Digital transformation is an inevitable, unstoppable phenomenon. The path to a smarter, greener, and efficient tomorrow is paved using technology. As a result, the entire world has begun adopting digital transformation solutions. Riding the tides of this transformation are digital signatures that have established their roots globally, across virtually every industry vertical. With the growing demand for digital signatures, various laws and regulations emerged across countries, granting legality to e-signature platforms. There are three types of laws:

Minimalist E-Signature Laws

Minimalist or permissive e-signature laws allow minimal restrictions on the usage of digital signatures. The idea behind minimalist e-signature laws is that no electronic signatures may be denied legality just because they are in electronic form. Due to this unrestricted nature, some may argue that this might lead to legal uncertainties owing to vagueness. However, this approach focuses more on market penetration and maximizing the usage of electronic signatures.

Some countries that have adopted permissive electronic signatures are the United States of America, Canada, and New Zealand.

Prescriptive E-Signature Laws

Prescriptive laws mandate PKI (Public Key Infrastructure) technology usage in digital signatures to sign documents online. PKI is a framework of cybersecurity that uses two encryption keys – private key and public key to maintain secure communication between a server and its clients. In cases where the negligent loss of private key results in direct or indirect loss, unlimited liability may be imposed. These laws add an extra layer of security, making it easier to associate signing parties to the documents.

Countries like Germany, Italy, and Russia have adopted prescriptive laws.

Also read: Guide to Going Paperless with DrySign

Hybrid Laws

Hybrid laws are a combination of prescriptive and minimalist laws. If technologies other than PKI meet the requirements, they are granted presumptions of authenticity. Hybrid laws mandate that certification service providers place limitations on their qualification certificates. The hybrid model is implemented in countries like Singapore and Bermuda.

Laws adopted across various countries

Every country has its own set of rules and regulations to implement digital transformation. Here’s a list of countries and the laws that they enforce to legalize digital signatures.

Sources:

https://scholarship.richmond.edu/cgi/viewcontent.cgi?referer=&httpsredir=1&article=1238&context=jolt

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Digital signatures are steadily replacing the conventional methods of signing documents. Over the past few years, E-signatures have become more secure with the adoption of different types of cryptography, i.e., binding a person to digital data and providing verification of the same. Digital signatures provide integrity, non-repudiation, and authentication to access the contents of a data set codes digitally across networks. These signatures are created using an algorithm that produces a 'hash' using information from the contents of the message and is stored in the key.

Blockchain uses the idea of codes or hash for signatures, which is exactly like a fingerprint for every block.

Digital signatures offer an additional layer of security to users and in turn, businesses. They provide authenticity of the data and complete protection against forgery for safer use of online certificates with the help of complex mathematical algorithms or codes.

Blockchain technology enters this cyber ecosystem by adding on the business ledger aspect, allowing businesses or users to create multiple signatures, encrypted fingerprints, and share coding information across various systems in a network of a centralized server.

Evolution of Digital signatures

A lot of people wrongly believe that electronic signature technology has recently arrived in the cybersphere. However, the truth is that digital signatures have been present for decades in our cyber ecosystem. Do you know where the idea of digital signatures came from and how its journey evolved? It all started back in 1976 when Whitfield Diffie and Martin Hellman, two cryptography pioneers, first described the notion of a digital signature scheme.

1977: RSA algorithm was invented by Ronald Rivest, Adi Shamir, and Len Adleman. Also, Italy and Germany were amongst the first countries to issue a digital signature law.

1999: Digital signatures were embedded into documents in PDF format, came with encryption and were registered with ETSI.

2000: The ESIGN Act made digital signatures legally binding in the United States.

2008: The International Organization for Standardization (ISO) adopted PDF file format as an open standard in its ISO 32000 specifications, which included digital signatures as an integral part.

Over the years, digital signatures have become increasingly secure by adding various types of information codes to the key. These additions have been crucial, being an extra security layer in compliance with eIDAS requirements.
Digital Signatures are not limited to specific documents and files. They are more practical if they are visualized and validated thoroughly. We have many signature solutions in the present era that isolate the signature or embed the digital signature into the documents.

