Online Insurance

The Benefits of going Digital with Your Insurance

  • From customer relationship management to talent recruitment, almost every business process has benefitted from digital transformation. One area that has lagged behind, however, is insurance. Many businesses are still purchasing and managing insurance policies offline using tools like spreadsheets and, in some many cases, physical folders.

    Insurance is one of the most important yet complicated parts of starting and managing a small business. Figuring out exactly which policies you need and understanding your policy can be confusing. Managing your insurance portfolio digitally can help mitigate some of that confusion by automating certain processes, like renewing policies, and help you feel confident that you’re covered for any situation your business encounters.

    Here are four benefits of going digital with your insurance.

    1. Manual work is always harder to keep track of than digital.

    While the transition to digital insurance management might take some effort at the beginning, let’s face it: tracking vendor and third-party insurance information is difficult to do manually. Organizing insurance policies with Excel spreadsheets or documents in a folder leaves room for human error. Your business could potentially face big issues if a third party doesn’t have the coverage agreed upon, or if a policy is out of date. For example, if a contractor accidentally causes building damage and doesn't have enough coverage to pay for the extent of the damages, you may be financially liable. Having a digital solution like CoverWallet to manage all your third-party insurance policies can save you time while keeping your business protected and preventing a crisis down the road.

    2. Finding and working with an agent offline can be challenging.

    While some small business owners are probably still relying on billboards or the Yellow Pages to find an insurance agent, most of this happens online nowadays. The problem is that even if you locate an agent online, it can be challenging to work with them offline. For example, if what you’re looking for doesn’t match an agent’s carrier appetites (meaning your risk profile doesn’t fit), they may turn you down as a customer. Before you go driving all over town looking for a good fit, you can always make sure to verify that an agent will work with you before visiting. Sites like TrustedChoice can get you a list of available local agents to check easily. Alternatively, you can find a digital broker to avoid this type of frustration in the first place.

    3. Offline insurance is slow, and not very user-friendly.

    Once you have found an agent who will take your business, the next step is obtaining a quote for the appropriate coverage you need. Getting a quote offline often takes days or even weeks, which means you have to start the process well in advance to make sure there is no lapse in coverage.

    Offline insurers often aren’t as laser focused on the customer experience as digital ones are. With a digital insurer, you’ll likely be able to access your quote and policy information and stay in touch with your agent from any device, anywhere. Offline, you’ll likely have to wait for a call back or be stuck on hold when filing a claim, and spend time doing things like mailing or faxing forms. If you work with an insurer that provides a superior digital experience, you’ll find yourself saving time, manual work, and costs, too.

    4. When working with someone offline, you’re at a disadvantage without information at your fingertips.

    Additionally, it’s tough to easily compare quotes from different carriers offline. Online, you can easily research common risks and coverages that fit your industry, compare quotes, and seek out online reviews of agents. If you’re working with an agent offline, you won’t have the same advantages. Business owners should at least gain a basic understanding of their coverage needs online before meeting with an agent so they can make sure the policies they are offered don’t leave any gaps, and that the recommendations they receive are comprehensive.