The COVID-19 pandemic has had a major impact on almost all economic sectors, and insurance is no exception. The pandemic has resulted in a ‘new normal’ and the digital world has never been more important than it is today - whether it is to purchase groceries and essential supplies or to socialize and virtually catch up with friends and family. Consumers are buying everything online, including insurance. Many of the changes adopted during this exceptional time will remain with us long after the situation has normalized.
Historically, epidemics compel us to adapt, innovate and change the ways in which we work to achieve progress. As the pandemic continues to unfold and customers focus on preserving their existing resources through exploring value-for-money solutions online, the global COVID-19 response has highlighted the urgent need for digital transformation to sustain businesses. Industries, such as insurance that have traditionally been resistant to change, are being forced to take stock and make the leap into the digital era faster than they had anticipated.
Insurers need to start preparing for the future by digitalizing their operations on a priority basis to capitalize on the business opportunities opening up every day. This is a time when people are more likely to become risk averse and take out insurance policies to protect themselves and their families. Insurance is set to become a necessity for every household and for small and medium businesses as well.
Traditionally, insurance application processes take several weeks to complete. However, in these last few weeks, we have woken up to a world where agility is the need of the hour. The decision to buy, the actual buying, paying and claiming of insurance must now happen from the customer’s home. Automating processes and digitalizing records will allow organizations to make their products available to a larger segment of the population, at a time when demand is skyrocketing, and more people realize the vital importance of insurance.
At Democrance, we have already been able to do this successfully around the world. We are deeply committed to ensuring that insurance products are made available to those who need it the most, quickly and at an affordable cost. In the UAE, we have partnered with AXA Green Crescent Insurance Company P.J.S.C. (GCIC) to launch a fully digitalized life insurance solution. Life Protect aims to encourage customers to protect themselves and their loved ones from financial hardships that they might face in the event of death or illness. With Democrance’s platform, you can now get a life protection cover in under two minutes, from the comfort of your home.
The daily drumbeat of news about the havoc wrought by the coronavirus has every industry executive rethinking not only traditional consumer buying behavior but also on navigating the world ahead, post COVID-19. Only organizations that remain agile, flexible and innovative can hope to survive and thrive in this new normal, and at Democrance, we are focused on empowering organizations to do just that.
Michele Grosso is the CEO of Democrance, an insurance technology startup with a mission to make insurance accessible and affordable for all segments of society