Also Read : What You Should Be Looking for in a Digital Signature Provider

What is the role of Blockchain in e-Signature?

In the digital world, the word ‘Blockchain’ keeps popping up as an essential feature in digital signatures. Blockchain is a specific type of database that makes the history of any digital asset unalterable and transparent through decentralization and cryptographic hashing. It works on the concept of ‘proof-of-work’, best known for securing financial transactions and powering new cryptocurrencies such as Bitcoin.

They provide the three following features:

• Authentication: Electronic signatures adhere to a specific user via a private key. In this, they identify the owner of the private key used to sign the source data in an email or a document.
• Integrity: Digital signatures use an innovative hashing algorithm every time, to ensure that the message received is not forged.
• Non-Repudiation: This feature is unique and ensures that a sender who has signed the source information cannot deny it later after having signed it.

Here, the transactions made once cannot be edited or deleted, enabling fully secure online dealing. Blockchain is a novel technology that reduces risk, stamps out fraud, and brings clarity to your processes in a scalable way.

How do electronic signatures in blockchain work?

Blockchain is known to make the e-signing process very secure and stable. Let us see how:

Blockchain creates ‘hashes’ that are numerical codes used to identify pieces of information. These hash codes can be cross-checked and verified with the hash numbers present in another document. If the hash codes match, it indicates that the document is identical, and one can proceed with the transaction securely. The hash code is uniquely specified for every piece of information.

As soon as the hash code is generated, it sends the data and the digital signature to the assigned person. When the receiver receives the information, he enters the sender’s public key and e-signature, which is then forwarded into the algorithm. This process creates a hash number with a specific code. Then, to verify the documents, the receiver checks the hash code of the original document again and matches it with the numeric code received. If the hash number codes are the same, the digital signature is considered valid; otherwise, it is recognized as fake or fraudulent.

Electronic signatures offer key advantages of storing and transferring data in the blockchain. A hacker can alter information without the owner of the document even realizing that the document has been tampered with. However, if this does happen, the signature would become invalid by default. Hence, digitally signed data is encrypted and has a digital trail that can never be tampered with, thus cementing its incorruptibility.

Why is blockchain technology incorporated into Digital Signatures?

Blockchain technology includes cryptography, allowing users to e-sign online with the highest data security. Here's why we consider Blockchain as the best choice for e-signatures:

• Blockchain technology allows your signature to represent you as a digital identity.
• Signers can use their private key (encryption) to sign online legal contracts. Thus the parties involved can present digital signatures as evidence.
• Business users can perform multiple actions in a sequence on a blockchain.
• Blockchain technology adds another layer of security and blocks tampering and alteration of information.
• It is easy to trace and track the documents sent for signatures – keep track of who has signed and whose signature is pending to complete the documentation process.
• Online signatures can also be applied in offline mode.
• This evolving technology assists in the verification of alter-proof documents.
• Signature and verification are separate processes that do not rely on a central authority.
• Every user has proof that specific information existed at a particular point in time, as every entry in the blockchain is immutable.

Conclusion

Blockchain technology represents the future of digital signatures and is widely adopted and incorporated into the digital world. Using this technology for e-signing sensitive data under an additional level of cryptographic ‘hash’ can provide businesses with peace of mind.

If your business wants to digitally seal documents using blockchain technology especially in this COVID-19 scenario, it’s time to opt for DrySign- a user-friendly platform, for more transparency and authenticity.

DrySign not only enables you to scale up your operational efficiency but also helps you create smooth, hassle-free experiences for your clients and employees. Step into a smart, secure, paperless future with digital signatures. Want to know more? 

Sources: cygnature.io | cmswire.com | cryptomathic.com

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Since the legalization of digital signatures, we have seen a significant reduction of paperwork and enhanced streamlining of document signing processes worldwide. Organizations, governments, schools, individuals, and various other domains have started appreciating and implementing digital signatures to restructure their operations. One such domain that has begun reaping the benefits of digital signatures is Foreign Trade.

