How beneficial is to Outsource Insurance Back-Office?
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We are a small insurance firm and are thinking off to outsource our different insurance back-office tasks to a another company. How beneficial is this Idea?
Asked April 11, 2017
The insurance back-office tasks can be outsourced to a third party outsourcing service provider to manage the time-consuming and complicated back-office operations. Outsourcing is now becoming the popular trend in the insurance industry to enhance business profits.
Here are many insurance back-office services that you can outsource:
- Policy management and administration services
- Claims management and processing services
- Commission management services
- Insurance data processing
- Insurance Accounting
Many insurance companies, insurers or MGA’s can outsource their back-office tasks to reduce workload and improve their business performance.
There are many reasons and benefits of outsourcing insurance back-office services, some of which are earning more business profits and saving their precious time. It helps many businesses to efficiently manage complex insurance back-office tasks in a specific time period. These services can help the insurance firms to bring the flexibility to their core business functions.
Outsourcing service providers can also handle other activities that might be crucial for any insurers and insurance companies for their business growth. Thus, outsourcing insurance back-office to an outsourcing company like Cogneesol is an efficient way to quickly handle a lot of back-office tasks such as policy creation, claims processing etc. simultaneously. In this way, we can say outsourcing insurance back-office services is a beneficial strategy for your business.
Answered October 5, 2017 by BenHewsen
Outsourcing a small insurance firm's back office tasks is an incredibly wise decision that can ultimately save you time and money even though you pay for services. Instead of wasting time with back office tasks that anyone can do or paying for a full-time employee to handle them on a daily basis, you can inexpensively outsource many of these tasks and then use that extra" time to chase leads, arrange new policies or upgrade products with existing clients. These services can also give you peace of mind that your clients have the help they need when you are not available. Lastly, outsourcing services can actually build a firm's reputation as a place where staff care about their clients.
A third-party call center or temporary firm with agents who understand the insurance industry can quickly and efficiently handle many back office tasks, including customer service, data entry, policy updates, bookkeeping and accounting, outbound lead generation and technical assistance. For example, you might hire a temp worker to come in once a week to update policyholder electronic records with new information that was written on paper. A payroll specialist might come in bi-weekly to check the books and make certain that employees and contractors receive their pay on time.
A call center that takes emergency calls might handle all of your inbound contacts from clients who need answers to insurance questions or file claims when your office is closed or you are asleep. The sales department in a call center might cold call people on a lead list to advertise your services, set up leads and even schedule face-to-face and phone-based appointments. Outsourced technical support might help your staff with computer issues while you are on vacation or at a conference, or aid your customers with any problems with their online accounts.""
Answered April 11, 2017 by vedgehammer