7 Insurance Chatbot Use Cases + Examples

Upgrading existing customers or offering complementary products to them are the two most effective strategies to increase business profits with no extra investment. But the marketing capabilities of insurance chatbots aren’t limited to new customer acquisition. In combination with powerful insurance technology, AI chatbots facilitate underwriting, customer support, fraud detection, and various other insurance operations. The positive outcomes they’ve brought to insurance companies and policyholders are immeasurable – turning long, tedious processes into fast, pain-free experiences.

Chatbot insurance claims capabilities can significantly reduce the time it takes to process claims. It does this by guiding customers through the necessary steps and automating document collection and verification. This results in faster claims resolution, leading to higher customer satisfaction and increased trust in the insurance provider.

• That’s how Elle, the Virtual Assistant, was created to handle inbound customer queries and service.
• Other useful notifications include alerts when policy renewal time is coming up.
• Integrate your chatbot with fraud detection software, and AI will detect fraudulent activity before you spend too many resources on processing and investigating the claim.
• The necessity for physical and eligibility verification varies depending on the type of insurance and the insured property or entity.

Likewise, it can ask your customers questions about their lifestyles to help determine the right plan — such as their age, occupation, travel frequency, and any risk factors. A growing number of insurance firms are now deploying advanced bots to do a thorough damage assessment in specific cases such as property or vehicles. Chatbots with artificial intelligence technologies make it simple to inspect images of the damage and then assess the extent or claim. Your business can rely on a bot whose image recognition methods use AI/ML to verify the damage and determine liabilities in the context. However, within the insurance business specifics and current technological limitations, it would be better to combine bots with humans. In critical moments customers still rely more on personal assistance by agents.

Fraud detection

It uses artificial intelligence (AI) and machine learning (ML) technologies to automate a variety of processes and steps that customer support people often do in the industry. AI chatbots and assistants offer more advanced capabilities regarding natural language understanding, personalization, and handling complex tasks than keyword chatbots. That’s because they’re powered by machine-learning technology that makes them smarter with each interaction – helping cover the wide range of services and queries your customers present. The introduction of conversational and generative AI has enabled chatbots to create new content through text, videos, images, and audio and share it through human-like conversation. Now insurance companies can deploy virtual assistants that complete entire processes from marketing and sales to support, rather than a chatbot built only to answer common questions.

Conversation insurance allows for the automation of personalized notifications for your customers. Setting up triggers and notifications adds transparency to the claims process. The more up-to-date customers are about their claims, the higher the rate of customer satisfaction. This insurance chatbot example also comes with a search function and the “current status” update displaying agent availability. Each FAQ question is answered with a foolproof step-by-step guide along with CTA buttons, enabling users to file claims in minutes. When you consider how chatbots and automation can help, this number seems ludicrous.

It gives the insured individuals peace of mind and allows them to feel in control of their coverage. Userlike helps you make your chatbot an integral part of your insurance team. We are a truly all-in-one solution with AI features you won’t find with many other providers. That’s why companies like AVIVA have an entire page dedicated to answering common questions about coverage, quotes, claims and more. According to our chatbot survey,

“What do your customers actually think about chatbots? ”

almost 40% of customers are also comfortable making payments using a chatbot.

Interested in the best usability practices to improve the customer experience? Many insurance agencies are deploying chatbots for similar use cases and view it as a profitable investment. Few companies have come up as the most viable choices to help deploy customized chatbots with multiple developments and hosting features. With Acquire, you can map out conversations by yourself or let artificial intelligence do it for you. SnatchBot is an intelligence virtual assistance platform supporting process automation. Insurify, an insurance comparison website, was among the first champions of using chatbots in the insurance industry.

Customers are able to choose which type of claim they want to make, provide the necessary information and photos, and then submit the claim, all within the comfort of a single conversation. This is increasingly important today, as most insurers now compete primarily on the basis of customer experience. Customers are looking for providers that simplify their claims processes, keeping them satisfied, loyal, and willing to recommend to others.

