtain solid underwriting data to use to get a meaningful tentative offer that can be counted on and reign in the costs and turn-around time. Our platform can find rich medical data, have it assessed by technology and our medical team and deliver an underwritable package, often within 24 hours. This way, the EP way, gives the agency the tools to put a summarized case up for bid and find the right carrier able to offer a premium that can be placed. The rest is a formality.”

 

eApp and Auto-Underwriting using an Omni-channel Sales Model
Life Insurance is still sold and not bought, however instant issue or simplified issue products can be quoted and applications electronically submitted through a consumer facing solution. This is not a carrier direct-to-consumer model because we are maintaining the agent ecosystem for the purpose of having the agent available for questions and for upselling and cross selling. There is a trend with several vendors today providing these eApp/Sales tools for agents and agencies. Management Research Services (MRS) has a unique platform that is No-Code, fully configurable electronic application platform. It can streamline requirement gathering during the application process, gathering data in the background (in real time) to reduce time with the applicant and provide an instant underwriting decision. Utilize the omni-channel approach to customize your sale, whether in an e-app, tele-app, or both. MRS’ seamless case management provides transparency for your agency and agents so they know where every applicant stands in the process.
COVID-19 and the unstable economy, with service providers who may or may not be in business tomorrow, it is time for BGAs and IMOs to take more control of their business by adding a call center to their agencies. Some of the benefits include increased customer satisfaction, higher conversion rate in completing submitted applications, and higher placement ratio. You also get an automated drop ticket experience that you control. A BGA who changes their model by adding a call center will get more efficiency and reduced costs in agent recruitment, freeing up specialists to focus on handling calls that utilize their expertise. There is consistent service when adding a call center which results in overall improved call quality.

 

BGAs and IMOs Can Take More Control of their Business by Adding a Call Center

A BGA will need a software solution that can seamlessly automate the drop ticket fulfillment process for the call center. ApplicInt’s CallComplete software is an end-to-end digital platform for a call center, already plugged into the carrier’s fulfillment process for completing the app with a client interview for term life drop tickets. CallComplete allows you to take control of the drop ticket process and better service your agents, automatically receiving the drop ticket from the eApp platform and then the carrier’s script, process, and voice signature are all integrated into CallComplete for either scheduling the exam or automatically ordering RX, MIB and MVR for an accelerating underwriting process.

 

Features of a Call Center for a BGA and IMO:

  • Real time assistance for the agent to help complete the drop ticket;
  • Warm transfer agent to client;
  • Call center can initiate the interview without a drop ticket;
  • Agent recruitment (prospecting);
  • Promoting new products and services, then handing over or scheduling to a specialist;
  • Front line to support agents for high level questions; and,
  • Agent pre-script before the carrier compliant interview and post-script cross-selling and agent referrals.

 

Yes, the digital sales model, whether agent-facing or consumer-facing, is being pushed in a direction requiring flexible, easy to use new business eApp tools with products and underwriting that can automatically make an underwriting decision when possible. This is driven by new market conditions like COVID-19 and Millennials. Whenever there is a break in the process there needs to be a doorway to get it back on track. These solutions enable life carriers, BGAs and agents to reduce their operational costs and become more efficient focusing on growing sales.

LBTC Announces New Co-Chairs

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We are excited to Announce that The Life Brokerage Technology Committee (LBTC) has elected 3 New Co-Chairs (See complete bios at end of post). The new leadership team brings a vast amount of industry experience to drive LBTC forward in working with its members in solving industry technology pain points and creating process improvement for Life Insurance services. The LBTC new co-chairs will also bring awareness of new innovations to the industry.

 

12345* Pat Wedeking, Vice President of Tellus Brokerage Connections

12345* Marjorie Ma, VP & Head of Product Management of AIG USA Life Insurance

12345* Brian Kirland, Senior Director Sales & Marketing of SuranceBay

 

 

The new co-chairs each represent respectively Distributors, Carriers and Vendors. They will serve a 2-year term. The new co-chairs are supported by the LBTC Steering Committee: Joann Mattson of Highland Capital Brokerage, Jeff Lingenfelter of John Hancock Insurance Company, and Ken Leibow of InsurTech Express. LBTC has 120+ industry members. Please see below on how to join LBTC.

 

The Life Brokerage Technology Committee (LBTC) is an independent working group whose purpose is to exchange information about technology related systems and services related to the marketing, sale, and servicing of insurance in independent distribution channels. Some of LBTC’s past initiatives focused on process improvement and solving technology pain points: Automated-Underwriting, eApp, eDelivery, eSignature, Commission Accounting, and Pending Case Status to name a few. LBTC conducts industry surveys, whitepapers, webinars, media and has a face-to-face meeting at the Annual NAILBA Conference in November. LBTC partners with other industry associations such as NAILBA, ACORD and LIDMA.

