Insurance Innovation of the Month: Absa bancassurance system and app

Innovation of the month

23 January 2020

Efma-Accenture’s Insurance Innovation of the Month award for January 2020 goes to Absa’s Bancassurance for its newly developed app and system that is the new benchmark in Kenya.

Recognizing that potential customers in sub-Saharan Africa are hesitant to purchase insurance due to unpleasant buying experiences, Absa sought to resolve this troublesome issue. Their solution, their Bancassurance system and app, has been such a resounding success that it has been named Insurance Innovation of the Month winner for January.

With their main focus being customer experience, the solution developed by Absa has created a consistent, relevant, and pleasant experience for its customers – from the onboarding process through to post sales service. Vimal Kumar, Chief Executive for Retail and Business Banking for Absa Bank in Africa said, "I am pleased that we have won this award for January 2020. This is a great start to the year! Customer satisfaction is our key focus and the Banca app is one of the ways in which we are promising a great customer experience."

With customer empowerment at the heart of this new tool, the services now available are numerous. Customers can better understand their current situation through self-service portals, analytics-driven dashboards, and responsive customer service. They can manage policies, manage claims, receive and manage quotes, and make e-payments.

Beyond the benefits to customers, the system integrates all aspects of insurance distribution business thus providing a product that covers the whole insurance intermediary value chain providing the necessary end‐to‐end straight through processing solution that reduces cycle times and processing costs per transaction. With straight through processing, the system harnesses imaging technologies and the power of the web to automate the processes across the whole insurance value chain.

The benefits to Absa have been significant. While achieving reductions in operating costs, people errors, and rework cases, they have also seen improved underwriting decisions and availability of data. The business results have been equally impressive and immediate. The system has enabled the group to grow their renewal business up to 65% from their prior average of 35% achieved when they were operating manually. 

The initiative aligns neatly with the insurer’s ambition to be a leading innovator in customer experience. Said Kumar, "Digital transformation is a key pillar of the Bank’s strategy. Our Banca app is yet another innovative way in which we are moving forward, and also providing a great customer experience." By providing their customers with the best digital tools, Absa ensures that the customer journey is no longer a prohibiting factor for people, but instead a major selling point for the insurance provider.

Absa’s innovation will be automatically selected as a nominee for the Efma-Accenture Innovation in Insurance Awards 2020. Submit your innovations on the Efma Insurance Innovation portal until 10 February to compete for the February Innovation of the Month. Participation is free of charge and open to all insurance institutions.

Keywords : Digital/Mobile channels , Insurance Products & Services

Geography : Kenya