Ensuring chatbot data privacy is a must for insurance companies turning to the self-service support technology. With a proper setup, your agents and customers witness a range of benefits with insurance chatbots. Which is why it’s important to have an adaptable and scalable solution that can help you implement the most relevant technology. Deploying a chatbot on multiple channels, implementing new features and functionalities, and testing out new use cases are all part of providing a revenue-driving chatbot experience. Working with an easy-to-use platform and industry experts takes the guesswork out of actioning these changes – and saves you and your teams time and money in the long run.

Even before settling the claim, the chatbot can send proactive information to policyholders about payment accounts, date and account updates. But you don’t have to wait for 2030 to start using insurance chatbots for fraud prevention. Integrate your chatbot with fraud detection software, and AI will detect fraudulent activity before you spend too many resources on processing and investigating the claim. With quality chatbot software, you don’t need to worry that your customer data will leak. If you build a sophisticated automated workflow, you don’t have to give your employees access to customers’ sensitive data — your chatbot will process it all by itself.

Benefits of using an insurance chatbot

This will also help you determine how many customers you could earn per month. Chatbots are extensions of your team, but customers don’t need to give them their full attention like they would with an agent. If you can explain your plans more quickly and clearly than your competitors through personalized communication, you’ll put your business at an advantage. Sensely is a conversational AI platform that assists patients with insurance plans and healthcare resources. When a new customer signs a policy at a broker, that broker needs to ensure that the insurer immediately (or on the next day) starts the coverage.

Insurance companies can benefit from Capacity’s all-in-one helpdesk, low-code workflows, and user-friendly knowledge base, ultimately enhancing efficiency and customer satisfaction. Successful insurers heavily rely on automation in customer interactions, marketing, claims processing, and fraud detection. Insurance chatbots have a range of use cases, from lead generation to customer service. They take the burden off your agents and create an excellent customer experience for your policyholders.

Another study suggests that 53% of people are more likely to buy a product from a provider that they can reach out to on a chat app. The conversations over a chat can often be a replacement for the ample research and browsing through several web pages to find information. Also, with the booming digitization across the globe, policyholder and consumer expectations are also witnessing modifications. Insurance companies need to mitigate through all these roadblocks to sustain in the digital era.

American insurers implement more advanced bots, while European ones provide only basic features for their clients. Where company websites are a common brand touchpoint, they become much more interactive and engaging for users with chatbot integration. It is obvious that chatbots can weave superior customer experiences by omitting the need to reach out to personnel or skim through multiple webpages. They can also collect valuable feedback for the brand, product, or even website development. Haptik is a conversation AI platform helping brands across different industries to improve customer experiences with omnichannel chatbots. If you have an insurance app (you do, right?), you can use a bot to remind policyholders of upcoming payments.

Which is why choosing a solution that comes with a professional team to help tailor your chatbot to your business objectives can serve as a competitive advantage. Some of the most renowned brands, including Nationwide, Progressive, and Allianz, use chatbots in their everyday customer communication and have seen striking returns. Manual processes, legacy systems, an aging population, and fraud detection. You can foun additiona information about ai customer service and artificial intelligence and NLP. These are only some of the contributors to the current challenges insurance companies are facing. To learn more about how natural language processing (NLP) is useful for insurers you can read our NLP insurance article. Chatbots can provide policyholders with 24/7, instant information about what their policy covers, countries or states of coverage, deductibles, and premiums.

Insurance carriers can use chatbots to handle broker relationships in addition to customer-facing chatbots. Furthermore, chatbots can respond to questions, especially if they deal with complex client requests. This also applies when you need to know how an application is progressing. For example, after releasing its chatbot, Metromile, an American vehicle insurance business,   accepted percent of chatbot insurance claims almost promptly. The latest insurance chatbot use case you can implement is fraud detection.

Every time a customer needs help, they turn to Sensely’s virtual assistant. This is one of the best examples of an insurance chatbot powered by artificial intelligence. The most obvious use case for a chatbot is handling frequently asked questions. A virtual assistant answers prospects’ and customers’ questions, triggers troubleshooting scenarios, and collects data for human agents to resolve complex issues.

