In today’s digital world, almost all industries rely heavily upon data for their operations. The Insurance industry is no exception. Data is imperative for informed & critical decision-making, response to the growing changes, and establishment of strategic goals.

Henceforth, resorting to conventional manual data entry processes is not only a waste of skill, time, and money, but it also poses a threat to data being tampered by human error. Whether managed in-house or outsourced, data entry tends to be a time-consuming & tedious manual process. Then what’s the solution to this issue? Robotic Process Automation is the answer.

RPA has made the processes effortless and primed for the highest productivity. It is indeed becoming the most sought-to technology. Then why not use the power of automation to meet the manual entry data challenges?

In this blog, we will cover the challenges related to manual data entry and how data entry automation can benefit insurers.

But first, let us go through the challenges brought about by manual data entry.

Do Businesses Still Use Manual Data Entry?

The answer is yes; manual data entry is still a go-to option for many businesses. It is often the best option for businesses that do not have the resources or time to invest in automation.

Here are some of the reasons why businesses continue to use manual data entry:

• Small companies may not have the budget for automated data entry systems; therefore, they depend on manual data entry processes.
• For some small and medium businesses, investing in an automated data entry system seems like a squander as they might not have a large client base. Due to fewer operations, they find it easier to manage and control data manually.
• Some companies are still not aware that their data entry processes can be automated, or they do not know how to initiate automation.
• Manual data entry provides scope for human judgment in selecting and manipulating data for various purposes. Businesses perceive this as better control over the data.
• Manual data entry does not require an internet connection or specialized software, which is needed in case of automation.

Manual Data Entry Challenges

Though manual data entry is still executed in certain businesses, the limitations of this process cannot be disregarded.

Tedious & Time-Consuming

Businesses relying on manual data entry do not realize how time-consuming it can be. For improved data control, appropriate comprehension is required, which implies that an average data entry operator can take several minutes to comprehend the data and then put it into the system. If the volume of data to be entered is tens of thousands, manual data entry then becomes a tedious, time-consuming activity, leading to increased staff effort and turnaround time. Do you know? A recent report has highlighted, ‘Over 40% of workers surveyed have spent at least a quarter of their work week on manual & repetitive data entry tasks.’

Employee Boredom

Talking about a mind-numbing task? Then manual data entry has manifested to be a breeding ground for employee boredom and dissatisfaction borne out of unproductivity.

Due to this, several manual data entry jobs have an extremely high employee turnover rate. How will this negatively affect your company? By assigning employees to repetitive, predictable tasks that can quickly be done by automation, you are demoralizing your staff and running the risk of losing out on great talent to your competitors.

Prone to Errors

Manual data entry entails a high probability of errors due to reasons like improper operator training, misinterpretation of data, etc. Besides, boredom also leads to recklessness which can result in a greater chance of data entry errors in your systems. This can be harmful to businesses which in turn affects internal operations and customer satisfaction. When dealing with sensitive data, a small erroneous entry could be devastating to your business. It can lead to financial and legal trouble and even client attrition.

Increased Expenses

There is an acceptable manual data entry error rate which is usually something close to 1%. But what happens when that error percentage increases? It costs businesses millions of dollars.

In addition, manual data entry also involves hidden expenses. The cost of staff executing manual data entry is the obvious cost element, but the added cost components are error correction and data accuracy verification. These are often overlooked. Errors emanating from manual data entry can affect the bottom line.

Hinders Business Growth

When your expense is scaling up, your clients are dissatisfied, your employees are apathetic, and your data is filled with inaccuracies, your business growth is the first to take the hit. Manual data entry challenges create a domino effect, which impacts all the business operations in its path.

How Can Data Entry Automation Help Insurers Enhance Business Efficiency & Profit?

Switching to an automated data entry process is a wise choice since it saves time and money, improves accuracy, increases efficiency, and boosts productivity. Automation is integral to many companies as it allows employees to concentrate on more vital, value-adding tasks rather than spending time entering data into spreadsheets.

The automated data entry process comes with many benefits, as listed below:

Enhanced Accuracy

One of the most vital advantages of automated data entry is high accuracy. Automation needs reduced human intervention; therefore, there are fewer error risks in the data being entered. Besides, automation can also easily identify inaccuracies and discrepancies in data. Henceforth, the more accurate the data is, the better strategic decisions can be made.

Improved Productivity & Efficiency

Data entry automation enhances efficiency by allowing firms to deal effectively with large amounts of data. This will enable them to acquire a better understanding of their client needs, thereby leading to better customer satisfaction and retention.

Moreover, automated data input speeds up the completion of tasks that enables the staff to focus on more meaningful work, boosting the overall productivity of the business.

Time & Cost Savings

Data entry automation decreases costs by eliminating the requirement for manual data entry, which saves both time and money. It obliterates the need to hire resources and use their employees more effectively. Also, automation accelerates the data entry process, saving time for employees to focus on significant, profit-making tasks.

Streamlines Business During Peak Time

Automating data entry processes helps to meet the huge seasonal spikes of businesses. It helps to streamline business needs and fulfills the workforce demand seamlessly.

High Security

Data entry automation tools are usually cloud-based, which implies your data is consolidated in a safe and secure environment. Additionally, you will have the upper hand in choosing which employees will have access to which data. The cloud-based technology ensures that a backup of your data is maintained securely with no unauthorized access.

To Sum Up

The development of evolving technologies is compelling changes in workflow structures and the usage of tools that help companies stay competitive. Businesses embracing automation in their data entry processes can help them focus on their core competencies, leading to enhanced ROI.

Looking for a way to automate your manual data entry process? Get in touch with us. We will help you to boost productivity and increase profits.