When we look at the import and export of the USA, the numbers are staggering. In 2019, the net worth of trade between the U.S and other countries was $5.6 trillion - $3.1 trillion in imports and $2.5 trillion in exports of goods and services. Looking at the sheer volume of commodities being traded, there is still plenty of room for the digitization and modernization of the existing process.

The problem statement

The import-export ecosystem involves tons of paperwork. If this paperwork is forged, damaged, or tampered with, it can lead to severe repercussions. If forged correctly, chances are people or companies can intentionally conceal, destroy, or manipulate invoices to import goods illegally. Forging import-export paperwork can result in companies or individuals claiming allowances from customs and getting unlawfully paid. This is a direct hit to the economy. With paper-based processes in use, we are also looking at high chances of someone forging seals used by the customs department to bring in illegal wildlife, gold, or even arms & ammunition. Authenticating documents like foreign transactions and transport manifest online add a much-needed layer of security and transparency, with so many sensitive matters at stake.

Digital signatures becoming the new norm

Digital signatures prove to be a full-proof way to ensure the authenticity of the signing parties, documents, and transactions on the internet. Not only are we looking at convenience as the prime factor, but also the legality and security that come with E-signature platforms. Digital signatures also maintain a detailed log of document modification, making it virtually impossible to tamper without being identified, further adding accountability to domains like import-export. In this day and age, we also see E-signatures becoming the norm in financial, legal, medical, and educational sectors, as well as in some government offices. By expanding the usage of digital signatures to cover more paper-controlled processes, government bodies and the taxpayers stand to reap lasting benefits in the longer run. The future of every administrative body is digital, and with digital signatures making their way to the import-export office, we are getting one step closer.

Also read: What You Should Be Looking for in a Digital Signature Provider

Scenarios that can be avoided using digital signatures

Like any other country, the USA is home to countless auto enthusiasts. However, there is a long list of imported vehicles deemed illegal in the country, and illicit importing of such vehicles can result in severe penalties. Some of the most sought-after cars, called Japanese Domestic Market vehicles or JDM cars, are also deemed illegal. The main reason why these cars are not allowed on American streets is because they are right-hand drive cars. The penalty of owning a JDM car in America is more than that of possessing drugs or even an automatic rifle! Digital signatures can prove to be pivotal in restricting such imports.

Cases of illegal import of commodities in America range from weird to bizarre. For example, back in 2012, Homeland Security and U.S. Immigration and Custom Enforcement agents arrested a resident of Florida named Eric Prokopi for illegally importing skeleton fossils of dinosaurs from different countries of the world. Most of these cases happen due to vulnerabilities involved with paper-based processes.

Conclusion:

Illicit import & export activities involving gold, silver, or any other commodities can not only leave a severe dent in the economy but can also act as a front for far more nefarious money laundering schemes. While digital measures like E-signatures cannot directly eradicate such activities, given the right digital ecosystem, they can play a significant role in reducing these scenarios by making import & export more transparent and accountable.

Sources:

https://www.criminallawyergroup.com/practice-areas/import-and-export-crimes/

https://www.ice.gov/news/releases/ice-arrests-florida-man-illegally-importing-dinosaur-fossils

https://www.thebalance.com/u-s-imports-and-exports-components-and-statistics-3306270

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On June 30th, 2000, President Bill Clinton signed the ESIGN Act, legalizing digital signatures in the USA. This was the spark that initiated the wave of digitization, which is still causing ripples in virtually every industry vertical. In 2010, the US House and the Senate decided to observe June 30th as the National ESIGN Day to raise awareness about digital signatures and promote its advantages in e-commerce. With the legalization of electronic signatures, medical professionals have seen improvement in their patient experiences, educational institutions have succeeded in adding value to their offerings, and governance has become more transparent & accountable. In addition, businesses and organizations have scaled up productivity while addressing traditional paper-based workflows pestering administrative teams.

This ESIGN Day, let’s look at the contributions of digital signatures in equipping businesses and professionals with a holistic solution that is efficient, innovative, convenient, and sustainable.

