A new report by Munich Re unit Munich Re Automation Solutions has hailed Augmented Automated Underwriting (AAU) as a technology that will revolutionise customer experience in the re/insurance industry.
Specifically, the paper examines how AAU builds on and evolves previous technology investments and implementations, and whether the technology is the inevitable destination for life insurance underwriting.
“AAU provides the answer for two of the biggest priorities for life insurance firms, meeting the expectations of an increasingly tech savvy customer base, and satisfying internal pressure to bring down the cost of onboarding,” said Paul Donnelly, Executive Vice President EMEA, at Munich Re Automation Solutions.
“Those who successfully adapt will be able to harness the power of AI to unlock greater business value from advanced analytics applied to an ever-increasing list of data sources,” Donnelly went on. “Ultimately, this will allow firms to transform their customer experience, offering a journey which is easier, quicker, and less likely to be uncompleted.”
Munich Re Automation Solutions describes AAU as the fifth generation of the digital evolution of underwriting and the product of three components: technology, analytics and insurance expertise.
And although most firms currently sit between the first and third generation, AAU capabilities can be built into existing underwriting processes.
Donnelly continued: “This technology is allowing us to reinvent the customer experience of the life insurance market, whilst making sure that firms don’t fall foul of regional data regulations. Augmented automated underwriting will allow greater underwriting accuracy, minimise false positives, and reduce spikes in risk.”
“Additionally, a key advantage of AAU is that it can be built into existing systems, however this is a complex journey, so firms need to select the right partner to ensure implementation success.”