Insurtech is making waves in the insurance industry, but there are still significant challenges to overcome. Joseph Iten, the Chief Technology Officer at The Iten Agency in Florida, is actively addressing these issues within his own agency. He has been focusing on improving slow processes, outdated technology, and the risks associated with errors and omissions (E&O) in the insurance field.
While online quoting tools have helped small businesses streamline their workflows, mid-sized commercial accounts are still struggling with old-fashioned methods. In Florida’s high-risk insurance market, even simple tasks like retrieving loss runs can lead to serious liabilities. As insurance carriers increasingly embrace automation, brokers like Iten are left to manage the fallout.
Iten, a third-generation insurance agent, has spent the last ten years modernizing his agency’s operations. He has introduced e-signatures and Voice over Internet Protocol (VOIP) systems, and he is exploring the use of AI to enhance client communication. His goal is not to fully automate the process but to improve client understanding of their policies while maintaining high service standards.
Growing up in a family of insurance agents, Iten has a deep connection to the industry. His grandfather and father both worked as agents for Nationwide. When Nationwide changed its business model in 2008, the family shifted to an independent agency, coinciding with the onset of digital transformation in the industry.
Upon joining The Iten Agency, Iten aimed to modernize the agency without losing its core values. The agency’s business mix—40% commercial and 60% personal—shapes its approach to technology, balancing the need for efficiency with the complexities of high-touch risks.
Despite advancements in technology, Iten acknowledges that the industry still has a long way to go, especially for more complex accounts. While insurtech has made significant progress for small businesses, mid-sized and larger accounts still require more detailed underwriting processes. One major hurdle remains the slow turnaround time for obtaining loss runs, which Iten describes as a challenging task.
Iten sees a clear opportunity for insurance carriers to automate the process of obtaining loss runs. He suggests that if carriers developed a platform allowing clients to request their loss runs directly, it could significantly speed up the process.
However, Iten also warns that faster processes do not always mean safer ones. He emphasizes that while self-service tools are appealing, too much automation could expose agencies to serious risks, particularly in high-stakes markets like Florida. Agencies need to focus on their underwriting processes, and excessive automation could lead to significant E&O problems.
To mitigate these risks, Iten believes in using technology to enhance client education and transparency. He points out that clients often do not read their insurance policies thoroughly, which can lead to misunderstandings. He sees value in digital tools that clarify policy exclusions and key conditions in straightforward language.
As artificial intelligence continues to evolve, Iten cautions against expecting rapid changes. He believes that the real risk lies not in the technology itself but in losing the personal connection between agents and clients. He advocates for steady, thoughtful progress—updating systems, engaging with clients, and automating processes like loss runs step by step.
In conclusion, while the insurance industry is making strides toward modernization, there are still significant challenges to address. With leaders like Joseph Iten at the forefront, the focus remains on improving processes while maintaining the essential human touch in client relationships.