Chatbots and the Rise of the Automated Insurance Agent

Recently, the market’s best insurance agency management systems with the chatbots have been implemented by insurance organizations striving to enhance the quality of client support. In this way, rather than hiring an entire bureau of specialists committed to handling client demands, calculating their insurance costs, and doing different assignments, an organization can use a chatbot. Chatbots represent considerable authority in layout answers, having a total database of them within reach (in addition, they can give answers created by AI). Let’s take a look at this cutting edge software and its abilities for a dynamic organization management system.

Chatbots types

There are two types of chatbots, depending on a specific client’s demands:

• all-purpose, AI-based chatbots (ready to answer the greatest scope of inquiries; the most exceptional arrangements can effectively replace human insurance operators and are incorporated with instant CRM frameworks and Claim Management systems);
• pre-modified, calculation based chatbots (the most crude dimension of chatbot capacities; such arrangements can be executed even by an amateur software engineer).

Taking insurance business, specifically, here, committed programming arrangements have an inestimable influence in client administration (just imagine what number of requests a regular insurance agency forms every day).

How does a chatbot work?

To connect with clients and imitate human, chatbots use either basic messenger platforms, for example, Facebook, Messenger, Slack, Telegram, or Viber, or uniquely created stages designed to fulfill the needs of a specific TA. Concerning the system of supporting a discourse, different chatbots can be founded on standards (i.e., work as per the predefined parameters by the developers’ algorithm, as most different kinds of software do) or use machine learning capabilities and/or artificial intelligence (AI).

The last is very unpredictable in implementation, however it makes chatbots powerless to the broadly wide scope of tasks (developers don’t have to work through every single variation of reactions to client demands, self-learning instruments handle the greater part of the work).

The chatbots dependent on standards predefined by the developers (the original of chatbots) work by the similar principles as any other automated user interaction systems (e.g., Smart IP telephony systems). They basically give clients the choice of some options (“push ‘1’ to transfer money”; ‘2’ — to view balance; ‘3’ — something else, etc.).

Concerning AI-based chatbots, they can give an entirely realistic level of communication (Siri is an extraordinary example) because of a capacity to copy self-learning process each time a chatbot interacts with a human. Consequently, chatbots can store their past useful encounters and estimate a portion of the clients’ goals and wants, giving a productive and useful dialogue. Also, the capacities of AI-based chatbots given by the best p&c insurance software vendors are gradually expanded, and the interaction experience is being upgraded due to the development of IT branches, for example, Natural Language Processing, which is centered around the recognition of context in human speech.

Prospects of chatbots implementation for automated workflows

As you may know, in the insurance business, chatbots are able to solve one of the most important issues — they can provide the effective methods for communication with clients (client support) without the need to build up a full-blown call-center. A totally separate department housing numerous highly-qualified insurance agents (picture how much money you would require for new workspaces, handle all the taxes, and have the capacity to offer a competitive salary). Despite everything, you’ll require a few administrators who might be in charge of non-insignificant inquiries or speak with clients if they specifically would like to contact a live human being. Nevertheless, the intelligent software allows for much less expense.

In this way, we can see that automated insurance agents can be a genuine solution for average- and large-scale insurance organizations. The thing is, great client service and employment of insurtech advancements are about the entirety of that is left that can help organizations remain focused in the market filled to the overflow with insurance offers. And, as indicated by practice, organizations that effectively use chatbots for client support have much more elevated amount of execution compared with all-human client support solutions (because a single chatbot can simultaneously interact with thousands of clients).

An insurance agency management system implementation: summary

In this article, we learned what a chatbot is and which issues the execution of an automated insurance organization management system in the current functionality can help solve better than a human. Specifically, this insurance software permits understanding the following assignments without the immediate support of live insurance specialists in a dialogue with clients:

• requests processing;
• nearest office search;
• complaint processings;
• immediate insurance notifications;
• automatic calculations.

The implementation of the dedicated agent insurance software leads to the huge increase in the level of sales and client rates.

Chatbots and the Rise of the Automated Insurance Agent was originally published in Hacker Noon on Medium, where people are continuing the conversation by highlighting and responding to this story.