Use of Electronic Signatures for Insurance Industry

Traditionally, the major channels with which insurance companies used to acquire and respond to their clients were telephones and direct sales methods. However, at present, we live in a digital era. With modernization seeping into almost every aspect of our lives, the insurance industry is not left behind.

Owing to robust advancements in digital technology, insurance service providers must consider using the power of digital experiences for satisfying the unique expectations of the end customers. For insurance companies to deliver customized consumer experiences, the adoption of electronic signature is of high importance.

The implementation of e-signature online helps people from the insurance sector to interact with the agents and customers directly. It also reduces paperwork and the physical chaos that gets accumulated otherwise.  It is way less time-consuming to verify, authenticate, execute, and validate insurance documents in a safe and trustworthy manner. Although it is more dependable and reliable because it enables transparent practices, it also helps in seamless authentication.

Being a reliable, safe, and quick way to ask for and send approvals electronically, the e-signatures do the job quickly. For offering a completely digital experience to the customers, the insurance agents cannot miss out on a solution that enables the customers to sign contracts and policies digitally. Given below are some reasons that will help in reinstating the use of electronic signatures for the insurance industry.

1)Quick Signing Process: With the help of an online signature solution, the customers of insurance companies can sign the policy documents instantly at anytime and anyplace.

Anytime when a customer has already made a decision to purchase a policy, the e-signature implementation allows to complete the process right from home or from some other place, and at the moment, the person can decide using a computer, tablet, or a mobile phone.

2)Avoidable Errors: Signing the papers manually might involve failures that lengthen the entire process of selling a policy. For instance, the insured customer might forget to sign on some pages and may further forget to sign the copy of the policy or might also overlook to fill some required fields.

By using an electronic signature online solution, this does not happen anymore. This is just because the signing process cannot be finished until the signer has not filled in all the required fields defined and if all pages have not been signed then the document cannot go ahead.

In addition, once the policy has been signed, both the insured and the company receive a copy, the insured will receive it in the email and the company will receive it as well.

3)Improved Productivity: An e-signature tool has the capability to facilitate and simplify the process of signing for customers. It also has a positive effect on the overall productivity of employees and insurance agents.

4)Improved Productivity: An e-signature tool has the capability to facilitate and simplify the process of signing for customers. It also has a positive effect on the overall productivity of employees and insurance agents.

In addition, tracking customers also becomes easy because the documents can be sent, opened, read, and signed easily. The agents have a perfect tool for getting the signature of the policies directly at the client’s office.

5)Cost Optimization: The various departments of an insurance company play a key role in enhancing the customer experience. They are the ones that have direct contact with policyholders in critical times and must be able to offer excellent services while minimizing the consequences of any accidents that may occur otherwise.

The electronic signature online implementation helps to do this remarkably. It does not only help in facilitating and streamlining the digital processing of documents that need to be signed, but it also helps in maintaining the right balance between quality, cost, and efficiency in each department.

6)Competitive Edge: The use of an electronic signature solution improves the online shopping experience for customers and it is also considered as a differentiating factor from competitors.

Furthermore, the speed at which policyholders can complete a policy signing process reduces the risk of choosing another product by a carrier before the signature. At the time of implementation, this proves as one of the major differentiating factors.

7)Paper Cost Reduction: The implementation of electronic signature free means deciding to save significant costs associated with paper spending and other materials such as ink, scanners, printers, etc.

Furthermore, the companies that avoid paperwork also end up creating a sustainable and innovative image in the market. These characteristics can help an insurance company gain edge because digital consumers are specifically sensitive towards eco-friendly issues and prefer choosing a sustainable solution.

8)Shortened Sales Cycle: A customer agrees to purchase a policy after an hour of discussion with an agent. After this, the insurance agent is most likely to offer assistance for completing the paperwork for the clients as a part of the sales call but is required to email the documents for signature.

This is right where a probable lag time can come because no one knows how much time the customer can take to sign the form and return it. Sometimes, the client may also decide to not go forward with the policy completely.

Shortening the sales cycle means that the agents have more time working with the existing customers and talking to the potential ones. Combining digital journeys, e-signatures in the insurance industry let the agents complete sales in just one meeting. No call-backs or emails are needed. Not only does the sales cycle prove relatively shorter, but the back office paperwork also gets reduced while freeing up much more time for customers.

Conclusion:

There is no doubt that electronic signature solutions help in improving the digital experience of the policyholders. Without these solutions, no insurer can be considered a capable digital company.

Thus, the insurance companies must advance their journey by using an efficient e-signature solution. They can in fact reduce errors and bottlenecks while improving claim processing and productivity as well.