By using ABIE, Allstate has streamlined the insurance buying process for small businesses and improved customer satisfaction. Another great example of how conversational apps can improve customer experience for insurers is this claims journey. This demo shows just how quickly a customer is able to make a claim on their car insurance. Through this bot they can upload all the relevant information and photos for their claim with just a few clicks of a button. In short, conversational insurance chatbots can handle the lion’s share of customer inquiries without getting exhausted by repetitive questions. Insurance chatbots can be used on different channels, such as your website, WhatsApp, Facebook Messenger SMS and more.

What are insurance chatbots?

When integrated with your business toolkit, a chatbot can facilitate the entire policy management cycle. Your customers can turn to it to apply for a policy, update account details, change a policy type, order an insurance card, etc. Chat PG According to the Accenture research above, customers want relevant, real-time alerts. If they can’t solve an issue, they can ask the policyholder if they’d like to be put through to an agent and make the connection directly.

If you think yours could be next, book a demo with us today to find out more. Not only this, but customers are able to make claims 24/7, without needing to wait for contact center opening times or an agent to become available. Hubtype’s insurance partners are able to resolve claims 5x faster, and reduce contact centers calls by up to 50%. To make your chatbot mimic a real agent and accurately represent your company, connect ChatGPT to it and train your bot to handle diverse inquiries while strictly sticking to your guidelines.

Feed customer data to your chatbot so it can display the most relevant offers to users based on their current plan, demographics, or claims history. Forty-four percent of customers are happy to use chatbots to make insurance claims. Chatbots make it easier to report incidents and keep track of the claim settlement status. Imagine a customer sending a picture of their car damages after an accident and your chatbot giving them a quote within minutes – that is the real power of AI in insurance. Despite these benefits, just 49 percent of banking and insurance companies have implemented chat assistants (only 17 percent when it comes to voice assistants). This means that, despite how much chatbots are being talked about, they still offer a decent competitive advantage for providers that use them.

Real-Life Use Cases of Insurance Chatbots

Genki’s bot has a state-of-the-art FAQ section addressing the most common situations insured individuals find themselves in. This ensures the ongoing improvement of the chatbot and allows the users to share their impressions while they are still fresh. With our no-code builder, you can create a chatbot to engage prospects through tailored content, convert more leads, and make sure your customers get the help they need 24/7. Both features use auto-completion to answer customer questions as they’re typing them, saving time and effort. Learn how chatbots work, what they can do for you, how to create one – and if bots will steal our jobs.

Head to the “Chatbots” tab, then choose “Manage bots.” Choose the target channel for your bot. The

Smart FAQ

is a responsive self-service portal that helps customers resolve their issues quickly. You can pin popular insurance topics to the top and ensure that customers receive consistent answers with every search. Users can choose to either type their request or use the provided button-based menu in the chat. Getting connected to an agent is quick and painless, which we learned

is especially important to consumers

when using a chatbot. It can be as simple as showing button options or asking your customer to leave a few words about their experience at the end of the chat.

The agent can then help the customer using other advanced support solutions, like cobrowsing. In addition, AI will be the area that insurers will decide to increase the amount of investment the most, with 74% of executives considering investing more in 2022 (see Figure 2). Therefore, we expect to see more implementation opportunities of chatbots in the insurance industry which are AI driven tools. https://chat.openai.com/ Insurance companies can also use intelligent automation tools, which combines RPA with AI technologies such as OCR and chatbots for end-to-end process automation. Chatbots facilitate the efficient collection of feedback through the chat interface. This can be done by presenting button options or requesting that the customer provide feedback on their experience at the end of the chat session.

Nienke is a smart chatbot with the capabilities to answer all questions about insurance services and products. Deployed on the company’s website as a virtual host, the bot also provides a list of FAQs to match the customer’s interests next to the answer. It makes for one of the fine chatbot insurance examples in terms of helping customers with every query.