 

JOIN LBTC

There is no cost to becoming an LBTC Member. Each person who wants to participate in LBTC in your organization can join. Each person will need to fill out a membership form.  You can join LBTC by downloading the membership form and emailing it to Joann Mattson at jmattson@highland.com. Download LBTC Membership Form: https://lnkd.in/eHhHjfZ

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Pat Wedeking

Pat Wedeking is an industry veteran whose focus has been on process improvement, direct marketing and brokerage business development. Coming from the hospitality business as a PGA apprentice, Pat entered the life insurance business through Northwestern Mutual’s training program.  After 10 years in personal production Pat entered the general agency business with a technology driven brokerage focusing on lead generation a lead relationship management (LRM) system.  This platform served as the foundation of Quick Life which was sold to Crump in 2016.

 

During the growth of the brokerage Pat was the founding President of the Life Insurance Direct Marketing Association known throughout the industry as LIDMA.  This organization focuses on industry technology that improves the process of obtaining insurance and helped usher in the ubiquitous use of electronic payments, signatures and delivery of policies.  Further process improvement initiatives focus on voice signature, data based underwriting and bringing data closer to the point of sale.  After service to LIDMA Pat was elected to the Life Happens board of directors and served as Chairman of that organization in 2017. Since joining Crump Pat has been in business development positions focusing on the use of their transaction center platform and, most recently, with Crump’s IMO division, Tellus Brokerage Connections.  Pat brings energy and a big picture mentality to his endeavors.  He has a wealth of knowledge and industry relationships that will help any organization he serves.

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Marjorie Ma

Marjorie Ma is the Vice President and Head of Product Management and Market Intelligence, AIG USA Life Insurance. She has over 8 years life insurance experience and is now responsible for Life Insurance Product Development and Management at AIG, including product strategy development and implementation, as well as day-to-day product management across AIG’s broad life product portfolio. She is also leading Market Intelligence Team to collect industry and competitor updates and to provide actionable intelligence to product, pricing, sales, marketing and operation teams.  Marjorie joined AIG in 2012 after obtaining her MBA degree from Rice University and has since worked in the Life Insurance Industry.

 

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Brian Kirland

Brian J. Kirland received his Economics degree from Saint Mary’s College of California in 1997. He began his career in the financial industry as a Portfolio Manager’s Assistant at NWQ Investment Management. From 1998 until 2014, Brian was a part of a growing technology firm, Xtiva Financial Systems, whose products focused on the Broker-Dealer and Securities industry for Sales compensation. Brian then joined LaserApp Software in 2014, deepening his insurance technology expertise. During his two years with LaserApp, Brian spent his time meeting agency principals and carrier partners helping establish a new business platform for the firm.

 

Brian joined SuranceBay as a National Account Executive in July of 2016 and currently serves as Senior Director of Sales & Marketing and a member of the executive management team. Brian works to increase sales within the distribution channels, carrier partners and vendor integrations for SuranceBay’s flagship product, SureLC™. Since 2009, SuranceBay has been an industry leader in providing innovative licensing and contracting software to independent brokers, agents, and carriers. The recent introduction of complementary tools such as DataLink, SureLC One, Background Screening, and AML training, makes SuranceBay’s SaaS platform a one-stop-shop for over 85% of the independent life insurance agents in the United States. SuranceBay incorporates the assets of more than 600 life insurance carriers with subscriptions from over 800 BGAs, optimizing the workflows of 425,000+ active producers nationwide, and processing over 50,000 monthly contract submissions.

 

Issues and Solutions to Commission Accounting

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By Ken Leibow

Published in NAILBA Now Newsletter

November  2019

 

Commission Accounting Systems have been around since the mid-1980s. They are usually found as a standalone system, and having three main purposes:

  1. Commission Reconciliation (Did you get paid as expected?)
  2. Tracking Payables (Track out-of-house deals with top producers on modal premium)
  3. Know your score card (Report on your income by line of business, carrier, and top producers)

Current Issues
There are two challenges with commission accounting systems. The first challenge is setting up carrier commission schedules, assigning those contracts to agents and then building hierarchies. In the Life Brokerage General Agency (BGA) channel for example, the average BGA is writing business with 20 + carriers and each carrier has several Life and Annuity products. Each product has rules like commission banding by year (first year & renewals), banding by age, target and excess premium commission rates on UL products etc. Carriers offer BGAs several commission levels that a BGA can use for their hierarchy downlines. Setting up these commission schedules is a lot of manual work. Even if a system offers tools and resources to build and maintain these commission schedules, there is no process that validates they were even setup correctly.

