The insurance industry is one of greatest beneficiaries of BPM solutions. Automating business workflow in the organization, has shown to produce huge performance increases in productivity and reduce costs in areas like claims processing.
Analysis has shown that performance increases are around the 40% and 50% and that abandon call rates in call centers went down and service levels went up. I think this is because an organization, like one in the insurance industry, has a lot of processes that need to be executed and doing them manually always results in errors and slow response time, all of which are not good to the eyes of the customers. Automating these process leads the way to letting employees in the organization to focus on how to do their tasks in a much better way, how to please the customer and stop thinking about what the next task in the process is or whether or not I have made the necessary tasks for internal policy compliance.
And not only the insurance industry can benefit from automating business processes. They also perceive a huge benefit in areas like compliance. Insurance companies are required to comply with section 404 of the Sarbanes-Oxley Act. One way to enforce these procedures is to use a BPM solution that assign the necessary tasks internally to persons that need to audit the information. All this information is recorded in the system for future references and clearly reduce the burden of knowing every procedure and we are sure the anything that has to be audited, has been audited.
Also, areas regarding the Anti-Fraud and Anti-Money Laundering initiatives can benefits from these kind of solutions enforcing policy controls in the process that assures that every customer is checked, tracked and investigated to prevent frauds in the organization. In the case of money laundering, policies can also be enacted in the processes to check for activity of terrorism or drug-dealing, triggering alerts and notifications to managers or responsible persons about the risks.
In general, BPM solutions provides great benefits to an insurance organization leading to increase performance and reduce costs in the execution of their processes.
UPDATE: See a life insurance request automated here.