Insurance

Insurance companies must reconsider their traditional approach to their products, which was designed from the entities' technical standpoint, and shift to a customer-centric perspective that is simple, transparent, and multi-channel.

The crucial influence of technology on the business model of the sector

The technology's influence on the sector's business model has framed the most important developments in the insurance sector in recent years. Specifically the digitization of processes or the treatment of risks. Insurance firms must improve efficiency by cutting costs and raising productivity in order to stay competitive and seize growth possibilities.

Digitalization, which has a significant influence on the insurance industry, is a key element that not only determines how profitable it becomes but also suggests a shift in insurers' corporate cultures.

The future success of the insurance sector will be determined by business strategies that prioritize the client over the product.

Challenges

Growing customer demand, increased cost pressures, concentration processes, and new regulatory requirements are serious challenges for the sector today. Insurers need to develop innovative and customized products through new distribution channels.

José Antonio Muñoz, Account Manager — Avalon

Technology has become a valuable ally in risk management in light of the new realities

Technology is also an ally for more accurate, sophisticated, aggregated, agile, and real-time risk management. Big Data and other technology, such as Artificial Intelligence, provide detailed analysis of critical consumers and organizations, allowing for the application of suitable risk measures.

A key point is the growing ethical demands of customers, not just in terms of products, but also of company behavior in the case of an incident.

The Insurance Distribution Directive conditions the customer relationship by emphasizing protection and transparency.

Creation of new insurance products

On the other hand, new technologies will continue to condition the way companies operate and their relationships with customers. In fact, these new technologies may in turn result in new risks that can be covered and thus in new insurance products.

The cyber insurance business is becoming increasingly important, especially for the financial, technology, healthcare, and retail sectors.

Digital is Human

Avalon Insurance

We have been working with large insurance companies for more than 17 years, which has allowed us to gain an in-depth functional knowledge of the sector.

With our broad portfolio of consulting services, IT development services, and deployments, we help insurance companies act cost-effectively, quickly, flexibly, and sustainably through our specialized services:

  • Professional business consulting services based on an in-depth analysis of strategically relevant issues, such as business intelligence, business process management, sales, and risk management.
  • Analysis, design, development, implementation, and integration services of solution-based products for insurance companies covering all sectors and the value chain that can flexibly adapt to changing needs.

We analyze the socio-economic factors that are impacting the insurance sector, such as the change in the economic cycle, the aging of the population, new consumption and behavioral habits in society, technological innovations, and new regulatory frameworks that are affecting the operation of the sector.

Based on our analysis, we design and develop strategies to assist insurers in the inevitable digital transformation effort they will have to undertake in the coming years.

We advise the insurance sector on innovation so that they can adapt their product portfolio to the new digital reality.

Some of our clients in the Insurance Sector

  • Caser Seguros
  • FIATC Seguros
  • Agrupación Mutual Aseguradora