Times of economic crisis are usually a trigger for entrepreneurship: the demand for work increases and companies hire new staff. This generates that many people decide to invest their savings in a personal business, which is usually crossed by interests or passions, be it pastry, furniture design or sale of technology items.
As we know that it is an important decision that generates a lot of enthusiasm, in this opportunity we will tell you why ensuring your business is essential when starting a business and planning your future.
Avoid financial surprises: ensuring your business is a way to be supported in times of crisis and to avoid large outlays of money that you had not planned. If an incident occurs, the insurer will take care of the damage and will accompany you during that bad moment.
Protect your assets: if you have had to invest in high-value furniture or machinery, with a Business Insurance you can rest assured that, no matter what happens, you will have your working capital ready to continue.
Build trust: being insured not only gives you peace of mind, but also your customers and business partners. It is a way to grow in professionalism, which will also allow you to project your business more clearly.
Civil liability: if you have a place where your clients attend, you should know that in the event of an accident or unforeseen event, you are the one who responds. If you have insurance, you won’t have to worry.
Customized coverage: in the business world, each sector has its needs. That is why it is important that the insurance adapts to the style and way of working of each entrepreneur to provide good assistance. In addition, additional coverage can be included, if warranted, to adapt and protect the risks to which it is exposed. This is why it is essential to have a financial advisor who can provide you with a comprehensive service and respond to your interests.
Trends in the insurance sector for 2022
2021 was a year in which vaccinations became widespread and, with them, some restrictions related to the pandemic were eased. This in turn revived the economy and the trust between people and businesses, even more so than before the pandemic. However, with the battle against covid-19 far from over, uncertainty and fragility will persist. This circumstance poses a challenge for all economic sectors, including insurance, which must continue betting on going one step ahead of the needs of its customers and the trends imposed by the new reality.
The insurance industry has been able to adapt to the circumstances by incorporating new digital channels to quickly interact with its customers, such as automated claims processing, price comparison platforms and mobile bill payment. This is demonstrated by a recent study by the consulting firm Mckinsey, which confirms that larger but more targeted investments in technology by insurers resulted in better returns as businesses.
In 2022, new challenges will arise for insurance companies, since people’s interest in protecting their family and their assets in case of emergencies remains latent and intensifies as new variants of the virus spread throughout the world. .
To meet these demands and add value to customers, technology is the great ally of insurers. Users are looking for more security, peace of mind and ease; insurers, in turn, aspire to enter new markets. That is why some new trends go hand in hand with digital transformation.
1. Cyber insurance
Remote work, new contractual modalities and the increased use of digital channels have sparked interest in the protection of computer systems against cyber-attacks, hackers, viruses or any form of computer damage. Data protection is one of the most important issues for both users and companies.
Some insurers already offer this service, which may include coverage for damage to data stored in the cloud, cyber-attack investigation, and technical assistance, expenses for data repair and restoration, and legal defense.
2. Predictive Analytics
The world of big data has offered the possibility of anticipating various situations, from claims to customer behavior. This enables predictive analysis of user behavior and the identification of risks and services they may need, which should facilitate access to more specialized insurance. This is a trend that will strengthen in the coming years.
For this reason, insurers must have the necessary technology not only to collect information but also to process and analyze large volumes of data that allow them to obtain better conclusions.
Issues related to the environment and the triple business sustainability account (economic, environmental and social) continue to gain relevance in many industries. The interest of young people in these topics is one of the determining factors in capturing their attention and offering them portfolios of products adapted to these new consumers.
Insurers that change their discourse and show their interest in preserving the environment and in BIC companies and B companies will be able to better relate to the new generations. In addition, the number of claims due to natural causes has increased due to climate change. For this reason, insurers must study climate risks to understand them and provide clients with the best solutions in the event of facing a calamity of this type.
The term neoinsurance refers to digital native insurance companies. These companies employ emerging technologies such as automation, machine learning, blockchain, and the Internet of Things; these technologies help the sector to be more agile and reliable.
Emerging and disruptive insurers take advantage of technology to their advantage and are characterized by offering more personalized products and services, being at the forefront of digital channels and offering applications that facilitate interaction with their users.
The insurance sector has incorporated new digital channels to quickly interact with its customers
Larger but more targeted technology investments by insurers resulted in better business returns.
Insurance customers want ease of process, particularly on mobile devices, but they want empathy.
Data protection is one of the most important issues for both users and companies seeking to inspire trust.