Have you ever considered what our country would do in the face of another recession? It hasn’t even been ten years since the housing market collapsed, and some economists are now predicting another recession on the horizon. Just when we thought that economic growth would usher in a new era of prosperity for a weary population, we were surprised to learn this.
Understanding Economic Trends and Life Insurance
Where were the economic gurus prior to the 2008 housing collapse? They were probably talking up a storm, but nobody was listening. We were in the middle of the race between Barack Obama and Hillary Clinton for the Democratic nomination and the Summer Olympics were in Beijing. Starting to sound familiar? The only difference now is that Hillary is battling Donald for the White House, England has left the European Union, and the world looks very different. We are in the age of IoT, and people have more noise to block out than ever before. What is common to both eras is that people who are shopping for life insurance are not necessarily thinking about the impact of a recession, especially before it occurs. They become very tight with their spending immediately after the collapse hits, and it takes many of them years to start spending again. This month, we were reading Tony Sagami’s piece on Forbes.com: “3 Recent Danger Signs of a Looming Recession.”
Where the Problem Is
In any economy, but especially now, the national economy must expand. If economic growth is very slow, then it’s easy for a change to occur from positive growth to negative growth. Sagami references how the U.S economy has grown less than 2% in the last three quarters. That is not an encouraging mark of progress, and it is a precarious two points over the zero mark, below which are those dreaded negative numbers.
Designing Policy Administration Systems for the Future
Insurance companies should keep in mind that consumers eliminate the non-essential items from their budget whenever there is a recession. Some consumers may be reluctant to buy a new life insurance policy or an annuity when times are tough, and they might start shopping around for one that offers them lower payments than the ones they currently hold. That’s why we are committed to building policy administration systems for insurance carriers that work in every economy and that meet consumers wherever they are. Insurance carriers can expect more customer requests for policy information and potentially higher volumes of policy changes and cancellations right after an economic collapse. Your company’s customer service platform, which is connected to mobile and web applications, should be ready.
Customization is the Key
The key to building policy administration systems that benefit your company in every economy is customization. We want to help you by studying your target consumer base and identifying their common needs. Today’s subscribers want the right combination of convenient features and security measures whenever they access your website or mobile site. We design a graphic user interface that collects all information required from consumers and then returns the information that they want in a customized format. Our policy administration systems can easily accommodate both prospective policyholders and existing policyholders. We also use the latest security protocols to ensure that your company meets the current federal and state business regulations, especially those regarding consumer data privacy.
Don’t wait to upgrade your policy administration system that interfaces with existing policyholders. You want a flexible platform that will accommodate different levels of traffic, and you don’t want your website to shut down when too many visitors are online. We can build new applications that interface effectively with your existing infrastructure. For details, please contact us today.