Embracing change in a digital age

You have been in your current role with Iris Global for four years, but in the industry for longer. What have been the most obvious changes to the industry you’ve seen in that time?

Definitely the digital transformation. I remember in 2019 tourism hit a record in terms of travellers to Spain, then Covid-19 arrived and everything changed. The pandemic caused an unprecedented acceleration in digital transformation around the world, with marked increases in data traffic, application usage, growth of the information technology sector, and much more.

This acceleration brought growth to the travel insurance market, so that it is projected to grow at a CAGR of 16.0% from US$25.3 billion in 2024 to $95.9 billion by 2033, driven by two main factors: increasing global travel, and growing awareness about travel safety. Covid-19 helped our industry to grow.

Thus, the industry during this digital transformation is facing many changes,  as new products and services. Here are some of the most popular ones:

• Digital transformation: more consumers are opting to purchase and manage their insurance policies through mobile apps and websites. Digital platforms not only make the process more convenient, but also offer consumers the ability to adjust their coverage as their travel plans change

• Data science: using customer data to predict and manage claims more effectively, increasing customer satisfaction by providing customised products

• Personalisation and flexibility: the industry faced the need to introduce ‘flexible insurance’ products that allow travellers to adjust or cancel/interrupt their insurance plans without penalties. This flexibility is particularly appealing to the modern traveller who desires more control over their travel plans. After Covid-19 this is a ‘must have’

• Artificial intelligence (AI): its role in reshaping travel insurance is unquestionable. It will make policies more personalised,  processing smoother, customer service more responsive, and in fact, more efficient

• Telemedicine: which is not only a cost-efficient solution, it is sustainable, and convenient

• Increasing medical costs: cost containment solutions are now being introduced in more countries than they were originally

• Change in habits: people are visiting difficult destinations and digital nomads are rising. Many things changed, in my opinion, for the better, but the most motivating and exciting thing is the big growth that we are expecting.

The pandemic caused an unprecedented acceleration in digital transformation around the world

Assistance offerings have become more complicated with the rise of political unrest. How does Iris Global manage travel risk in such a climate?

To promote a safe travel environment, we have an app, which is called Safeture. It is a travel information app, which incorporates various services related to personal safety when travelling, as well as extensive medical information necessary for the comprehensive safety of the traveller. This app has data from more than 220 locations around the world. It includes a general description of the country, alerts and safety information at the destination, guidance on what to do during the trip, cultural content, as well as updated information on the evolution of the health emergency and medical guidance in a broad sense.

As the insured person crosses the border of a country, the app sends a notification with a welcome message containing a link to specific information for that country. Likewise, as the traveller changes location, the insured will receive notifications with information relating to each new location, also sending alerts as the user approaches risk areas. For high-level alerts, the notification will be sent via text message.

Many things changed, in my opinion, for the better, but the most motivating and exciting thing is the big growth that we are expecting

Political turbulence and natural disasters significantly affect the business or leisure business. When travellers plan a getaway or a long trip, one of the most valuable preferences is security and safety. In line with these preferences, at Iris Global we have developed a new concept around travel security that we have called ‘Safe Travels’. It is based on three axes: the travel insurance policy with its guarantees, an app with useful information in the field of comprehensive security, and, of course, a robust international medical provider network.

The recent devastating floods in Spain have caused heartache and challenges for many thousands of people. How does climate change affect Iris Global policies?

In general, none of our policies that we manage, from either accepted reinsurance or direct insurance, includes natural disaster cover. In fact, as insurers we are obliged to work on a new scenario due to climate change, because we are experiencing such similar events around the globe on a daily basis. However, this affects not only the product but also travellers’ preferences and destinations.

In addition, Iris Global is an overall assistance company. As well as travel insurance/assistance, at our core are funeral services and household assistance, so climate change is a big issue for us. Personal damages and material losses are increasing heavily and insurance and assistance companies have to adapt in many ways.

These changes are here to stay, and at Iris Global we establish special protocols for the management of these situations and thus are able to provide a correct response to our clients. We have alerts for the implementation of part of the teams, multidisciplinary teams that can work in different areas depending on the needs, as well as other actions depending on the situation that has occurred.

You have partnerships with many hospitals and medical providers. How do you choose these partners, and how do you maintain those relationships?

The choice of medical providers or hospitals depends on different variables that we have established in the company. In addition to the choice, we must monitor the providers to maintain our quality standards. For us, it is key to provide good service to customers, and quality is a critical point – the credential of providers is something that we especially care about.

As insurers, we are obliged to work on a new scenario due to climate change because we are experiencing such similar events around the globe on a daily basis

The company has been working together with most of the providers for years and has also developed the current preferred providers’ network based on these needs. As we have seen, we are increasingly travelling more and to more distant destinations, so these changes mean that we have to adapt constantly and have agreements with local providers in new destinations.

This long-lasting relationship, our transparency and seriousness, means that we maintain an excellent relationship with our providers, who we work with on a daily basis alongside our specialised provider network team. It is necessary to work as a partner together with our providers since they are our eyes and our hands in countries around the world, at the end they are our ambassadors. Of course ITIC helps us to grow and maintain our network. This is where we gather with a lot of them!