Embracing Technology and Closing the Protection Gap 

By: Barry Shrosbree, Senior Manager, 1Life Insurance Direct Sales 

1Life Insurance’s journey into the broker distribution space began in 2012/2013, recognizing the need to diversify its distribution channels. 

Initially, we focused on entry-level markets, but the company has since expanded its offerings to serve clients across the entire LSM range, from entry-level to affluent individuals. This expansion reflects our commitment to providing insurance solutions for all South Africans. 

Our recent roadshow, specifically targeting independent financial advisors (IFAs), aimed to showcase 1Life Insurance’s product offerings and unique value propositions. This event provided an opportunity to engage with IFAs, highlight the company’s offerings, and explore potential collaborations. 

Technology as an Enabler for IFAs – Technology is essential in enhancing the capabilities of IFAs. Insurers like 1Life have developed efficient processes over the years, these processes can be adapted and shared with IFAs to streamline their operations. 

Digital solutions and technology enhancements can empower IFAs, enabling them to offer a more efficient and convenient experience to their clients. Contrary to fears that technology might replace human advisors, it complements their services by saving time and simplifying administrative tasks. 

The democratisation of technology has allowed smaller players, like IFAs, to access advanced tools and solutions that were once only available to larger corporations. This shift has created an exciting opportunity for them to leverage technology to enhance their businesses. 

Closing the Protection Gap with Technology – One of the key topics discussed during the roadshow was the importance of closing the protection gap. Achieving this goal necessitates efficient processes and the effective use of technology. The COVID-19 pandemic served as a catalyst for advisors to embrace digital solutions, as traditional methods of doing business came to a halt. 

1Life Insurance swiftly adapted to provide remote acceptance solutions, allowing advisors to conduct business virtually. This transition led to significant growth for many advisors, with some seeing an increase of over 200 percent compared to pre-COVID levels. The time saved through technology-enabled processes can be reinvested in growing their businesses. 

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Advantages of Technology-Enabled Growth – The adoption of digital solutions not only expands the market reach for advisors but also addresses concerns about a skills gap due to a limited number of new entrants into the industry. Technology allows advisors to serve a larger client base efficiently, overcoming previous limitations based on geographic proximity. 

Additionally, technology offers convenience and flexibility for both advisors and clients. Advisors can now interact with clients across long distances, offering a more extensive range of services and improving overall client satisfaction. 

The insurance industry is experiencing a transformative shift driven by technology. The acceptance of digital solutions by both advisors and clients is reshaping how insurance services are delivered. The adoption of technology is not a threat but an enabler, enhancing efficiency, and improving the client-advisor relationship. 

As technology continues to advance and adapt to changing consumer preferences, the industry can look forward to more innovation and convenience. The collaborative efforts of insurers like 1Life Insurance and independent financial advisors are bridging the protection gap and making insurance more accessible to all South Africans. Technology is not a hindrance but an enabler for independent financial advisors, allowing them to provide more efficient and convenient services to their clients. 

As the industry continues to embrace digital solutions, it opens opportunities for growth, addresses the protection gap, and ensures that insurance remains accessible and relevant in an ever-evolving world.