Insurance is a critical part of our lives and an essential tool for protecting us and our assets against unexpected risks and losses. With the increasing popularity and accessibility of insurance products, insurance enterprises are facing an immense challenge to ensure the quality and reliability of their applications. This is where insurance domain testing comes into play. Insurance application testing is an important method in the development and release of insurance products. It helps identify and fix defects and issues in the application to improve the application's quality, stability, and reliability. With the support of insurance application testing, insurance enterprises can optimize their cost and time-to-market, thus, offering their customers the best possible experience.
This blog highlights everything you need to know about insurance application testing, including its benefits, types, key components, and how it helps optimize cost and time-to-market during the economic downturn.
What is Insurance Application Testing?
Insurance application testing is the testing method of evaluating the functionality and performance of insurance apps to ensure their quality and reliability. The testing method involves verifying the application's compatibility, reliability, and security and checking its adherence to industry standards.
Different Types of Insurance App Testing
Insurance app testing is a crucial aspect of app development and deployment. Insurance application testing involves a variety of testing methods, including functional testing, performance testing, and security testing.
- Functional Testing: Functional testing is used for evaluating the application's functionality, including the application's ability to meet business requirements and user expectations.
- Security Testing: Security testing verifies the application's security, including the protection of sensitive data and the application's ability to prevent unauthorized access.
- Usability Testing: Usability testing is used to verify the application's ease of use, including the user interface, navigation, and overall user experience.
- Performance Testing: Performance testing evaluates the application's speed, scalability, and stability. This testing process checks the application's response time, throughput, and resource utilization.
- Compatibility Testing: Compatibility testing assesses the application's compatibility with different devices, platforms, and browsers.
- Regression Testing: Regression testing is used to perform re-testing of the application after changes have been made to ensure the changes have not affected the performance and functionality of the application.
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.
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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.
Also read: Automated Agile Testing in the BFSI Sector
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.
Importance of Insurance App Testing for Enterprises During the Economic Recession
During the economic downturn, cost optimization and time-to-market are even more critical for businesses to stay competitive and afloat. Insurance app testing helps insurance companies and service providers optimize costs and reduce the time taken to bring their products to market, which can help them weather the economic downturn more effectively. App testing in the insurance domain helps to ensure the security and privacy of sensitive customer data, reducing the occurrence of data breaches and other security incidents. This is especially important during an economic downturn when companies are under increased scrutiny from regulators, customers, and the public. The effect of a data breach can be severe and include legal liability, damage to reputation, loss of business, and decreased customer trust. Insurance app testing also helps companies reduce their dependence on manual testing, freeing up resources that can be used more effectively elsewhere.
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Moreover, test automation tools for insurance can be used to perform repetitive and time-consuming tasks, such as regression testing, which would otherwise consume valuable time and resources. This frees up human testers to focus on more complex tasks, such as exploratory and functional testing, which are more difficult to automate. Another key benefit of insurance app testing is that it helps to ensure compliance with regulatory requirements and standards. This is especially important during an economic downturn when companies are under increased pressure to cut costs and reduce time-to-market. Insurance app testing helps companies ensure that their products are compliant with relevant regulations and standards, reducing the risk of fines, penalties, and other sanctions.
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 90+ 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
Don’t Rely on iOS Emulators & Android Simulators. Test on Real Devices
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.
Q1. Name some process areas in insurance companies where testing is required.
- 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?
- 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?
- Manual and straight processing
- Complex business rules
- Rating efficiency
- Requirement management