Three key statistics in the insurance industry that most are unaware of. Benjamin Ang, Founding Editor of Asia Advisers Network, cut through the noise as he shared these insights when he spoke at a conference.
Delving right into the first point, he stuns the crowd with this first question:
“How long does it take to sell 240,000 insurance policies?”
Someone in the audience shouted “3 lifetimes”, another said “1 year with all of us”.
But the shocking fact is that 240,000 insurance policies were sold within 1 second.
That happened on Alibaba’s Singles Day Sale on 11th Nov 2017 at its peak. In fact, 860 million insurance policies were sold for the entire day by China’s digital-first insurer, Zhong An which executes everything digitally.
The same way technology advances at a rapid pace, results too, tend to rise at the same exponential rate. From Alibaba’s success on digital, would you still need more convincing that going digital is the right way to go? Let’s keep a look out for last year’s Singles Day sale insurance figures.
Not many can answer simple financial questions
Going digital means research and information can be obtained anytime and anywhere. And millennials being tech-savvy and digitally advanced, they gather their facts and data quickly online before making their decision.
But does that mean they know it all?
In this day and age, almost everyone has a smartphone. But being equipped with a smartphone does not necessarily mean the person’s financial literacy would be high. In a recent survey, people in 15 markets were given three financial literacy questions to answer.
To the people working in the industry, these questions are almost too easy. But, the results of the survey showed that 70% did not get all the questions right.
Even matured markets did not score too well in the survey.
Smartphones do not replace advisers and agents
In Australia, the regulator, Australian Securities and Investments Commission (ASIC) is conducting an ongoing review into the financial services industry.
Cancellation rates were as high as 60%, for policies sold direct and on non-advised basis.
Going digital in any industry (not just insurance) can only do so much good for a person if they know where to look and know what kind of information works for them. Otherwise, the overwhelming collection of data and information available online will be confusing especially for consumers who are not savvy with the industry they’re researching on.
Technology is a double-edged sword. It swings both sides of the pendulum. Depending on the user, going digital can mean different things.
That’s where professional agents and advisers come in play, helping to bridge society’s protection gap. Offering personal and tailored advice to customers’ needs and priorities.
Always in tangent with the insurance industry
Projecting the spotlight on unsung heroes of the industry is what Asia Advisers Network (AAN) does.
Coming from a perspective to serve the insurance industry and advisers and agents, news and updates are always informative, succinct and easy to digest at AAN.
As part of Asia Insurance Review which has served the industry for some 28 years, the rapport and relationships we have with senior executives and regulators help prop us to a vantage point where we can consistently provide the latest news and developments from the interviews we hold with CEOs, C-suite executives as well as leaders of the industry.
Applying a 2,500 years old concept in 2019 AD
“Change is the only thing constant in this world,” a wise man once said (2,500 years ago).
If Heraclitus from 2,500 years ago can understand the concept to be ready for change at any aspect of our lives, all the more so we should embrace the idea to constantly upgrade and update ourselves.
Likewise, at Asia Advisers Network, we emulate this philosophy by making sure we upkeep with the times of our readers. Other than pushing out relevant information about the insurance industry, you’ll find us very heavy on social media, too.
If you see us, give us a like and follow our page to stay updated with the latest news and updates.
Sounds like Heraclitus would make a good Adviser/ Agent, don’t you think?
Take your mind off stress and read these instead:
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