The darker side of automated insurance quoting for med-mal clients

The rise of technology has touched nearly every sector, and the insurance industry is no exception. The global Insurance Quoting Software market is projected to experience robust growth from 2024 to 2031, driven by advancements in automation and artificial intelligence. Leading companies such as Vertafore, Applied Systems, and Insureon Solutions are at the forefront of this expansion, delivering streamlined insurance solutions through automated platforms. These platforms provide consumers with fast, on-demand quotes and instant policy purchasing capabilities.

However, as these digital solutions proliferate, there remains a critical question for medical professionals and facility managers: Can automation truly replace the nuanced, personalized service of a dedicated insurance broker?

This is where the distinction between online insurance resellers and dedicated brokers like Westwood Insurance Group becomes critical, especially in the specialized field of medical malpractice insurance.

The Convenience of Automation

Automated insurance platforms have become increasingly popular for their simplicity and speed. By using this online software, a medical professional can quickly input their details, receive a range of quotes, and purchase a policy with just a few clicks. This approach has several advantages:

1. Speed: Automated platforms streamline the quoting process, delivering quotes within minutes.
2. Cost-Efficiency: With less human interaction, these platforms can reduce administrative costs, sometimes resulting in lower premiums for basic coverage.
3. 24/7 Access: Policies can be purchased or renewed at any time, making the process more flexible for busy professionals.

These benefits align perfectly with the growing demand for convenience and efficiency in today’s fast-paced world. As the insurance software market expands, the reliance on automated platforms is expected to continue growing, catering to individuals and small businesses seeking quick solutions.

The Drawbacks of Automation

However, the very nature of these platforms presents limitations, particularly in more complex areas of insurance like medical malpractice. While convenient, automated systems lack the human element, which can be critical in fields where each policy must be carefully tailored to the unique risks faced by the healthcare and senior living industry. Here are some challenges associated with relying solely on an automated system:

1. Lack of Personalization: Automated platforms rely on predefined algorithms and questionnaires to generate quotes. They may not capture the nuanced details of a physician’s practice, specialty, or individual risk factors, leading to either inadequate coverage or unnecessary costs.
2. Limited Support: In the event of a claim or a coverage question, support from automated systems is often limited to customer service hotlines or chatbots. For professionals facing a potentially career-altering malpractice suit, this level of support may fall short of expectations.
3. Policy Gaps: Automated platforms are designed for efficiency, but that can come at the expense of thoroughness. They may overlook specific endorsements or exclusions that could be critical to a healthcare provider’s coverage.

The Value of a Dedicated Broker: Westwood Insurance Group

In contrast to the automated experience, dedicated brokers like Westwood Insurance Group offer a level of service that goes far beyond what a software program can provide. Here’s why many healthcare professionals continue to choose dedicated brokers despite the allure of digital convenience:

1. Tailored Coverage: Westwood Insurance Group specializes in medical malpractice insurance, which means they understand the complexities of the field. Brokers take the time to assess each client’s specific needs, ensuring that coverage is comprehensive and aligned with the unique risks of their practice.
2. Proactive Risk Management: Beyond just selling policies, dedicated brokers act as partners in risk management. Westwood Insurance Group offers advice on reducing exposure to claims and can recommend policy features that an automated platform may not highlight, such as cyber liability coverage or protection against Sexual Abuse and Molestation (SAM) claims.
3. Ongoing Support: When a claim arises, having a dedicated broker can make all the difference. Westwood Insurance Group provides hands-on support, guiding clients through the claims process, advocating on their behalf, and ensuring that they receive the best possible outcome. This level of personal attention can be a lifeline during stressful times.
4. Access to Multiple Carriers: While automated platforms can provide a range of quotes, they are often limited to a select few carriers. Westwood Insurance Group, on the other hand, has relationships with nearly 100 different insurance carriers, allowing them to find the best policy for each client, regardless of how niche their needs might be.

The Bottom Line

As the insurance quoting software market continues to grow, it will undoubtedly capture a significant share of the more straightforward, transactional aspects of insurance purchasing. For healthcare professionals, however, medical malpractice insurance is rarely simple. The stakes are high, and the intricacies of coverage can be overwhelming.

For more information on how brokers support their clients, visit our support page.