Connect with us

Wealth Management

THE TECH THAT WILL DRIVE DIGITAL TRANSFORMATION IN INSURANCE

By David Northmore, Vice President EMEA at MarkLogic

 

Transformation has swept across industries globally since the dawn of the digital age, with innovation being a key driver. ‘Going digital’ was revolutionary in insurance, with much of the manual work involved in creating and locating files being removed to allow more time for insurers to focus on customer service.

The amount of data being collected and stored today is creating demand for similar solutions through the likes of automation, machine learning and artificial intelligence. Legacy IT systems are beginning to buckle under the pressure of effectively storing and retrieving information from more complex datasets.

The adoption of new solutions has been intermittent across the insurance industry to date as there are still many barriers to effective roll-out. The need to embrace technology and analytics to help overcome challenges in insurance is clear, though the industry overall has been historically slower than other sectors to acknowledge this and act.

The primary driver for insurers is customer engagement for the purposes of loyalty and retention.There are always going to be challenges in this space as expectations fluctuate and the ‘average customer’ becomes harder to define, with customer experiences becoming more and more complex. This focus area for insurance has seen more competition in cost and value-added services, though the adoption of predictive analytics is a newer phenomenon that insurers have begun to explore.

An effort to develop and maintain a drive towards innovation in insurance is evident, but more often than not, insurers are falling down as they lack the agility to keep up with an ever changing landscape. Regulation is one key factor at play, with GDPR for example creating a need for the adoption of enhanced security features that can aid insurers in mastering and sharing data, as well as keeping customer data safe. This acts as an important area to be tackled by insurers in their effort to pursue customer engagement and loyalty as services in the space evolve.

 

David Northmore

Automation, Artificial Intelligence and Machine Learning

Automation can be supported by both machine learning and artificial intelligence, so long as high quality data is leveraged in its introduction and maintenance. By integrating machine learning into a central platform, insurers can automate ‘lower-value’ activities so more time can be spent building sophisticated algorithms for areas such as underwriting and customer engagement.

AI enables pattern recognition at scale and performs repetitive and mundane tasks with ease, meaning the workforce of claims processors and other insurance personnel can focus their efforts on more people-centric tasks. The problem is that legacy IT systems often result in the build up of huge silos of data, and as the years pass we often see that several layers of tech exist on top of one another among insurance organisations. These layers need to be stripped back and the data effectively organised into an operational data hub that provides a 360-degree view of all the data across the organisation, while remaining completely secure.

 

Increasing the chances of success

Many insurers have incorporated Master Data Management (MDM) systems into their day-to-day operations in order to support the drive to gain a holistic view of their data. However, all too often speed and accuracy pose problems with these MDM tools, which is where ‘smart mastering’ using a data hub platform can make a difference.

Smart mastering is the process that enables the effective organisation, protection and retrieval of datasets, meaning insurers can master data quickly and automatically. It involves taking all entity information and standardising it to improve quality and accuracy, thereby enabling the linking of data across various existing databases. An advantageous use case for this would be the linking of policyholder and transaction data across different policies to provide a complete, 360-degree view of customers.

Implementing this process successfully requires the underlying data architecture to be designed in a way that means data is not siloed across the organisation. In fact, when it comes to technologies such as AI and machine learning, this set-up is a prerequisite for insurers seeking to incorporate these solutions into their operations.

Modern data hubs are instrumental in supporting insurers as they embrace technology that seeks to automate and streamline processes. By quickly integrating vast quantities of data from across the business, these platforms generate quality data sets which can be used to feed machine learning algorithms and drive automation. They also provide insurers with the tools needed to adapt and demonstrate flexibility when tackling their customers’ ever changing needs and make headway on the path to digital transformation.

 

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Wealth Management

HOW SALARY SLIPS HELP YOU UNDERSTAND TAX DEDUCTIONS ON YOUR SALARY

A salary slip is defined as a document that is provided by your employer which contains the breakdown of your earnings, deductions, and other variables. Your monthly payslip will have the amount that is being paid to you and the deductions that will be made. This document is generated on a monthly basis, the employer hands over to you either over mail or a physical copy.

