The insurance industry handles vast amounts of paperwork daily, leading to inefficiencies and employee stress. Automation and intelligent document processing technologies have emerged as solutions to streamline insurance operations. By adopting these innovations, companies can enhance productivity, reduce human error, and improve service delivery.
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Operational challenges in insurance companies
The insurance industry is currently facing a massive volume of documents and paperwork that need to be processed daily. According to a report by the Vietnam Insurance Association, an average insurance company processes about 10,000 claim requests each month. Handling these requests manually creates significant challenges for both employees and businesses.
The high volume of work places immense pressure on staff, leading to overload and stress. A study by Deloitte found that around 60% of employees in the insurance industry experience excessive work pressure due to manual tasks. Errors during manual processing are inevitable when staff have to deal with large amounts of data and paperwork. Furthermore, prolonged processing times can negatively impact customer experience and operational efficiency.
Automation & Intelligent document processing solutions
Robotic Process Automation (RPA) and Intelligent Document Processing (IDP) are optimal solutions that help insurance companies reduce pressure and increase productivity in handling paperwork. Below are some key applications of these technologies in the insurance sector:
- Claims processing: RPA acts as an end-to-end automation solution. It eliminates the need for human input by integrating all applications and systems seamlessly. The combination of RPA and IDP in an Intelligent Automation (IA) strategy significantly saves processing time. IDP can automatically collect documents, verify information for the First Notice of Loss (FNOL), extract data from paper documents, apply NLP/ML for data processing, classify data, and input it into the system without human intervention.
- Policy management: IDP can automate and organize the storage of policy-related documents. Missing or expired documents are automatically flagged, ensuring easier compliance with audit processes. Next, RPA bots send policy renewal alerts to contract holders automatically.
- Underwriting: IDP uses advanced AI algorithms to extract critical data from documents related to the underwriting process. These algorithms accurately interpret data from unstructured documents such as medical records, financial reports, and legal contracts. If anything suspicious arises, the bot triggers an immediate alert. This speeds up the underwriting process, saves time, and improves accuracy in insurance issuance. According to Forrester Research, 80% of businesses that adopt IDP report significantly faster document processing.
- Fraud detection: With AI-powered RPA, insurance companies can analyze large volumes of data, including policyholder information, claim data, and compensation records, to detect anomalies and potential threats. These AI systems can also monitor transactions and data in real-time, issuing alerts when necessary.
Read more: Why Intelligent Document Processing (IDP) Is Driving Business Processes?
Success stories from PJICO and Bao Viet Life Insurance: Increasing document processing efficiency, reducing employee stress
PJICO saves 80% invoices processing time
With over 30 years of development, PJICO has become one of Vietnam’s leading reputable insurance companies. PJICO is accelerating its digital transformation roadmap for 2023 – 2028 with the goal of achieving sustainable, safe, and efficient operations on a digital platform, enhancing customer experience and expanding business opportunities.
In managing invoices, PJICO handles thousands of incoming invoices daily. A traditional invoice processing procedure at PJICO involves up to seven steps, including electronic invoice receipt from suppliers, status checks, uploading to the system, and preparing payment requests.
PJICO chose akaBot’s solution with OCR to automate the entire process. As a result, the average time to process each invoice was reduced from 15 minutes to just 3 minutes, a 80% time savings. This also reduced error rates by 99.9%.
Bao Viet Life Insurance saves over 5,700 working hours annually
Founded in 1996, Bao Viet Life Insurance has continuously expanded its network and services, becoming a pioneer in Vietnam’s life insurance industry. The company offers over 50 insurance products to meet the financial protection needs of millions of customers nationwide.
At Bao Viet Life, employees tasked with handling large amounts of repetitive daily tasks. Data entry and reconciliation processes involve multiple steps that must be performed daily and require absolute accuracy. Due to the complexity of these tasks, error rates could range from 20% to 30%.
Bao Viet Life implemented RPA virtual assistants from akaBot to create a new workflow, reducing the need for human presence in daily operations. In this workflow, staff only check and evaluate the final results. With the help of virtual assistants, Bao Viet Life has saved up to 80% of work time, equivalent to over 5,700 work hours annually, while reducing errors and increasing employee satisfaction.
Enhancing insurance industry operations with akaBot (FPT)
akaBot (FPT) is a pioneer in providing automation solutions with nearly 4,000 enterprise customers in 21 countries worldwide (data from Q3 2024). The akaBot solution has proven its effectiveness thanks to the following advantages:
– Intelligent Automation solutions integrating multiple technologies, including AI/ML, OCR, IDP, Process Mining, Task Mining, Computer Vision, Business Process Management Systems, eKYC.
– 24/7 effective customer support.
– Solution capabilities and customer support are recognized by leading global technology evaluation organizations (Gartner Peer Insights, Everest Group, IDC…).
– Rapid Return on Investment (ROI) within just seven months (G2 Report).
– Fast implementation: Proof of Concept (PoC) in just one week for the first automation process.
Adopting automation and intelligent document processing technologies is a strategic step for insurance companies to optimize operations, reduce workload, and increase efficiency in processing documents and paperwork. akaBot will be a trusted partner to help businesses keep up with technology trends and enhance their competitiveness in the market.
References:
Top 9 Intelligent Document Processing Use Cases in Insurance Sector for 2023
Top 10 RPA Use Cases In Insurance Industry
akaBot (FPT) is the operation optimization solution for enterprises based on the RPA (Robotic Process Automation) platform combined with Artificial Intelligence, Process Mining, OCR, Intelligent Document Processing, Machine Learning, Conversational AI, etc. Serving clients in 21+ countries, across 08 domains such as Banking & Finances, Retail, IT Services, Manufacturing, and Logistics…, akaBot is featured in “Voice of the Customer” for Robotics Process Automation” by Gartner Peer Insights, G2, and ranked as Top 6 Global RPA Platform by Software Reviews. akaBot also won the prestigious Stevie Award, The Asian Banker Award 2021, Everest Group’s RPA Products PEAK Matrix® 2023, etc.
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