IoB Insiders Steve Sandquist discusses the impact of IoT in insurance, and the need for verification speed, fast.
Insurance is becoming real-time, real fast. What does speed mean? Can insurance use the Internet of Things to shake up other verticals that depend upon insurance like financial institutions and unplug their typical full and slow verification pattern?
How will this improve its standing with average people? For me, it is just crazy that an industry can do everything right, get the policy right, get the folks right, but cannot communicate verification in a way that is right, real-time and easy.
As I will hopefully illustrate, verification systems are varied in regards to quality but there is one company that has nailed it. And it has to be right, as undependable verification takes whole effort down. It is about the last mile. As a monetary fraud specialist studies the real thing, we start with the real thing and work backward.
Maverick: Mustang, this is Maverick, requesting fly-by.
Air Boss Johnson: Negative, Ghost Rider. The Pattern is full.
Merlin: Uh, excuse me, something I should know about?
Air Boss Johnson: [gets his coffee] Thank you.
[Maverick does a fly-by past the Enterprise, causing the Air Boss to spill his coffee]
Air Boss Johnson: God bless that guy.
It is fun to go back and revisit need for speed films like ‘Top Gun’ from 1986, but let’s go forward and look at a company that is using IoT to change insurance speed for verification with a very interesting offering. And let’s juxtapose the only company that gets verification, GAPro System, Inc. — in my opinion, against a couple of other verification systems to see what is what. Does a truly real-time solution work with correct information? Is there a real thing?
How is GAPro System ‘buzzing the tower?”
GAPro System Founder and CEO Herb Gibson puts it like this, “GAPro is a cloud-based system that combines the fundamentals of insurance (risk transfer) with the forward thoughts of insurtech to produce verification as a service in real-time to the entire insurance value chain. We significantly reduce cost and create efficiencies by systematically standardizing the process of verification and compliance. All stakeholders benefit from this data sharing platform.”
What Herb has discovered and brought to us is the idea that speed, along with a platform designed for wins all around, is the mixture that is now taking over insurance.
In fact, according to its website, “GAPro is the first industry-wide disruptive digital ecosystem designed for the compliance and verification process. GAPro brings together real-time insurance information for all stakeholders: Carriers, Agents/brokers, Insureds, and Third Parties under a single, secure platform. All stakeholders are empowered to reap the benefits of shared information, including new clients/revenue, significantly reduced cost and improved outcomes.”
What is wrong with this besides nothing? My Certificate Of Insurance (COI) done right, done in real time and immediately viewable sounds good to me!
We need to get the speed with the right information
I want to start and end with GAPro System because it gets the verification opportunity right and gets it real-time. When counterfeit officials look for fake bills, they study the real thing only so they know a fake immediately.
According to an article in the Herald-Citizen by Laura Militana on January 8 2017, Tennessee has instituted a new law that puts tougher penalties on uninsured motorists. The Electronic Insurance Verification System, part of a 2015 law, aligns vehicle registration information against the policy information that is offered by the carrier. Since the policy information is not real-time, there are gaps. Gaps will cause heartache. It was modeled after a Georgia law in 2013. Imagine being ‘reinstated’ after fee receipt? What a nightmare. The state has been working with the insurers to update the web-based technology. Doesn’t sound good.
A Star Tribune article on 12 December 2014 by Ricardo Lopez highlights how Minnesota scrapped its verification system when lots of people were unduly suspended. It did not get right what the system was hoping to do.
Wrapping up verification
Obviously, a PDF is not the answer. It’s majorly static. A back and forth with the slow insurance company is awful. Instead, information should be real-time, should be true and should be right. If not, consumers will be frustrated.
This is why I like GAPro System as our only real deal. It is the way today’s verification needs to be developed. Every party wins in this arrangement. It is a shame to let the last mile, the verification piece, thwart all the work done prior. The last mile is most important. Always good to check the real bill to the fake bills. With speed. With accuracy and precision. With confidence.