The problem is that many insurers are unaware of the potential of insurance chatbots. They can respond to policyholders’ needs while delivering a wealth of extra business benefits. You can also scale support through an insurance chatbot across channels and consolidate chats under a single platform. You can always program it in a way where customers can quickly request a live agent in case there’s a complex query that requires human assistance. Allstate’s AI-driven chatbot, Allstate Business Insurance Expert (ABIE), offers personalized guidance to small business owners. ABIE can answer questions related to different types of business insurance, recommend appropriate coverage, and provide quotes for the suggested policies.

Adding the stress of waiting hours or even days for insurance agents to get back to them, just worsens the situation. A chatbot is always there to assist a policyholder with filling in an FNOL, updating claim details, and tracking claims. It can also facilitate claim validation, evaluation, and settlement so your agents can focus on the complex tasks where human intelligence is more needed. Insurance chatbots, rule-based or AI-powered, let you offer 24/7 customer support.

Also, if you integrate your chatbot with your CRM system, it will have more data on your customers than any human agent would be able to find. It means a good AI chatbot can process conversations faster and better than human agents and deliver an excellent customer experience. Another example is LAQO, a fully digital insurance company that implemented an AI-powered chatbot, Pavle, on WhatsApp to improve customer service. Now, 30% of queries are handled by the chatbot, of which 90% are resolved within 3 to 5 messages. They gather valuable data from customer interactions, which can be analyzed to gain insight into customer behavior, preferences, and pain points.

Chatbots can solve these challenges by optimizing the digital customer journey and providing relevant information at each step. They offer 24×7 customer service, lower processing time, faster resolution and straight-through processing, leading to increased customer satisfaction. They not only address user inquiries but also handle more complex processes like claim filing and goal setting. Insurers incorporate chatbots into these systems to successfully streamline the customer experience, reap cost savings, and shift processes from reactive to proactive. Sensely’s services are built upon using a chatbot to increase patient engagement, assess health risks, monitor chronic conditions, check symptoms, etc.

We will cover the various aspects of insurance processing and how chatbots can help. Feedback is something that every business wants but not every customer wants to give. An important insurance chatbot use case is that it helps you collect customer feedback while they’re on the chat interface itself. Similarly, if your insurance chatbot can give personalized quotes and provide advice and information, they already have a basic outlook of the customer. But to upsell and cross-sell, you can also build your chatbot flow for each product and suggest other policies based on previous purchases and product interests.

At the German insurance agency

LVM

, they use live chat to respond to customers asking for the status of their damage claim. Your chatbot can then take all the necessary steps to qualify your customers and only push the serious ones through to your agents. According to

Statista,

only five percent of insurance companies said they are using AI in the claims submission review process and 70% weren’t even considering it. Many sites, like TARS, offer pre-made insurance chatbot templates so you don’t need to start from scratch when creating your scripts. You can focus on editing it to include your insurance plan information and not worry about setting up logic.

The necessity for physical and eligibility verification varies depending on the type of insurance and the insured property or entity. A chatbot can assist in this process by asking the policyholder to provide pictures or videos of any damage (such as from a car accident). The bot can either send the information to a human agent for inspection or utilize AI/ML image recognition technology to assess the damage.

They improve customer service and offer a unique perspective on how technology can reshape traditional business models. One of the fine insurance chatbot examples comes from Oman Insurance Company which shows how to leverage the automation technology to drive sales without involving agents. Available over the web and WhatsApp, it helps customers buy insurance plans, make & track claims and renew insurance policies without human involvement. An AI system can help speed up activities like claims processing, underwriting by enabling real-time data collection and processing. Insurers can do a quick analysis of driver behavior and vehicle conditions before delivering personalized services to customers.

They’re turning to online channels for self-service insurance information and support — instantly, seamlessly, and at any time. According to a 2021 report, 50% of customers rank digital communications as a high priority (but only 17% of insurers use them). Insurance is a tough market, but chatbots are increasingly appearing in various industries that can manage various interactions. These interactions include aiding with travel plans and end-to-end booking or utilizing medical records for planned visits and prescription delivery.

