Challenges Faced by Insurance Underwriters Today
A day in the life of an underwriter is marked by several complexities. Let’s imagine that Alex is a typical underwriter – what does this job entail on a daily basis?
Alex processes many applications forms every week, covering a massive breadth of policy types, each with its own nuances. As the business grows, the volume of submissions rises exponentially, adding to the workload. As a result, Alex is left with little to no time for upskilling, exploring the latest market trends, and introducing value-generating innovations in the underwriting process at the company.
Here are five common challenges Alex faces:
- There is a varied set of documents to reconcile. Brokers, agents, and customers submit their files in multiple formats that need a lot of effort when extracting the data.
- ThereThere is no analytical model that will identify instances of incomplete information. This places enormous responsibility on the underwriter’s shoulders — if Alex misses a gap, it could delay the underwriting process, leading to customer dissatisfaction.
- ThereThe dependence on manual effort means that there is always a risk of Alex making an error. This is compounded by growing submission volumes, policy types, and data sources.
- ThereThere is no one, unified platform Alex can use to track the submission process. As a result, there are repeated follow-ups with agents/brokers, further diverting precious time.
- ThereFinally, the onus of clearing or rejecting the submission is on Alex, without any assistance from advanced technology systems.
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