Chatbots offer low maintenance, 24/7 channel that frees up existing resources for more high-value work while increasing policyholder and agent satisfaction. By giving an additional channel of engagement, chatbots help reach agents and policyholders via their preferred mode of interaction. Insurers should not treat chatbots as simply a low-cost alternative to human contact, instead, the goal should be to broaden access and service options for everyone.
Yet chatbots are not without their limitations and implementing them is something of a balancing act. A successful approach to chatbots will need to be a combination of human and automated capabilities. Knowing when people want to be in touch with a human and when they expect rapid, automated service is integral to implementation strategy.
Present-day use cases reflect this hybridized approach; claims FNOL, inquiries, support, and policy applications are common areas of application. Many solutions also incorporate AI and natural language processing (NLP) to understand incoming requests.
As chatbot technology continues to mature, both tech giants and startups are trying to gain a foothold in the space, and only time will tell on where will it lead and how good is it going to be in redefining the insurance space towards the future.
