How can digital verification help insurers transform the customer experience?

In a world where customer experience is a cornerstone of success for Canadian insurers, enhancing the customer journey means modernizing outdated processes and addressing emerging risks — especially when it comes to data verification. Manual data collection, fraud vulnerabilities, and resource constraints have traditionally hindered progress, but Interac Corp. (Interac) is stepping up to help ensure the industry bridges the gap. JP Mercieca, Interac’s Commercial Business Development Leader, explains how Interac Verified™ helps companies streamline data verification and combat fraud to deliver a more seamless, secure customer experience.

As the insurance industry continues to modernize, companies must adapt to meet growing customer expectations for seamless digital experiences and to compete with the likes of insurtechs.

Especially when it comes to collecting, verifying, and safeguarding sensitive customer data, Canadian insurers face challenges in creating fast, secure, compliant, and customer-friendly experiences.

That’s because many providers in Canada still rely on inefficient and less secure manual data collection and verification processes to onboard new customers, verify identities, and handle claims, explains JP Mercieca, . From submitting documents via email to calling brokers directly, these methods not only take time and strain resources but are also prone to errors and data breaches.

“These manual processes leave both businesses and customers vulnerable, particularly when it comes to data security. When customers submit sensitive information through email or text, which is often unprotected, this can lead to significant fraud risks,” says Mercieca.

Ultimately, the customer experience suffers. “does little to foster trust or convenience,” he adds. It’s important to meet customers where they’re at, so in an era where consumers expect instantaneous and secure transactions, these outdated systems are no longer viable long term.

Balancing act

One of the biggest challenges for insurers is finding the balance between enhancing the customer experience and mitigating fraud.

“A great user experience could mean quick, easy onboarding or simple validation in the claim submission process,” he says. “But what about the fraud mitigation capabilities? If you’re not addressing fraud adequately, you’re not providing a solid overall service.”

Interac Verified™ is designed to address both concerns simultaneously, providing a solution that not only optimizes the processes that currently bog down insurers’ data collection and verification, but also significantly reduces the risk of fraud — making it easier for insurers to complete a fast, convenient, secure, and compliant verification process.

“By automating data collection processes, we’re eliminating many of the errors that occur during manual input and submission,” explains Mercieca. “And by leveraging strong, secure data sources — such as bank-level authentication systems — we can offer a high level of assurance that the individual is who they say they are.”

 Customer-centric benefits

For customers, the benefits of Interac Verified are twofold: they gain convenience and peace of mind.

Interac’s direct integration with participating Canadian financial institutions allows insurers to tap into familiar, trusted verification processes, such as online banking logins or document scanning, ensuring sensitive information is securely collected and authenticated.

 Gone are the days of waiting on hold or driving to a local broker’s office to submit documents. Now customers can verify their identity with a few clicks, securely scan documents, or log in via their online banking portal to help verify themselves in order to access insurance services, file claims, and submit documents.

“The convenience is key,” says Mercieca. “Customers can complete these tasks remotely, often using systems [or actions] they’re already familiar with, such as their banking apps or scanning their driver’s licence.”

 Trusted digital solution

This familiarity builds trust. A simplified onboarding process also makes it easier for customers to verify key data points like personal and financial information, which can lead to increased conversions for insurers.

 Additionally, the automation of verification provided by Interac Verified reduces the administrative burden for insurers, freeing up valuable resources that can be redirected toward enhancing customer service in other areas — this at a time when the industry is challenged with acquiring and retaining talent.

Transforming insurance verification processes isn’t just about reducing costs, speeding up operations, and gaining a competitive edge in a market teeming with insurtechs. It’s about building trust with customers in an era where digital security and convenience are paramount.

Interac Verified is setting a new standard for how insurers can simplify the onboarding process, offer a better customer experience, meet compliance standards, and protect against fraud.

“It’s the best of both worlds,” says Mercieca. “Insurers can save time and resources while mitigating fraud, and customers get a smooth, convenient experience they can trust.”

See what Interac Verified can do for your business.