 

The second challenge with commission accounting systems is to process commissions received on each case on modal premium. If a BGA, for example, writes a large block of business, then to manually process each commission statement is cost prohibitive. Therefore; a carrier’s commission data feed into a commission accounting system is critical. The problem is that even if the carrier uses a data standard, the commission data feeds are not consistent or complete from every carrier, making it difficult to accurately reconcile commissions.  Many distributors will still go to visit 20 + carrier websites or even lookup paper commission statements to verify they have been paid correctly.

 

Solutions
There are several solutions to the challenges of commission accounting systems. A carrier, for example, could electronically send their commission schedules in a data standard that could automatically update the distributor’s commission accounting system. This would eliminate all the manual setup of commission schedules for a distributor. Commission data aggregators could build a verification process that rejects bad or incomplete commission data files, thus only delivering clean data to a distributor.

 

A new innovative solution is that a carrier and distributor together could use Blockchain technology. The carrier commission schedules could be programmed into “Smart Contracts” that are used by both the carrier to calculate to pay commissions and used by the distributors commission accounting system to reconcile commissions. The commission schedules only need to be created once. The beauty of the Blockchain is that each party of a commission contract must approve the contract prior to it being available on a Blockchain for use. These parties connected to the contract essentially build an agent hierarchy and each participant in the hierarchy has a private key with access to the contract and the commission detail in the commission statement. This type of solution can offer privacy and security, thus enabling trust, accuracy and simplicity across the business.

 

 

Digital Insurance: Technologies and Strategies Driving Insurance into the Connected Age

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Mariana Dumont
Head of USA Operations
Insurance Nexus

 

The ability to accurately discern the past and predict the future based on nothing but data points and the experience of actuaries and adjusters has served the industry well up to now. Insurance is, after all, a multi-billion-dollar, truly global industry. While this remains the case, the landscape is now radically different to the past, thanks in part to the advent of the Internet of Things (IoT). The use of these technologies that collect, record and transmit live data has proliferated exponentially over the past decade, and for a data-reliant industry like insurance, the impact has already been profound.

 

They may already seem ubiquitous but estimates of how many IoT devices will connect our cars, homes, communities, medical services and work lives by the year 2020 range from 30 billion[i] to 50 billion[ii]. Whatever the precise number, this will generate (and already is) a huge amount of data to be analyzed and monetized.

 

This increase in the quality and quantity of available data is already producing some significant outcomes; the process of writing policies can now be far better informed by what is known about the risk level of an individual or entity, as opposed to simply what is known about the claims generated by an entire class of risk. Some carriers have already begun this transition; John Hancock, for example, announced in 2018 that all new life insurance policies must henceforth use digital fitness trackers to monitor policyholders[iii]. Using the high-quality, objective data derived from IoT, it is now possible to assess claims more accurately and efficiently, and in some cases, even prevent them from arising entirely.

 

“IoT is already enabling customers to avoid bad things happening to them. Some people call it prevention. I see it as empowerment of customers.” – Nick Ayrdon, Head of Strategy & Development at Aviva

 

In turn, this is changing how insurers interact with customers, both before and after a claim, with one executive predicting that that we are in fact “shifting from a claims-handling business to a claims prevention one”. As the value proposition of exchanging data for value becomes more concrete, it could become a strong pull-factor driving uptake of connected insurance products. And yet, already operating in an environment of squeezed profits, high regulation and low consumer trust, the industry is witnessing something of a perfect storm at present.

 

There is no question as to whether the global insurance industry is going to go digital, and most of the industry understands why it will. The real problem for most is how it should happen and creating an environment in which they can maximize the value of insurance technology. As Michael Lebor states, this is not simply a case of reorganizing a particular department or function: “In my opinion, IoT is not a product, it’s a paradigm shift, a completely different way for technologies to interact with each other. Devices are going to be talking to each other, there are going to be hubs, and we must leverage that throughout the entire lifecycle of our product, whether for distribution, or on-boarding customers, or using it for claims and first notice of claims. It’s not one product, it’s a holistic way of thinking.”

 

Any transformation of this nature will invariably lead to substantive changes in how insurance carriers operate internally and whereas digital insurance projects were generally siloed to innovation departments in the past, executives agree that is starting to change. While the survey found that only 14% of senior management teams were currently affected by the introduction of digital insurance, the most commonly cited reason was that initiatives had not yet reached the point where it had become necessary (the implication being that management will take a more active stance when projects have scaled sufficiently).

