The life insurance market is experiencing a significant shift as traditional practices meet the inevitable wave of digital disruption. In this evolving landscape, Nissay Information Technology (NISSAY IT) and Finatext have launched a collaboration poised to transform how life insurance is sold in the digital age. By merging their technological expertise, they aim to tackle longstanding industry challenges, paving the way for an innovative digital sales platform that simplifies and enhances the customer experience.
Challenges in Digitalizing Life Insurance
Historically, the life insurance sector has lagged behind its non-life counterpart in terms of digital transformation. This lag is largely attributed to the complex nature of life insurance products and the legacy systems that have supported them for decades. Unlike non-life insurance, life insurance contracts are long-term commitments requiring ongoing user engagement and adaptability, both of which are hindered by outdated technological systems. The long-standing rigidity of these systems, coupled with the need for intricate customizations, has made digitization a formidable task.
Moreover, selling life insurance typically involves detailed consultations, personalized advice, and a significant amount of paperwork, making the transition from traditional, face-to-face interactions to digital platforms less straightforward. Addressing these multifaceted challenges, NISSAY IT and Finatext are working on a solution that goes beyond mere digitization. Their goal is to enhance the overall customer experience by developing an intuitive digital sales platform that simplifies complex processes and ensures seamless interaction from start to finish.
The Expertise of NISSAY IT and Finatext
Nissay Information Technology (NISSAY IT), a strategic arm of the Nippon Life Group, has a rich history of providing IT solutions designed specifically for the life insurance industry. With deep-rooted experience in application development, NISSAY IT has honed its expertise in catering to the nuanced needs and requirements of life insurance entities. Over the years, their robust front-end application development skills have played a pivotal role in efficiently serving various Nippon Life Group companies.
On the other hand, Finatext has emerged as a notable player in the embedded finance solutions space. Their SaaS system, "Inspire," launched in 2020, has predominantly been utilized for non-life insurance applications but holds significant promise for life insurance as well. Inspire allows for the seamless integration of insurance products into both web and mobile apps, offering flexibility and scalability that is crucial for modern digital platforms. The synergy between NISSAY IT’s front application and Finatext’s backend system forms the cornerstone of their collaborative effort, leveraging the strengths of both to create an innovative solution for life insurance sales.
Objectives of the Collaboration
The collaboration between NISSAY IT and Finatext has a clear and ambitious objective: to create a Proof of Concept (PoC) for a digital sales platform specifically tailored for life insurance firms. This platform aims to streamline the sales process, enhancing efficiency and user-friendliness. By combining NISSAY IT’s application development capabilities with the integrative flexibility of Finatext’s Inspire, the partners envision a platform that can be swiftly adopted by life insurance companies, offering significant improvements over existing systems.
A key focus of this digital sales platform is to enhance customer interactions, providing a more personalized and seamless experience. Utilizing agile development practices, the platform is designed to accommodate rapid development cycles, allowing for swift iterations and continuous improvements based on real-time user feedback. By committing to user-centric design principles and the latest technological innovations, NISSAY IT and Finatext aim to set a new benchmark in the digital transformation of life insurance, making it easier for companies to meet modern consumer expectations.
The Rise of Embedded Insurance in Japan
One of the significant trends driving this digital transformation is the rise of embedded insurance in Japan. Consumers increasingly seek seamless experiences, and integrated digital insurance services cater directly to this demand. Embedded insurance allows insurance products to be accessed through everyday digital interactions, making it more convenient and enhancing customer engagement. This approach not only meets evolving consumer expectations but also opens up new avenues for life insurance firms to reach potential clients within their daily routines.
Aligning with this trend, the digital sales platform being developed by NISSAY IT and Finatext aims to integrate life insurance products directly into web and mobile applications. This integration ensures that life insurance services are readily accessible where consumers spend much of their time, thus increasing reach and convenience. By embedding life insurance into existing digital environments, the partners aim to streamline the customer journey, making the process of purchasing and managing life insurance more intuitive and efficient.
Embracing Low-Code Development Platforms
A strategic element of this collaboration is the adoption of low-code development platforms, such as AWS Amplify and Unqork. These platforms facilitate the rapid development of applications with minimal coding, drastically reducing development timelines. The low-code approach enables swift customizations and iterative improvements, allowing the digital sales platform to evolve in response to market needs dynamically.
The Nissay Plus Small Amount Short-Term Insurance case study serves as a compelling example of the advantages offered by low-code development. The initial product implementation was completed within nine months, with subsequent product enhancements and additions taking just six weeks to two months. This rapid turnaround time underscores the efficacy of low-code platforms in driving innovation and facilitating quicker go-to-market strategies. For NISSAY IT and Finatext, embracing low-code development means quicker delivery of a robust, flexible digital sales platform that can be continually refined to meet user and market demands.
Customization and Flexibility for Life Insurance Firms
Central to the proposed digital sales platform is its emphasis on customization and flexibility. Recognizing the diverse needs of different life insurance companies, the platform is designed to offer tailored configurations ensuring it can adapt to a variety of business processes and customer expectations. This involves creating an infrastructure conducive to hypothesis testing and iterative improvements, allowing life insurance firms to hone their customer experiences continuously.
By prioritizing customization, NISSAY IT and Finatext aim to provide a versatile tool for life insurance firms. The ability to shape the platform to meet specific requirements ensures it remains relevant and effective in a rapidly changing digital landscape. This user-centric approach not only enhances the platform’s utility but also helps in fostering stronger customer relationships through personalized interactions and efficient service delivery. This focus on flexibility aligns with the broader trends in digital transformation, positioning NISSAY IT and Finatext to lead the next wave of innovation in the life insurance sector.
Conclusion
The life insurance sector is undergoing a profound transformation as traditional methods intersect with the inevitable surge of digital disruption. In this constantly changing environment, Nissay Information Technology (NISSAY IT) and Finatext have teamed up, introducing a partnership designed to revolutionize the sale of life insurance in the digital era. Combining their technological capabilities, they seek to address enduring challenges within the industry, ultimately leading to the creation of a cutting-edge digital sales platform that streamlines and improves the customer experience.
This new platform promises to modernize how life insurance products are marketed and sold, leveraging data analytics, AI, and user-friendly interfaces to make the buying process more intuitive for customers. NISSAY IT brings its strengths in systems integration and security, ensuring a reliable and safe platform. Meanwhile, Finatext contributes its expertise in financial technology and data-driven insights, striving to make life insurance more accessible to a digital-savvy audience. As a result, this collaboration aims to set a new standard in the industry, enhancing efficiency while elevating the overall consumer journey.