What are the Benefits of using Electronic Signatures in the Insurance Industry?
article by Paula Williams - WhaTech
Insurance companies have as well not been left out as they can now implant E-signatures through various processes to help reduce costs, improve services to partners and most importantly increase turnaround. One of the factors that have led to the adoption of the electronic signature solutions for insurance industry is the explosion of consumer technology.
It is in this cause that we discuss some of those benefits of using electronic signatures in the insurance industry down here through this article.
1. Mobility and speed in the signing process of insurance policies
One of the most significant advantage with electronic signatures for the insurance companies is customers can be in a position to sign insurance policies almost immediately, anytime and from anywhere.
All that is required is the client to be ready to make the decision to purchase a policy after which the eSignature solutions insurance industry will allow him or her to end the process from home or any of their location. With the consent about the process, all that will be required is a computer, a mobile phone and a tablet.
This aids in speeding up the process and also increase mobility; therefore, meeting the needs of their customers more conveniently at a go.
2. Minimal errors in the signing process
The manual signature process was always full of errors that always lengthened the process of selling a policy. For instance, it was very common for an insured to forget to sign on some pages or forget to sign a copy of the policy.
On other times, the insured would overlook to fill in some required fields a factor that delayed the process or made the application unsuccessful. Through electronic signature, it helps offer a solution to these problems as no such a case can happen.
This is usually the case since the signing process cannot be validated if the signer has not filled in all the fields as required. More to this, once the signing process is complete, both the insured and the insurance company receives a copy of the signed documents.
This is set to ensure all the processes were carried out dully as required.
3. Legal certainty
To this benefit, an electronic signature is considered important as it helps identify the signer. The signing process is usually encompassed with a couple of encryption process that ensures only the right person impends the signature on the document.
This guarantees legal certainty through the signing process.
4. Increased productivity of commercial agents and employees
Many people know electronic signature for its contribution in easing the process of signing for customers, but it also has a remarkable benefit when it comes to the productivity of employees and insurance agents. For instance, through the electronic method, you can be sure of saving time on paperwork and filing documents since policies can be well classified and archived in a digital form.
The advantage of this format is to help facilitate accessing them as it helps save on a lot of time.
Secondly, this technological method helps to facilitate the tracking of customers. This is so since the state of all the documents including, sent, open signed and read can be performed directly from the signatures dashboard.
On another case, the commercial agents always have a perfect tool that helps them the signatures of the various policies from a client’s office. These factors always lead to increased productivity all through the efficiency created by the processes.
5. Cost optimization in the casualty department
In matters relating to Insurance, casualty departments are usually the ones concerned with the improvement of the customer experience. This is so since they are always the ones with direct contact with policyholders in critical conditions.
Through these electronic methods, the department is always sure of providing excellent services by minimizing the consequences of any accidents. In this case, the electronic signature is considered an important tool that helps this department in its mission not only because it facilitates and streamlines the digital process of documents that need to be signed but because it helps them keep a right balance between quality, cost and efficiency in their department.
6. It is a differentiating factor from competitors
Another great benefit for using electronic signature for insurance industry is to help enhance the online shopping experience for customers. More to this, it is a differentiating factor from competitors.
In this case, the increased speed and efficiency that a policyholder can complete a policy signing process which reduces the risks of him or her choosing another alternative carrier before the signature.
7. Reduced spending on paper
This benefit can be explained as cost-friendly. Even from how the name sounds, you can be sure the electronic signature process requires less paperwork.
Through this, you can be sure to save more of paper cost and other related materials such as ink, maintenance of scanners and printers. More to this, this technological step for insurance companies is considered eco-friendly and also make the industry look more organized.
Policyholders are today very sensitive when it comes to the services they choose a factor that has brought a lot of benefits to the insurance companies.
In the run to find out the benefits of using electronic signatures in insurance companies, it became too obvious that the process is very useful when applied through document management technologies. Through this, many people and the insurance companies like it since it ensures documentation is not altered and therefore there can never be alterations of any specified contract.
More to this, the most special thing about it is the eSignature insurance management system can trace the person who tried to change what within a system. Through this, the system ensures those who alter data without authorization can be held accountable for their actions.