There's an app for that

During a presentation on the keys to success for the managing general agency business at the recent Peak Performance Insurance Ski Conference, Fabian Burstyn of QBE Specialty Insurance, noted the use of iPhone applications as a way to offer clients an additional channel of customer service.

He specifically mentioned GEICO's new “GloveBox” app as an example, and said he thinks more companies in the insurance industry will turn to such mobile technology in the future.

Not being familiar with GEICO's GloveBox, I looked it up online. I have to admit, it's pretty cool. Customers who download the app not only can pay their bill and look up id cards on their iPhones, they also can get tips on what to do if they are in a fender bender, find a local taxi or rental car service, and get instructions on how to change a flat tire.

GEICO is not alone. Nationwide and Progressive offer similar mobile apps to their auto insurance customers, but go a step further by allowing them to submit claims at the scene of a car accident.

While such mobile technology makes sense in the personal lines arena, is it right for the commercial side of things and more specifically commercial insurance agents and brokers?

Absolutely, contends Peter van Aartrijk, CEO and managing director of insurance branding firm Aartrijk and Rick Morgan, a senior associate and insurance technology expert with Aartrijk.

While they say they are unaware of any commercial agent and broker at this time that's created an iPhone app, Mr. Morgan noted “it will only be a matter of time.”

Mobile technology is “just mushrooming,” he said. And one of the ways in which this technology will become useful in the commercial insurance space is with real-time video.

“Imagine walking through a new commercial account and streaming video back to an underwriter who is able to ask questions live,” he said. “A claim can be done the same way.” It not just about an app, it's about using mobile technology to submit information on a risk or a claim.

Mr. van Aartrijk added that he could see “large, savvy” commercial agents and brokers creating mobile apps for some of their best accounts similar to what they did about 10 years ago when they created proprietary portals for their customer on their Web sites. Just as those clients now access certificates of insurance online via their brokers, so too could they do that from their mobile phones.

“From a consumer demand stand point and the way people are going with hand-held devices today, it's just inevitable” that the commercial insurance industry will embrace the technology, Mr. van Aartrijk said.