 

Similarly, American Family Business Development Manager, Shaun Wilson, suggests “until there are a lot of devices providing a lot of data about specific risks, the carrier is not going to have the insights about whether or not these devices mitigate risks to any level of significance. That’s the promise of this approach, but nobody has enough data yet to validate the hypothesis.” As carriers leverage connected technology more and the impact on the business deepens, however, we can expect to see greater top-down management and involvement from board level stakeholders[iv].

 

To provide a comprehensive overview of the progress and prospects of Connected Insurance, Insurance Nexus have produced the Connected Insurance Report, an in-depth study of the progress of insurance technology globally, today, and in the future.

 

As the industry begins to understand how it can exploit the possibilities of connected and digital insurance, the Connected Insurance Report has crystalized the concerns of those tasked with turning an unprecedented technological revolution into market-ready products. At first glance, one might assume that the ability to learn more about the risks they are insuring should allow both for policies to closely follow the risk over time, and secondly that the ability to gather more information about a claim will discourage fraud. The net result should therefore be greater profit for companies, and lower premiums for their customers.

 

At second glance, it is just as clear that the picture is much more complicated than that. As we talked to more and more executives, it became apparent that the industry is only just beginning to work through the practical problems it faces. Indeed, questions as basic as the best way to install a sensor in a building are still the subject of lively debate. Ultimately, the world of insurance may be next in line for the kind of creative destruction that the tsunami of digitisation had brought to IT, telecoms, media, retail, hospitality, manufacturing, financial and business services.

 

The Connected Insurance Report was researched and produced by Insurance Nexus in collaboration with the IoT Insurance Observatory. It is the first of its kind to conceive of insurance IoT holistically, as a paradigm shift necessitating changes in insurer business models, organisational structures and technology stacks. Insurance Nexus surveyed the experiences of more than 500 insurers and reinsurers to assess where they sit in the connected insurance market and to extract the challenges they face and their stories of success.

 

Along with a panel of 20 industry leaders who have been operating at the sharp end of the IoT revolution, Insurance Nexus looked at these hurdles and opportunities and pulled them apart to provide readers with the case studies with actionable insights to help guide decision-making as the industry tackles its own strategic milestones.

 

 

Tech infographic

 

[i] https://spectrum.ieee.org/tech-talk/telecom/internet/popular-internet-of-things-forecast-of-50-billion-devices-by-2020-is-outdated

[ii] https://www.accenture.com/gb-en/insight-insurance-internet-things

[iii] https://www.bbc.co.uk/news/technology-45590293

[iv] https://assets.kpmg/content/dam/kpmg/xx/pdf/2019/03/insurtech-trends-2019.pdf

Life Insurance Companies Investing in Insurtech Accelerators

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Why are so many of the biggest players in the life insurance sector investing substantially in their own insurtech accelerators? They know that these tech companies are creating the future that will help traditional life insurers in their own transformation processes. They also know that it is simply a wise financial investment. Insurtech is one of the fastest growing sectors of the economy. Given the flexibility inherent in the startup sphere, these companies are also able to look at perennial concerns from a fresh perspective. With a host of new tools at their disposal, they can tackle problems with innovative approaches and often at minimal cost.

 

The life insurance industry as a whole has long struggled with the problem of trying to sell a product that forces people to consider their own mortality, an uncomfortable situation. However, current trends in wearables, data analytics and instant communications have given the industry a tremendous opportunity to focus on fostering wellness and quality of life. Consumers can think of their life insurer as a partner for living, rather than the last thing they want to think about.

 

The growing world of insurtech also allows smaller life insurance companies to punch above their weight. They can bypass clunky traditional systems and implement sleeker, more minimalistic software that takes advantage of new technologies in cloud computing, data analytics, AI and machine learning.  Smaller insurers can also look to insurtech firms to facilitate their adoption of the latest trends in distribution, customer service, pricing, claims and even underwriting, at a fraction of the cost of traditional software solutions.

 

You can learn more about insurtech, and meet the heavy hitters, at InsureTech Connect, September 23rd – 25th, 2019 at MGM Grand in Las Vegas. Register.

 

InsureTech Connect is the world’s largest insurtech event, offering unparalleled access to the largest and most comprehensive gathering of tech entrepreneurs, investors and insurance industry executives from across the globe. Founded by Jay Weintraub and Caribou Honig, ITC is expecting more than 7,000 attendees from 60+ countries this year. InsureTech Connect 2019, presented by Oliver Wyman, will be held September 23rd – 25th, 2019 at MGM Grand in Las Vegas.