 

Importance of understanding the salary slip

As it is the legal proof your employer will give you acting as proof of your employability, it will help one understand the components and the salary associated with their position of responsibility. It helps you to fill your income tax returns, applying for loans, etc.

  • Exploring opportunities: Your salary slip will play a pivotal role in having a raise or switching from one company to another, it acts as a negotiating factor between you and the employer.
  • Tax Calculation: There are different tax treatments for different components in your salary slip. Knowing about these components will help you in encashing various benefits available for tax deductions, we will see in detail the various components of salary slip and how to avail the tax benefits from them.

 

Components of salary slip

The salary slip is generated every month, but do you really understand the format and the components associated with it? You need to learn about salary slip and then understand the terminologies and different variables that are included in your salary slip.  Let’s not worry we will structurally break down the components and try to understand everything:

 

The deduction side

The professional tax, employee provident fund (EPF), tax deduction at sources (TDS) are the major components:

1. Professional tax: This is a small amount taxed by the state government by the earning professionals. The majority of the Indian states tax this amount to the individuals not only for the professionals but for individuals who earn a living. This deduction of the amount is from the taxable income. This amount is a very small amount, generally in a few hundred, which is majorly dependent on the gross tax slab of the individual.

2. Tax deducted at source (TDS): An amount the income tax department charges and is deduced by the employer. It has a similar criterion like professional tax, which is dependent on the gross tax slab of an employee. If you have invested in schemes like tax-saving FD, PPF, ELSS, NPS can reduce the amount paid to the tax department. As this comes under the 80C section of the Indian income tax, this increases your take-home salary. You can also invest in the mutual funds and submit the proof to your employer, further claiming the TDS returns.

3. Employee Provident Fund (EPF): This qualifies under section 80C of the Income Tax Act, this EPF goes to the contribution of an employee to the provident fund. This fund basically accumulates the amount for your retirement period. 12 percent of the basic salary of the employee goes to the EPF, the employer also makes a similar contribution towards the employee for their retirement. This whole process is governed and managed by the Employees’ Provident Fund Organisation.

 

The earning side:

1. Basic: This is the fixed component of your salary as the name suggests. This is usually the largest component of your salary. The fixed or basic salary defines your HRA furthermore, your PF is deducted as a percentage of your basic salary. The basics tend to be higher at the junior level. The salary in hand is 100 percent taxable to the employee.

2. House Rent Allowance: This allowance is for the individuals who live in rental houses or apartments. There is a partial or full exemption from taxes depending on the rental expenditure of the individual. If you do have HRA but you do not live on a rental basis then this component is fully taxable.

3. Conveyance Allowance: The amount of travel to and from the workplace by the employer to the employee. This allowance is generally exempt from tax until a limit so one can save on tax on this allowance. This appears on the earning side of the payslip.

4. Medical Allowance: For the medical expenses during the time of employment at a company, the employer provides an amount for the medical expenses for the employee. This amount is only received by the employee post presenting the medical bills to the employer as a proof. If the employee fails to provide the necessary certificates and bills, this amount shall be fully taxed. On the other hand, if the employee provides the proof of documentation the allowance is up to Rs. 15,000 that will be exempted from the tax.

5. Special Allowances: These allowances are performance-based allowances, they are generally given to the employees to derive motivation and better work. They are subject to companies and may be variable. These allowances are 100 percent taxable.

It’s most important to understand the salary slip for an individual, as it acts as a proof, credible source, helps in the background check, and many more cases. It also gives the growth trajectory of the individual for other employers. Salary also gives you the opportunity to get various loans, credit cards, and other borrowings.

 

Continue Reading

Wealth Management

DIFFERENCE BETWEEN BITCOIN AND LITEBITCOIN

When you get closer to the world of cryptocurrencies, it is not uncommon to confuse reference assets due to the similarity of their names and the fact that very often the source codes are the same.

Well, one of the most common cases is the one that contrasts Bitcoin e Litebitcoin. Although part of the name of the virtual currency is the same, they are two different assets that it is advisable to consider separately understanding the main differences, de.cfds-trader.com is best option for trading.

 

How Bitcoin is used?