Moving towards a greener tomorrow with DrySign

On average, Americans use 85,000,000 tons of paper annually. That’s a stat that needs immediate attention. That is where digital signatures come into the picture. Did you know that 41% of companies print half of their total paper usage only to get them signed? Considering the fact that 40% of the wood goes into making paper and paper products, we are looking at tremendous savings by simply switching to digital signatures. In addition, manufacturing one sheet of A4-sized paper requires 10 liters of water. So by avoiding printing documents only to get them signed, we are saving trees and enough water to avert a water crisis. In the long run, if we continue resorting to paper-based workflows, the impact on the environment could be devastating. So on this ESIGN Day, let’s resolve to go greener with digital signatures.

Also read: The ESIGN Act and the UETA under the Microscope

Helping businesses and government bodies do what they do best

If yours is a financial institution or a legal firm, you must be familiar with the typical nuances of paper-based, manual workflows. Handling, storing, preserving, and retrieving paperwork requires dedicated infrastructure and workforce in many cases. Eventually, it’s these hidden costs that sum up to become a small fortune. By adopting digital signatures, all the savings that your business reaps can be directed towards strengthening your core offerings and providing a better customer experience.

E-governance is the future we are looking at. This means that during the weekend, you might not need to spend hours in a queue in front of a disgruntled government employee just to sign some paperwork. Instead, you would be able to fill forms, attach documents, and sign them online. We can expect unmatched convenience and security from digital signature solutions in this promising picture of digital governance. Moreover, detailed logs of usage history can drastically reduce the chances of shady agreements and contracts signed by high-ranking government officials. On this ESIGN Day, let’s pledge to go digital with e-signatures and bid farewell to heaps of paperwork.

Where is this digital revolution leading us?

What started as clay seals, inscriptions on stone tablets, quills, and pens have now evolved into a stylus. With digital signatures eventually becoming the new normal, we can expect authenticating foreign trade, notarization, and other forms of validations to go online. Overall, we can expect innovative transformations in every conceivable sector, which means fewer errors, simple and efficient operations, enhanced decision making, savings in cost and time, ramped up productivity, improved collaboration and communication, and lots more!

For now, on this ESIGN Day, let’s be thankful for the legalization of digital signatures with regulations like the ESIGN act and the UETA, paving the way towards revolutionary developments and transformations across an array of industry verticals. 

Sources:

https://www.msbdocs.com/10-surprising-stats-about-esignatures

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Regulations like the ESIGN act (The Electronic Signatures in Global and National Commerce Act) and the UETA (The Uniform Electronic Transactions Act) in the USA have helped other countries move in the right direction. With all the legal backing, digital signatures can do what they do best – help businesses go paperless, save time, money, and a lot of infrastructural costs. Let’s take a closer look at these regulations and dive deep into details.

The ESIGN Act

The ESIGN Act was passed on 30th June 2000, by the Clinton government. This law granted validity to electronic records and signatures in online transactions, be it interstate or foreign trade. To enforce the law uniformly, some basic hardware and software requirements have been set forth. Apart from those, there are some major checkboxes that electronic signature applications need to tick to obtain legal validity.

• The electronic signature is legally valid if the intent to sign from all the signing parties is clear.
• The electronic signatures should associate the signatures to the electronic record in a secure manner.
• The electronic signature application should preserve the identity of the signing parties.
• The electronic signature software should maintain a log of all the transactions, which should be available for the signing parties at all times. 

Once these conditions are met, the electronic signature application can be deemed legit. These rules cover most of the scenarios that in turn, have helped save tons of paper. In the USA alone, the annual amount of paper consumption is enough to build a 10 feet-tall wall spanning from New York to Tokyo! Digital Signatures can help save around 837 tons of paper and more than 14,000 trees by offering features like online document archival. Besides having their uses, there are some exceptions to the ESIGN Act.

The Exceptions:

• Paperwork associated with transportation of potentially dangerous material.
• Divorce, wills, adoptions as per the family law.
• Rental notice.
• Testamentary trusts.
• Court notices and official court documents. 