 

 

Tech-Tock

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Republished from PaperClip Blog

Tech-Tock is a new column where we address the cyber world connection to Life Insurance and the channels. Several Thought Leaders will discuss the latest technology trends and why you should care about mobile/marketing, web/new business, document management/compliance, security/risk and more; basically, technology, its business effect, and its trends. At the end of the day, we want to intrigue you and give you a sense of urgency to integrate with change.

I think the way to start is to identify our players and their technology. Our players are the Millennium and Baby Boom Generations. The Boomers represent the institutions and the Millennials are the new middle management of these same institutions. As Millennials grew up in the digital explosion, the way they learned access to information behavior is so different that it affects the way they approach problem-solving. At age 30, Boomers would have to call a travel agent to book a flight, today Millennials can hold a portal in their hand and in less than 60 seconds do the same. At age 30, Boomers would have to drag their finger in circles listening to clicks to order a pizza, today Millennials holds up their portal and says, “order pizza”. Millennials have different experiences with transactions today and the process of selling and processing life insurance will evolve and integrate with their portal; point being it will be a marketplace app.

Technology thinking has already changed whereby Millennials are all about outsourcing. I’ve seen in my 40 years of technology a cycle of on-premise to outsourcing cycles changing every 10 years. The new generation has adopted outsourcing and it will never change again. The advent of Cloud computing and soon the new Quantum computing, third-party platforms will host all the applications, and internally all the institutions will host are their portal interfaces (mobile, tablet, desktop & IoT devices).

Recently attending the Nexus Insurance Show (Chicago, Nov 2018) the startup companies presenting powerful new applications understand the demand for hosted applications because the Millennials are the buyers. Artificial Intelligence leads the day with every one of the 40 exhibitors talking about their unique application and benefits of AI. One showed how eights pictures of a damaged car could produce a repair estimate in less than a minute. One showed smart home AI whereby water leaks could be detected and turned off saving millions in claims. One showed a Machine Learning process flow application which could display the real-time movement of the company’s workflow and measure their efficiencies. Many of the companies will be acquired and continue to expand the tool bag of larger established vendors which will be the winners. Winners because with so many startups building out a solution to solve a specific problem, integration has always been the challenge. In the past, the institutions supported standard organizations for supply chain integration but this remains labor intensive with ongoing expenses. As larger vendors acquire technology and accept the responsibility of tight integration, only then will they emerge. The last thing to do is ask a Millennial to key information in, over and over again.

Boomers, no matter the size or number of people in your institution, the message is keep your technology fresh, exciting and outsourced. It’s time to turn off that server in the closet and to start finding outsourced tools to help train, sell, process, deliver and store your business all from a portal. Millennials, you need to be patient. I have not seen much change in technology in the life insurance industry over the last 20 years, for example, independent life production comes in on paper 80% of the time even today. The good news is you’re now in charge and I see the change coming very fast. Congratulations! By, Mike Bridges – President of PaperClip Inc. 

There are great Insurtech articles from the TECH-TOK column you must read. Please visit Broker World Magazine.

Distribution Technology

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Distribution technology is a big part of InsurTech for Life Insurance, Annuities and Long Term Care Insurance. There are multiple distribution channels in the space (Independent, Financial Institutions, Direct Marketer, Direct to Consumer, and Captive/Career). The various channels sell similar products in their respective lines of business. The solutions that they use are similar and sometimes quite different. What sets them apart even further is the process from sales to new business and from policy delivery to commissions. For example: An independent agent will more likely fill out a paper annuity application on a fixed annuity and submit it to their Brokerage General Agency (BGA). A financial advisor on the other hand who works for a bank will submit the annuity application using the bank’s independent broker dealer’s clearing firm’s  annuity order entry platform (AOE) like Ebix’s AnnuityNet. The process on the back end is using DTCC for settling money for premium and netting commissions. Another example is when an independent agent writes a term life insurance application using a multi-carrier electronic application platform (eApp) like iPipeline’s iGO accessed on a BGAs website. Depending on the carrier and product selected the process may be very different such as a term ticket with tele-interview fulfillment; an eApp with accelerated underwriting; or a simplified issue with predictive underwriting and eSignature.

 

InsurTech Express is the place to get educated on distribution technology.  If you are looking to invest in distribution technology, you will find information on solutions and solution providers at InsurTech Express. There are key industry documents on the home page and resource links on the footer of the site. You will continue to see more information on distribution technology as InsurTech Express evolves. Many other resources of InsurTech for Life and Annuities is also available on InsurTech Express.

 

By Ken Leibow, ken@insurtechexpress.com