Robotics take the tedium from policy administration – and give back efficiency
Commercial insurance customers with international risks are finding policy administration moves faster and with less chance for errors, thanks to robotics that are automating several processes.
Zurich Insurance Group was an early adopter of robotics process automation (RPA) when it put the technology in place in 2016 to improve services throughout the policy life cycle in its international programs business. Today, customers in 22 countries across three continents use RPA for eight different global and local policy service processes.
“Keeping the needs of our customers and brokers front of mind was the reason we implemented RPA,” said Raffaele Nutricati, Head of Robotics Process Automation, Zurich Commercial Insurance IPZ. “Our prime goal was freeing up policy handlers’ time to work more efficiently and improve data quality. The result has been enhanced service that has improved accuracy and reduced re-work while eliminating repetitive and mundane tasks.”
The RPA solution was developed by Capgemini, an information technology company, based on Zurich’s requirements. Capgemini uses BluePrism software to direct the robotic processes. The
robots are set into motion early in the policy issuance phase when they align terms in master policies with those written locally. After booking the policy details in the system, the robot issues an invoice, drafts policy documents and makes them available for the handler to review.
The technology greatly reduces policy handlers’ workload, according to Nutricati. Without it, handlers have to collect data from multiple applications and systems and then wait for input from colleagues and users before administration can proceed.
“Now, imagine a software-driven approach that uses an automated solution that allows rule-based and repetitive tasks such as re-keying, validating and reconciling data across systems to be accomplished by a virtual robot,” he said. “After each step, the robot leaves a predefined note highlighting which processes have been successfully completed and directs a handler to those that need human interaction. This is how RPA works.”
Processing policies faster and more accurately benefits Zurich’s customers as much as the insurer, Nutricati said. “Not only are they receiving policies of higher quality than those processed in the traditional manner, there is a significant decrease in the number of emails and phone calls to clarify information with our support desk. That leaves our business teams with more time to support our customers,” he noted.
“RPA is not a magic wand” that can be waved over policy processes to make them more efficient, Nutricati noted. “It is important to first iron out the folds in the process and eliminate the gaps in order to gain the full outcome from process automation.”
In any organization, the IT landscape must be flexible enough to respond to market changes, business or regulatory requirements. Having robotics in place adds another element of complexity into the IT landscape. To ensure uninterrupted service, timely communication and internal alignment of such changes should be taken into consideration while building the RPA solution. This is one of the key factors in any successful RPA program delivery.
“We see RPA as supporting business growth, not as a substitute for people,” said Nutricati. “We encourage an environment where humans and technology co-exist and a virtual colleague can help deliver fast, accurate outcomes. RPA has helped us divert some of our human capacity to other areas, which has led to improved service for a broader base of customers.”
