A Guide on Insurance App Testing to Optimize Cost and Time-to-Market

Introduction

Insurance plays a crucial role in protecting individuals and assets from unexpected risks. As the demand for insurance products grows, enterprises face the challenge of delivering high-quality, reliable applications. This is where insurance app testing becomes vital. By identifying and resolving defects early, insurance app testing enhances app quality, stability, and reliability. It also helps optimize costs and accelerate time-to-market, ensuring enterprises can offer the best possible customer experience.

This blog covers everything you need to know about insurance app testing, including its benefits, types, key components, and its role in cost and time optimization during economic downturns.

What is Insurance Application Testing?

Insurance application testing evaluates the functionality and performance of insurance apps to ensure quality and reliability. It verifies compatibility, security, and compliance with industry standards.

Different Types of Insurance App Testing

Insurance app testing involves several methodologies to ensure robust and user-friendly applications:

• Functional Testing: Verifies the app's ability to meet business requirements and user expectations.
• Security Testing: Assesses data protection measures and prevents unauthorized access.
• Usability Testing: Evaluates ease of use, navigation, and overall user experience.
• Performance Testing: Tests app speed, scalability, and stability by measuring response time and resource utilization.
• Compatibility Testing: Ensures app functionality across devices, platforms, and browsers.
• Regression Testing: Retests app functionality after updates or changes to identify unintended effects.

Critical Components of Insurance Apps That Need to be Tested 

In the insurance industry, various businesses are involved, each of which follows its own set of standards and procedures to maintain compliance and industry standards. When it comes to testing, QA engineers must thoroughly examine and test the key components of insurance applications to ensure their success.

Some of the critical components of insurance applications include:

1. Quote System

A quote is provided after evaluating the risks associated with a customer. The customer's information and risk profile are forwarded to various carriers, who then offer a projected premium. QA teams should develop test cases to validate the policy start date, the plans that meet each customer's requirements, and the pricing structure used to generate quotes.

2. Case Management

Once a quote is generated, it is shared with the customer for review. If the customer agrees to the coverage and premium, the firm agent will send an informal request to the carrier with the customer's details. The carrier will then provide an introductory offer to the firm agent, who will finalize the insurance agreement with the customer and submit a formal request to the carrier.

3. Underwriting System

The underwriting process assesses the dangers associated with offering insurance to a potential customer before approving their application. This evaluation takes into consideration all probable risks and establishes the estimated premium cost for the customer. To guarantee a smooth and effective underwriting system, the QA team must verify both the admin module and the guidelines module. The admin module encompasses the company's intricate business rules for underwriting, while the guidelines module is where underwriters abide by pre-set rules to determine the risk factors of a potential customer.

‍4. CRM Integration

The integration of Customer Relationship Management (CRM) is crucial for insurance applications as it serves as the foundation for all insurance-related operations. Regardless of their job function or department, insurance professionals must have access to the same information to provide outstanding customer service. As a result, it becomes the responsibility of the Quality Assurance testers to make sure that customer data is integrated precisely and protected within the insurance application's various features.

Check out: How Intelligent Automation is Disrupting the Banking Industry

Importance of Insurance App Testing During Economic Recession

Economic downturns demand cost efficiency and faster time-to-market. Insurance app testing addresses these challenges by:

• Reducing costs through automated testing tools for repetitive tasks like regression testing.
• Enhancing data security and reducing risks of breaches, protecting customer trust and minimizing legal liabilities.
• Ensuring regulatory compliance, avoiding fines or penalties.
• Freeing up resources for complex tasks by automating time-consuming processes.

Why are HeadSpin’s Advanced Capabilities Critical for Insurance App Testing?

HeadSpin's testing solution for financial services helps insurance companies perform testing of their apps without any security concerns and with 100% efficiency. Here are some of the advanced features of HeadSpin’s testing solution for financial services that help insurance companies overcome the common challenges they face while performing application testing.

1. Secured Testing Platform 

HeadSpin's data science-based testing Platform is a SOC 2-compliant platform. HeadSpin hires a 3rd party security validating company to perform a security assessment on the HeadSpin network, and the AI-based Platform is certified in passive reconnaissance, automated vulnerability scanning, and manual testing. HeadSpin’s secured testing platform gives confidence to insurance companies in performing app testing without the risk of data theft and security issues.

2. Automation of User Journeys

HeadSpin Platform enables insurance organizations to integrate test automation platforms like Appium or Selenium and automate different customer journeys in their apps. The automation of customer user journeys can help insurance companies detect minor and major issues that customers may face while using their apps and fix these errors proactively. 

‍3. Remote Testing in Global Locations 

With the support of HeadSpin’s global device infrastructure, insurance companies can remotely perform app testing on real devices in 50+ locations worldwide. Using HeadSpin's global testing capability, insurance companies can collaborate with various teams working independently from different parts of the world.

‍4. Deep Data Insights for Enhanced App Performance

The performance and ML module available on the HeadSpin Platform can help insurance companies gather insights and relevant data about their applications' performance and user experience. Data offered by the HeadSpin Platform, like issue cards, time series, session videos, and packet-level details, can help insurance companies in improving their applications' performance and digital experiences.

How HeadSpin’s Testing Solution for Financial Services Supports Insurance Enterprises to Optimize Cost and Time-to-Market

Case Study 1

An American insurer group for homes, automobiles, and small businesses was struggling to perfect its customer experience with its cloud-based software company’s claims reporting. HeadSpin stepped in and helped the company to test the real-life performance of mobile and web apps across multiple locations. The HeadSpin Platform empowered the company with proactive issue identification. Thus, with the help of HeadSpin, the company achieved the following: 

• 75% reduction in loss/claim reporting time
• Enhanced CSAT
• 60% improvement in developer productivity

Conclusion

Insurance software/app testing is significant for optimizing cost and time to market during tough economic situations. It helps ensure that the app functions as intended, meets user needs and regulatory requirements, and has a high level of security. By detecting and fixing errors early in the development process, insurance app testing can reduce development costs and accelerate the time to market. In addition, it can also help mitigate the risk of costly and reputation-damaging failures and improve user satisfaction. In a challenging economic climate, the importance of insurance app testing cannot be overstated, as it provides the assurance needed to invest in and develop new insurance products and services successfully.

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FAQs

Q1. Name some process areas in insurance companies where testing is required.

Ans: 

• Policy Administration Systems
• Distribution Management Systems
• Investment Management Systems
• Claim Management Systems
• Risk Management Solutions
• Third-party Administration Systems
• Regulatory and Compliance
• Actuarial System

Q2. What are the three parts to automate in an insurance app?

Ans: 

• Creation of the automation framework
• Writing business test scenarios
• Assessing the testing state of the software

Q3. What are the scenarios that need to be tested to determine the underwriting quality?

Ans:

• Manual and straight processing
• Complex business rules
• Rating efficiency
• Requirement management