Since they can analyze large volumes of data faster than humans, they can detect well-hidden threats, breach risks, phishing and smishing attempts, and more. Let’s explore the many ways insurance companies can benefit from AI-powered chatbots – and maybe you’ll find the missing piece to your own communication strategy along the way. If they’re deployed on a messaging app, it’ll be even easier to proactively connect with policyholders and notify them with important information. One of the largest insurance providers in Ireland, AA Ireland, increased quote conversions by more than 11 percent and decreased agent handling time by 40 percent thanks to their bot. For example, if a consumer wants to complete a claim form, but has trouble, they can ask the chatbot for help.

If you enter a custom query, it’s likely to understand what you need and provide you with a relevant link. You just need to add a contact form for users to fill before talking to the bot. A chatbot can support dozens of languages without the need to hire more support agents. Other useful notifications include alerts when policy renewal time is coming up. The bot can send a renewal reminder and then guide the policyholder easily through the process.

Chatbots will transform many industry sectors as they evolve, shifting the process from reactive to proactive. The ability of chatbots to interact and engage in human-like ways will directly impact income. The chatbot frontier will only grow, and businesses that use AI-driven consumer data for chatbot service will thrive for a long time.

Marc is an intelligent chatbot that helps present Credit Agricole’s offering in terms of health insurance. It swiftly answers insurance questions related to all the products/services available with the company. The bot is capable of analyzing the user’s needs to provide personalized or adapted offers. Anound is a powerful chatbot that engages customers over their preferred channels and automates query resolution 24/7 without human intervention. Using the smart bot, the company was able to boost lead generation and shorten the sales cycle. Deployed over the web and mobile, it offers highly personalized insurance recommendations and helps customers renew policies and make claims.

The Claims Bot asks the user a series of questions before either guiding the user to the appropriate pages or connecting them with an available agent. Plus it’s important to know how your chatbot is doing so you can monitor its performance and make any necessary improvements. With Userlike, our chatbot shows a five-star rating system at the end of every chatbot conversation. Customers can also leave written feedback, and agents can use the chatbot’s transcripts to see how the conversation went. According to IBM,

robotic process automation in insurance can speed up claims processing since it can move large amounts of claim data with just one click. Traditional claims processing requires employees to manually gather and transfer information from multiple documents.

• These chatbots for insurance agents can instantly deliver information and direct customers to relevant places for more information.
• See what benefits an AI-based chatbot can bring to policyholders and insurers, what challenges are hidden inside, and how to manage them during the implementation.
• ABIE can answer questions related to different types of business insurance, recommend appropriate coverage, and provide quotes for the suggested policies.
• Companies embracing this new technology can offer innovative solutions to improve customer experience, streamline operations, and mitigate risks.

This data-driven approach helps insurance companies refine their products and services to meet customer needs better and stay ahead of the competition. AI chatbots are equipped with machine learning algorithms that can analyze customer data and preferences to offer personalized insurance recommendations. They can even recognize customer loyalty and apply discounts to purchases and renewals.

The bot can also carry out customer onboarding, billing, and policy renewals. Insurance is a perfect candidate for implementing chatbots that produce answers to common questions. That’s because so many terms, conditions, or plans in the industry are laid out and standardized (often for legal reasons). If you are ready to implement conversational AI and chatbots in your business, you can identify the top vendors using our data-rich vendor list on voice AI or conversational AI platforms. Though brokers are knowledgeable on the insurance solutions that they work with, they will sometimes face complex client inquiries, or time-consuming general questions.

McKinsey predicts that AI-driven technology will be a prevailing method for identifying risks and detecting fraud by 2030. Another simple yet effective use case for an insurance chatbot is feedback collection. You also don’t have to hire more agents to increase the capacity of your support team — your chatbot will handle any number of requests. chatbot insurance examples Chatbots helped businesses to cut $8 billion in costs in 2022 by saving time agents would have spent interacting with customers. Like any new and developing technology, finding the right solution that fits your business needs is essential. Leaning into expert advice and easy-to-use platforms are the recipe for successful chatbot implementation.