Bitcoin is the most famous crypto valuates in the world and is probably also a virtual currency that needs less introduction. Bitcoin is, in fact, the system that has piqued the public and financial opinion in these assets, and is still the most capitalized and traded virtual Currency in the world.

 

How to use Litebitcoin?

This, of course, is less well known, instead Litebitcoin, A newly introduced cryptocurrencies in the panorama of the encrypted virtual currencies, and is the result of the evolution of the same code, the Bitcoin, from which it takes its name in part.

The purpose of this fork was to enable the presence of the blockchain so that it could guarantee a higher speed and stability of the cryptographic system compared to what was already in bitcoin.

 

Differences

By this point, you should have already understood the differences between the two assets, and Bitcoin e Litebitcoin is two different and different currencies, and, as a rule.

The differences didn’t end here. Suffice it to recall that Bitcoin is significantly more traded and capitalized than its counterpart, and how to invest in Bitcoin is much easier thanks to the large number of brokers who have this asset on their platforms. Shortly speaking, capitalization The market capitalization of Bitcoin exceeds 250 billion dollars due to dynamic expansion, especially during this year. On the other hand, the capitalization of Lithuanian bitcoins is much more restrained. Today their capitalization is about 35 thousand dollars price, the price of bitcoin today exceeds 15 thousand dollars instead, the unit of bitcoins is 0.011148 dollars, or 0.00000074 if you prefer bitcoins, Currency in circulation The circulating bitcoins in circulation are a little over a million 3 versus a Bitcoin supply of almost a million 17, total supply As you know, most of the bitcoins have already been extracted. The remainder will be gradually available until you reach a total of 21 million bitcoins. In this sense, the scaling of Lithuanian bitcoins has just begun, given that the 3 million available units represent a small fraction of the more than 161 million bits envisioned by the project.

 

What is the fundamental difference between bitcoin, gold and oil?

Bitcoin, oil and gold have experienced significant price fluctuations for their long-term or short-term history. There are, however, fundamental differences, especially if we look at what happens to their availability when a price change occurs.

 

Oil

Any significant rises in the price of oil lead to an immediate reaction from the producers of this commodity. The higher price of the product they supply prompts them to invest more in the infrastructure to mine this black gold. On the charts, you can see how the price fell when oil production exceeded demand. Since the mining companies did not expect to produce as much oil in this situation, the volume of production decreased accordingly. At another stage, demand increased again, and companies could start mining at higher speeds.

 

Gold

The same goes for gold. As soon as its price rises, companies react accordingly by increasing the production of this metal. When the price of gold fell, its production also stabilized.

 

Bitcoin

However, in the case of bitcoin, he can see the opposite of the commodities as mentioned above. In last year, when the block mining rewards were significantly higher than today, he saw significantly lower prices for 1 BTC. Subsequently, as the price of Bitcoin rose, miners’ rewards decreased.

Thus, there is no cyclical relationship between supply and demand, as is the case with oil and gold. This course has to do with the very nature of this cryptocurrency. Mining fees are halved for every 210,000 blocks.

 

Continue Reading

Magazine

Partner Events

Trending

Business23 hours ago

THE BASICS OF BUSINESS FINANCE

When you’re starting your business, you’ve got a lot to be thinking about. You need to find affordable suppliers, market...

Business23 hours ago

HOW THE IMPORTANCE OF E-COMMERCE PLATFORMS GREW DURING THE PANDEMIC

Never in history has the world relied more on the internet than during this Covid-19 pandemic. With governments imposing lockdowns...

Business23 hours ago

UNBANKED AND UNCONNECTED: SUPPORTING FINANCIAL INCLUSION BEYOND DIGITAL

Darren Capehorn, Director, Icon Solutions   Many of us take it for granted, but accessing basic financial services is fundamental...

Banking3 days ago

MORE THAN REGULATION – HOW PSD2 WILL BE A KEY DRIVING FORCE FOR AN OPEN BANKING FUTURE

Ralf Ohlhausen, Executive Advisor, at PPRO   Whilst initially seen as simply a regulation exercise, the second Payment Service Directive,...

