For the insurance industry, data is a valuable resource for both the actuarial and underwriting sides of the industry. While the industry as a whole has been slow to adopt advanced analytics and emerging technologies, natural language generation (NLG) is a technology that invites a new generation of analytics solutions and enhances existing ones. NLG solutions empower the masses to become data-driven and data literate, bridging longtime gaps of data and analytics in insurance. NLG finds its sweet spot by stepping into the industries, organizations, and agencies that haven’t realized the capability of their data and want to shift their strategy in an age where companies either realize the potential of harnessing data and move beyond their current status or get left behind. We’re in a fourth industrial revolution, the technology is here.
The industry accumulates big data but is struggling to make sense of it holistically or figure out action steps to take based off what the data means. With the tremendous volumes of data collected by insurance providers on customers, risk, losses, product performance, and more, it’s imperative to have an entirely data-driven organization in order to see real business value. With natural language insights from Wordsmith within Tableau, insurers can get one step ahead of the competition by understanding and acting on business data even faster than before.
Increase Fraud Detection
Advanced analytics provide an integrated, single source for an agencies’ large amount of data required for fraud detection and risk management from underwriting to claims, law enforcement, and more. Seeing the real-time data in one place and being able to read about what’s being presented to you in entirety, enables you to detect fraudulent activity, suspicious links, and subtle patterns quicker than before because you’re not having to parse through mountains of information and piece it together to hopefully get the complete picture without misinterpretation or losing key insights. NLG gives you the story behind your data so you’re able to scan for fraud before a claim or policy goes through. Especially in the business of insurance where thousands of dollars (and people’s lives) are on the line, you need to be proactive, not reactive. Fraud losses and risks impact the operations of an insurer and can lead to price increases, hindering customer loyalty and potentially driving them to look elsewhere for cheaper options. Maintain your reputation, trust, and customer loyalty by detecting fraud before it moves through to completion.
Automate Report Generation
Wordsmith’s NLG automated the creation of repetitive, tedious reports like compliance reports, account statements, and other data-driven copy. This not only frees valuable analyst resources for more highly skilled tasks, but it ultimately helps expert insurance analysts scale their knowledge across an agency and organization to provide those with little to no data expertise the ability to utilize data and analytics when paired side-by-side with data visualization platforms, like Tableau. End users now have a full understanding of what their dashboards mean, what insights need to be communicated and dispersed throughout teams, and what action steps to take. Report automation helps users and viewers bypass time-intensive data crunching, ensures they’re getting the most pertinent KPI’s, and uncovers hidden insights that are otherwise less obvious. You can explore data and variables intuitively, can look at more scenarios in less time, and utilize narrative insights, powered by Wordsmith, to quickly and comprehensively understand what the data is showing and present these predictions to colleagues in a digestible format.
Enhance Customer Segmentation
Analyzing complex and constantly changing customer mix data can be both skillfully challenging and time-consuming. Agencies and enterprises are struggling to reach millennials and upcoming generations compared to older generations who have a firm grasp on insurance needs and insights. Learning how to target varying generations and speak to them in a way that makes them understand the value of life insurance will drastically increase lead generation and customer acquisition. Behind the analytics is a story about who your customers and prospects are. Data tells you their preferences, needs, and key differentiators that divide their pool into smaller groups based on their demographics, geography, psychographic, and behavioral tendencies. Accurate customer segmentation enables you to target those specific groups to get the most out of marketing resources, nurturing, and up-selling opportunities. NLG takes customer segmentation a step further to not only define your audience base but also gives you indicators and customizable narratives that allow you to speak directly to these customers.
Optimize Marketing Strategies
Advanced analytics can transform the way you harness and implement findings from customer interaction data. With clear behavior patterns, browsing selections, and other valuable feedback data provides, you can understand the why behind their choices to personalize marketing efforts for improved consumer engagement. Customers notice personalized offers, policies, loyalty programs, recommendations, and options. It garners their attention. Personalized, automated marketing is the key to attracting as many customers as possible, reaching the right person at the right time with the right message. Optimizing marketing strategies using Wordsmith enables you to track customers through the acquisition cycle and ensure a constant flow of leads meeting a variety of insurance solutions offered. Insurance companies need to know exactly who their target market is, have the supporting data to act on their target, and be able to hone in on individual customers for marketing. Wordsmith’s NLG automatically turns each customer’s specific data into personalized content with complete organizational control over the produced content. Each person has an individual story. Wordsmith invites them into your product because of the story you tell them about themselves. Through microtargeting, you’re able to personally relate to them and develop a relationship from the beginning of the customer cycle. Engage with your customer base on a whole new level.
Utilize Predictive Analytics for Valuable Insights
Predictive analytics additionally enables you to get ahead of consumer needs, anticipate potential business problems, better harness sales teams, and deliver solutions ahead of the need. Questionable insurance claims are only increasing, predictive and prescriptive insights from natural language generation assist in identifying fraud claims and customers before underwriting the policy. With clear, understandable analysis through clear language paired with data visualizations, your ability to detect and respond to changes in the business environment increases. Real-time insights deliver written analysis on demand for visibility that enables you to see the complete picture, tweak business processes for maximum efficiency, and gain a lead over competitors. Insurance providers need accurate information to analyze claims data and other records, predict potential client risk and reduce the amount of time it takes for the approval of coverage. Having predictive analysis paves the way to making better business decisions by anticipating future outcomes based on historical trends that affect the overall health of an insurance provider.
Wordsmith can not only instantly describe trends within the data, but it can also prescribe how to act on claims or process what to look out for in detecting fraud, regardless of end users’ analytical capabilities.