Brokers are facing a new challenge in the insurance industry – the rise of double entry. This practice, which involves entering the same data multiple times into different systems, is not only time-consuming but also costly. As a result, brokers are losing market share to more efficient competitors.
According to a recent survey by Applied Systems, 60% of brokers reported spending more than 10 hours per week on double entry. This means that they are spending valuable time on administrative tasks instead of focusing on client relationships and business growth.
But the impact of double entry goes beyond just time and resources. It also affects the accuracy and consistency of data, which can lead to errors and delays in processing policies. This not only creates a negative experience for clients but also puts brokers at risk of losing business to competitors who can provide faster and more accurate service.
Furthermore, the cost of double entry is not just limited to time and resources. It also includes the cost of maintaining multiple systems and the risk of data breaches. With the increasing importance of data security and privacy, brokers cannot afford to overlook these risks.
So why are brokers still using double entry? The main reason is the lack of integration between different systems. Many brokers are using legacy systems that are not compatible with newer technologies, making it difficult to streamline processes and eliminate double entry.
However, there is a solution to this problem – the adoption of integrated systems. By investing in technology that allows for seamless data transfer between systems, brokers can save time, reduce costs, and improve the overall client experience. This not only helps brokers stay competitive but also positions them as leaders in the industry.
In conclusion, double entry is a costly and time-consuming practice that is hindering brokers’ market share. It is crucial for brokers to recognize the impact of this practice and invest in integrated systems to stay competitive in the ever-evolving insurance industry. By doing so, brokers can not only improve their efficiency and profitability but also provide better service to their clients.
