MF0018 Unit 15

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C o n f i d e n t i a l

Program : MBA

Semester : IV

Subject Code : MF0018

Subject Name : Insurance and Risk Management

Unit number : 15

Unit Title : Information Technology in Insurance

Lecture Number : 15

Lecture Title : Information Technology in Insurance

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Information Technology in Insurance

Objectives

The objectives of this lecture are to discuss:

The application of information technology in insurance sector

The need for information technology in insurance sector

The concepts of database management systems, decision support

systems, mapping, video linking, catastrophe models, intranet,

extranet and internet and so on

The use of information technology in marketing and consumer service

in the insurance sector

The role of information technology in various insurance sectors

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Unit-15 Information Technology in Insurance

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Lecture Outline

Introduction

Application of Information Technology in Insurance Sector

Need for Information Technology in Insurance Sector

Role of Information Technology in Insurance

Summary

Check Your Learning

Activity

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Introduction

The insurance industry is facing a major economic and competitive

challenge...

To be successful in the rapidly growing business climate, insurers

are forced to explore ways to improve the end product efficiency

and drive top-line growth.

The use of information technology in insurance industry has an

impact on the efficiency of the organisation as it reduces the

operational costs.

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Application of Information Technologyin Insurance Sector

Some significant applications of IT in insurance sector are:

Database management systems

Data warehouse

Decision support systems

Group support systems

Imaging and work-flow technologies

Mapping

Call centre technology

Video linking

Catastrophe models

Intranet, extranet and internet

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Effective utilisation of information technology is very

important for the success of insurance sector.

Insurers adopt technology for information revolution.

The insurance companies use the applications of information

technology for better customer service, cost reduction, product design

and development.

The need of information technology in insurance business is growing

day by day.

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Need for Information Technology inInsurance Sector


Continued

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Insurers need to use information technology for the following reasons:

Developing new products

Management of client data

Marketing of policies

Claims management

Payment of premiums

Improve the efficiency of their operations

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Need for Information Technology inInsurance Sector


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The role of IT in different fields of insurance are:

Actuarial investigation

Policy management

Underwriting

Front end operations

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Role of Information Technology inInsurance

Continued

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Customer knowledge

Consumer service

Marketing

Role of Information Technology inInsurance


Market researchProducts

customisationAgent analysis

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Summary

The use of information technology in insurance industry

has an impact on the efficiency of the organisation.

Some significant applications of IT in insurance sector are

database management systems, data warehouses, decision

support systems and so on.

The insurance companies use IT for better customer service, costreduction, product design and development.

Insurers need to use information technology for developing new

products, managing client data and so on.

The fields of insurance where IT is used are actuarial investigation, policy

management, underwriting and front end operations.

Customer knowledge and consumer service are two areas in the

marketing of insurance products where IT is used.

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Check Your Learning

1. Name any three significant applications of IT in insurance sector?

Ans. Three significant applications of IT in insurance sector are:

Database management systems

Data warehouse

Decision support systems

2. Why do insurers need to use IT? Give any three reasons.

Ans. Insurers need to use IT to:

Develop new products

Manage client data

Improve the efficiency of their operations

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Activity

HOMEPREVIOUS

Analyse how private insurance companies are using information

technology to provide better customer service.


MF0018 Unit 15

Documents

Transcript of MF0018 Unit 15