Top 103 days ago

TIME TO THINK OUTSIDE OF THE BLACK BOX

Mike Brockman, CEO, ThingCo   If you have the unbridled joy of parenting a teenager you’ll probably know what telematics...

Banking3 days ago

BANKING’S SECOND WAVE OF TRANSFORMATION: INTEGRATING THE CLOUD-ENABLED FUTURE BANK

Keith Pearson, Head of Financial Services EMEA, ServiceNow   The last six months have seen significant changes to the financial services landscape, with operational resilience, economic recovery, cost reduction and an...

News3 days ago

RISK AND INVESTMENT SPECIALIST, CARDANO, TAKES TO DOCUMENT AND EMAIL MANAGEMENT IN THE CLOUD WITH ASCERTUS AS IMPLEMENTATION PARTNER

Ascertus also providing document comparison tool, compareDocs    Cardano, a privately-owned, purpose-built risk and investment specialist, has chosen Ascertus Limited as its implementation...

Wealth Management6 days ago

HOW SALARY SLIPS HELP YOU UNDERSTAND TAX DEDUCTIONS ON YOUR SALARY

A salary slip is defined as a document that is provided by your employer which contains the breakdown of your...

Banking6 days ago

BRANCHES ARE THE HUMAN FACE OF YOUR BANK?

Sudeepto Mukherjee, Senior Vice President, Financial Services Lead EMEA & APAC Publicis Sapient   Branches have always played a pivotal...

News6 days ago

RISE IN E-COMMERCE FOR SMALL BUSINESSES IS A BIGGER RISK THAN JUST STOCK CONTROL

With consumer confidence in the high street at an all-time low, many SME shops and businesses have moved to online...

Finance6 days ago

TIME TO FOCUS ON YOUR ‘WEALTHBEING’

Tony Mudd, Divisional Director, Development & Technical Consultancy. St James’s Place   FIVE WAYS TO SAFEGUARD YOUR FINANCIAL FUTURE The...

COVID-19 COVID-19
Finance6 days ago

PAYROLL AGILITY IN THE CORONAVIRUS CRISIS – HOW FINANCE FIRMS CAN ACHIEVE IT

by Hannah Grimshaw, BPO Payroll Lead, Symatrix   The government has published guidance with regards to the next steps for...

Business6 days ago

WHY IT’S TIME TO ADAPT TO THE VIRTUAL WORLD: HOW TO MASTER ONLINE NEGOTIATIONS

By Tony Hughes, CEO at Huthwaite International, a leading global provider of sales, negotiation and communication skills development   Virtual...

News1 week ago

BNP PARIBAS PERSONAL FINANCE COLLABORATES WITH EXPERIAN AND ARYZA TO HELP CUSTOMERS THROUGH THE COVID-19 PANDEMIC

The consumer finance specialist will be using the Open Banking tool to help customers create an affordable payment plan based...

News1 week ago

NUAPAY BRINGS OPEN BANKING TO 190M FRENCH ACCOUNTS

Nuapay brings Open Banking payments into Europe following its success in the UK Nuapay is connected with 55 banks, enabling...

Finance1 week ago

REDUCING AGENT CHURN IS CENTRAL TO IMPROVING THE CUSTOMER CARE OF FINANCIAL SERVICES FIRMS

By Jonathan Mobbs, Head of Finance Vertical at Maintel   In recent months contact centres have been forced to turn...

News1 week ago

FOUR MEDIA EVENTS THAT ROCKED THE FINANCIAL MARKETS

The media has incredible influence over many facets of life and the financial markets are no exception. A famous study...

Wealth Management1 week ago

DIFFERENCE BETWEEN BITCOIN AND LITEBITCOIN

When you get closer to the world of cryptocurrencies, it is not uncommon to confuse reference assets due to the...

Top 101 week ago

BITCOIN TRADING – DETERMINING THE TREND

The trend is your friend – this rule is fundamental in technical analysis. This is why, before you start trading...

Top 101 week ago

BITCOIN TRADING – LEVERAGE

In the case of cryptocurrencies, there is volatility. Even for some more conservative traders, this may be overkill. Therefore, before...

Trending