P&C insurance training enters world of virtual reality

Could virtual reality mentors help train recruits in the property and casualty insurance industry?

It may sound futuristic, but early iterations of virtual reality and AI-based learning are already being used to help onboard new hires in the industry, panellists observed Wednesday at Canadian Underwriter’s webinar, The Loyalty Advantage.

Virtual reality training aids are already in the works for teaching future P&C professionals the communication skills they will need to serve consumers, said John McNeil, associate dean at Humber College.

“When we were talking about teaching new students how to respond [to consumers] on the phone, or even in an interview [with a prospective P&C employer], we actually have new virtual reality platforms that allow students to use avatars to be able to [practice] in a safe space,” said McNeil.

“We’re seeing a lot of virtual reality being adapted and adopted into our programs to make things interactive. Because ways of learning are changing and new, and that’s not just students, that’s also customers.”

It’s clear that across the industry, educators are looking for new ways to engage students technologically.

The Insurance Institute of Canada’s recent push to recruit people into the industry includes an accelerated series of courses taught by an AI-based instructor.

Panellists were responding to a question about how best to train new industry professionals on the communication styles and technologies they need to respond to consumers.

Kelly MacDonald, chief commercial officer for Platform Insurance, noted consumers process information in different ways. And while some absorb statistics through static teaching aids like PowerPoint, her brokerage is experimenting with different ways to engage consumers.

“I think there’s always an opportunity to present data in a much clearer way that makes it easier for customers to make decisions,” MacDonald said. “We’re talking about things like [the P&C industry] controlling the narrative and helping [customers] understand what’s going on in the industry. Maybe it’s [telling consumers] what to expect at your next renewal, or we’re switching markets.

“How do we share those things with consumers? I’ve seen companies use video really effectively. Again, you need the right guardrails for those types of things, but it can be really impactful for getting stories across and helping people make decisions.”

Training new recruits should include red flags for when the client’s preferred style of communication doesn’t inform, but rather frustrates them, she said. And however you engage with your customers, you should be testing the return on investment when you use various communication technologies.

Steve Whitelaw, senior vice president and general manager of Applied Systems Canada, said the P&C industry must be able to talk to consumers using the preferred communications style. And these days, many are using text.

“We used to do email,” Whitelaw said. “Text is the way now. Everyone’s just texting, texting, texting. You’re putting links inside the text, you’re doing everything with text. Chatbots and AI are driving some of that…

“How consumers want to interact with you is how we need to be able to respond to them. If the consumer is terrified to talk on the phone, then we shouldn’t be picking up the phone to try and talk to them. We should be texting them because that’s their preferred method, if possible.”

Regulations do limit the use of chatbots and AI, Whitelaw said. That’s why chatbots and AI will not replace humans in the P&C insurance industry.

“If it’s a licensed activity [i.e. selling insurance], it needs a person,” Whitelaw said. “So, I don’t think we’re ever going to see that panic state that AI is going to take over and take people out of the insurance business. That’s a fallacy, in my view.

“We always need people. [Tech] can make it more efficient. We can make communications with consumers align to how they want to interact.”

Feature image courtesy of iStock.com/pcess609