The good news is that Siri has some (if rather limited) competition. Still to be determined is how voice recognition technology will affect the insurance customer’s experience. Customer demand can’t be underestimated, even if it means establishing an entirely new platform to accommodate that demand. Such is the case with interactive voice assistant (IVA) technology, and a couple of notable insurers are leading the way. When Geico (a Berkshire Hathaway Inc. company) discovered that two in five of its existing customers already had voice recognition technology resident on their smartphones, it moved quickly to establish a way for those customers … Continue Reading →

Following the recent release of my latest research report, North American P&C Vendors: Partners in Claims Excellence, I received numerous phone calls from the many companies whose products and services were included and evaluated in the report, which is normal and to be expected.  But one of those calls caused me to reflect upon and reevaluate something so important that I thought it was worth sharing. The call was from Tom Feeney, CEO of Safelite Group, the U.S. vehicle glass and claims management subsidiary of global vehicle glass repair and replacement giant Belron and one of the more successful “vendor” … Continue Reading →

Last week’s announcements by several media outlets and state insurance regulators — including Ohio, Georgia, and California — confirmed an October 3, 2012 insurance data breach that is being investigated by the FBI. A Nationwide Insurance database was compromised, resulting in the theft of confidential information for 1 million policyholders and non-policyholders (basically consumers who had requested insurance quotes) located in all 50 U.S. states. The breached data includes names, Social Security numbers, driver’s license numbers, dates of birth, and in some cases marital status, sex, occupation, names and addresses of employers, and other identifying information. Nationwide notified insurance regulators … Continue Reading →

Although the insurance industry is basically regulated at the state level, the outcome of today’s federal election will impact the industry more than has any previous election. For some insight into what outcome the insurance industry prefers, just follow the money. For the 2007/2008 campaign, the industry contributed almost US$50 million to federal parties and candidates, of which 55% went to the Republican party — this year, we can expect both the total and the Republican share to have grown. As for the potential impact, two newly created agencies, the Financial Stability Oversight Council (FSOC) and the Federal Insurance Office … Continue Reading →

For anyone wondering about the economic impact of Hurricane-turned-Superstorm Sandy, it is currently estimated to end up costing more than US$20 billion, only about half of which will be insured. This figure may well climb higher, likely making Sandy the fourth most costly weather event in the United States in the past 50 years. Most of these events have occurred in the past 20 years, and seven out of 10 have occurred in just the past eight years. Hurricane Katrina (2005) remains the all-time costliest, at well over US$100 billion, but Sandy will be the number-one costliest hurricane to strike … Continue Reading →

Global Payments’ August announcement of its acquisition of integrated payment provider (IPP) Accelerated Payments was welcome news for this analyst; it brings to bear the value that an integrated payment provider can bring to the healthcare table. The healthcare industry is moving forward, linking healthcare transaction data to the payment transaction and ultimately to the electronic health/medical record (EHR/EMR). Accelerated Payments and other IPPs specialize in moving data from point A to point B (e.g., the point of sale to card networks) where others cannot. Accelerated Payments has a significant scope of value-added reseller integrations, but the release went out … Continue Reading →

Over the past decade, reputational risk has grown alongside the ability to quickly spread information — both positive and negative — across the media and the world at large. Thanks to social media, individuals, once powerless to do much about perceived wrongs, can now voice their comments, big or small, true or false, about how they have been treated in almost every facet of their lives. Corporate America must now realize that the angry consumer is no longer left at home complaining to a spouse or parent about poor treatment received. Last week, a story went viral about a New York man who claimed … Continue Reading →

The insurance industry — long a relatively rich, easy, and low-risk target for criminals who use fraudulent schemes of many types to steal enormous amounts of money from insurance companies and their policyholders (that includes you and me) — may finally be getting the level of support and assistance that could bring this vast and long-standing problem under control. The Departments of Justice and Health and Human Services, together with healthcare and property & casualty insurance companies and many of their national associations, last week announced the formation of the National Fraud Prevention Partnership, an alliance unprecedented in its scope, … Continue Reading →

On June 28, the U.S. Supreme Court upheld the Patient Protection and Affordable Care Act (PPACA), paving the way for an influx of previously uninsured Americans to enter into the existing healthcare system. Approximately 30 million new patients, some with pre-existing conditions and some who previously chose not to pursue healthcare insurance, are eligible for coverage. That number would add a significant supply-and-demand stress to any business environment. Will PPACA prove a market force that launches industry transformation, or will existing cracks break the levee under its weight? The repeal and political process will run its course, yet I see the law’s foundational … Continue Reading →

Very few Supreme Court rulings have affected — or ever will affect — as many American consumers and businesses as the June 28, 2012 decision to uphold the constitutionality of the Patient Protection and Affordable Care Act (PPACA), also known as Obamacare. Setting aside the handwringing of Republican politicians who now find themselves with a presidential candidate  who personally championed and implemented a virtually identical program as governor of Massachusetts just a few years ago — and avoiding any temptation to engage in political punditry about how the ruling has now set this year’s presidential election up as nothing less … Continue Reading →