Also read: Digital signature laws around the world

The UETA

The Uniform Electronic Transactions Act (UETA) was enacted in 1999 to grant legality to electronic signatures in online transactions. This might lead to a common misconception that it is identical to the ESIGN Act. But it’s not! So what is the big difference?

The distinction between the UETA and the ESIGN Act

The ESIGN Act is a federal law consistently enacted across all the states, while the UETA is passed on a state-by-state basis. It is adopted by 47 states across the US. The three states that haven’t adopted UETA and have their laws and regulations are Illinois, New York, and Washington. Illinois has the Electronic Commerce Security Act, New York has the Electronic Signatures and Records Act, while Washington has adopted a similar law called the Electronic Authentication Act.

Laws like the ESIGN Act and the UETA are massive strides in the right direction. Such regulations pave the path to a brighter, smarter, and digital tomorrow, and help companies go paperless. Seeing such laws being passed worldwide paints an optimistic picture of a sustainable and efficient future for administrative bodies and organizations.

Sources:

https://www.ntia.doc.gov/files/ntia/publications/esignfinal.pdf

https://www.fdic.gov/resources/supervision-and-examinations/consumer-compliance-examination-manual/documents/10/x-3-1.pdf

https://www.faxcompare.com/blog/much-paper-can-digital-services-save

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Digital signatures have been around for a while and continue to evolve. Looking at the growing usage of e-signatures, just in 2020, the global digital signature market size touched $2.8 billion! If you have been considering investing in digital signature software, you may have some questions in mind, and understandably so. Investing in new tech can be a daunting proposition, and that is why it’s always a good idea to test the waters before jumping right in! Besides, some additional research always pays off. So before you start your homework, here are six questions you might miss out on asking.

Are digital signatures and electronic signatures the same?

The two do sound similar, which may even lead you to believe that they are the same. Yes, both of these are electronic mediums to sign documents. However, the difference is vast when it comes to legality and enforceability. To know more, check out the differences between digital signatures and electronic signatures.

Also read: Electronic Signatures vs. Digital Signatures. Which One Should You Choose?

Is it secure?

Digital signature solutions are practically built like a digital fortress loaded with state-of-the-art security features like 256-bit encryption, multifactor authentication, and password protection for your documents. These features keep cyber eavesdroppers and unauthorized users at bay.

What happens to my documents after I sign them?

This is the best part of using digital signature solutions. Applications like DrySign offer online document storage, eliminating the fuss of storing and preserving critical signed documents and all the costs associated with it. With DrySign, you also get detailed reports giving you information like which documents got rejected, which ones are stored as drafts, and which ones are signed.

Is it legal?

Digital signature solutions like DrySign are compliant with various regulations like the Electronic Signatures in Global and National Commerce Act (ESIGN) and the Uniform Electronic Transactions Act (UETA) that grant digital signatures the legality required to sign documents online. The software’s ability to associate the signing parties to the document and maintain the document’s integrity are some of the factors that grant it legitimacy.

Also read: Guide to Going Paperless with DrySign

What kind of documents can I sign?

DrySign as a holistic digital signature solution understands that documents can come in various formats. These file formats include Microsoft Word (.doc and .docx), Microsoft Excel (.xls and .xlsx), Microsoft PowerPoint (.ppt and .pptx), Text (.txt), rich text files(.rtf), images (.tif, .jpg, .jpeg, .gif, .bmp, and .png), and Web-based documents (.htm or .html). DrySign makes the uploading process more convenient by offering an option to upload from DropBox, OneDrive, and Google Drive.

What kind of savings can I expect out of digital signature solutions?

In the longer run, you can save up to $20 per document using digital signatures. When you digitize your entire document signing workflow, you can expect huge savings in time, infrastructure, and a barrage of hidden costs that add up to a significant amount over time. Among business users who have been using digital signatures, 81% have experienced ROI in a 12-month budget cycle, while 25% have experienced it within three months.
Now that you have the basics cleared, you can now lay the foundations for a smarter, faster, greener, and efficient tomorrow using digital signatures.

