Digitization will be the future of insurance and insurance firms in Nigeria, Leadway Assurance Company Limited has warned. Insurance companies must be ready with cut-to-fit plans to engage in digital channels that are robust and completely customer-focused.
This was made known by Akinyemi Alebiosu, Principal Investment and Strategy of the insurance giants during an online training for reporters.
He maintained that with time, digital channels would eradicate the relevance of insurance agents who at the moment hold sway in the industry.
According to the Punch, Alebiosu said, “Data is the new oil and underwriting… the future is going to be driven by data and analytics. We are getting to a point where we will be using historical records, using robotics, artificial intelligence in making decisions of pricing, type and extent of risks we take.
“Insurance companies of the future will seek to collect large pools of data, analyze them, try to make meaning of them, prepare or create predictive models and at the end of the day make decisions that will make the products better.
“In analyzing the data, for example, I want to know the pain point of our customers, what is their biggest concern, how I am able to create products that meet these needs at the lowest cost because if I have proper data, I can predict incidents of loss and properly price it and also know what their price point is.
“So, at the end of the day, if we use data and analytics correctly in our underwriting process, the customer will be happy, the underwriter will be happy and all the stakeholders will benefit from the insurance ecosystem.”
Azuka Edokobi is a Writer , a Farmer, a Supply Chain Expert and an Entrepreneur