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Law firms and legal departments sit centrally when it comes to mergers and acquisitions. According to a research by Forrester, 73% of the responding organizations handle over 500 contracts per month. That results in a paper-riddled aftermath that adds unnecessary administrative hours. Combine this with the fact that 87% of legal professionals have reported a significant increase in workload in the last five years. The key is to get more from less. With digital transformation, you can do just that! With digital signature solutions, it is possible to turn the tables around and increase the business value of legal teams by letting smart technology do the administrative part. That opens the team to do what they do best – analyze the situation carefully and provide strategic inputs to tackle legal obstacles. Here’s how digital signatures can prove helpful to legal professionals.

Sending legal notices digitally

If left to paper-based workflow, the integrity of legal notice is easily threatened if the counterfeiter gets access to the letterhead. The rest can be easily forged and manipulated, leading to dire consequences. When it comes to legal notices, security and integrity are of utmost importance. This is where digital signatures like DrySign come into the picture. Digital signatures not only eliminate the risk of document manipulation but also speed up the overall process.

Secure settlements with digital signatures

The key elements of a court settlement are the subject matter and its legitimacy, an offering statement, the capacity of the parties, and their signatures. If the parties are using the traditional, paper-based methodology, the contents of the settlements may become susceptible to tampering and forgery. In either of the two cases, the ramifications are disastrous. All such incidents and the costs associated with them can be averted by simply implementing a digital signature portal that ensures absolute security.

The role of cybersecurity in avoiding industrial espionage

NDA breaches and data theft make up for most of the corporate espionage cases. The resultant impact on the organization is long-lasting, and it may cost a small fortune to come out of the incident. We are looking at irreparable reputational damage, increased cybersecurity costs, and loss of business & customers. Enforcing NDAs and fortifying your company’s defenses requires state-of-the-art digital systems equipped with the latest security features. Digital signature platforms like DrySign go a long way in reducing infrastructural costs associated with storage and preservation, and bolstering your defenses.

Also read: Transforming the Legal Sector with Digital Signatures

The big picture

A report by the European Commission suggests that the economic impact caused by cyber theft in 2017 was around €60 billion in terms of economic growth and a potential loss of 289,000 jobs. This means that digitization is inevitable. It’s now a matter of ‘when and not ‘if’. When the tide of digital transformation hits the industrial shores, the legal sector has a lot to gain out of it. Legal professionals can save time and effort with digital signatures by digitizing agreements, deal closings, pleadings, disclosures, purchase orders, policy management, and virtually any paper-based process in their domain.

Sources:

https://blog.ipleaders.in/ensure-settlement-agreement-vali

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Even some of the most advanced and state-of-the-art hospitals armed with the latest medical tech fail to deliver the experience that the patients might come to expect. Especially when they are handed a clipboard full of forms and other paperwork that needs signatures. Manual, paper-based workflows can add days, if not weeks, for something that can be done in a matter of hours! In such cases, there are hidden costs that you are paying, which may not get accounted for in the long run. The solution to these problem statements is digitization.

Bottlenecks that can be avoided with a digital workflow

Handling large volumes of paperwork could be taxing, depending upon what your approach is. When you resort to paper-based workflow, there is a myriad of things that can go wrong.

1.    Lots of hidden costs

All the paperwork generated by countless patients requires excellent storage facilities and other infrastructural costs. In such cases, a strict protocol must be implemented to ensure that the patient’s sensitive medical information is not leaked. This process will require many resources and an additional workforce to maintain the facility and its contents.

2.    Risk of errors

With the nature of the information at stake, capturing & storing incorrect data may result in dire consequences. Compromising critical information like specific drug allergies, vital test reports, reactions to experimental drugs, etc., can incur exponentially heavy damages to the healthcare organization. The key is to have a digital archive for such documents. 

3.    HIPAA compliance

Each year, healthcare organizations face mounting paperwork. And with it, the chances to maintain 100% compliance with HIPAA (Health Insurance Portability and Accountability Act) go down. The penalty for each violation can go up to $52,522. Why not avoid this? Go paperless with digital transformation.

4.    Inconvenient during emergencies

When you need to get medical treatment on priority during emergencies, having to sign a pile of paperwork should not be your topmost concern. In such cases, reduced TAT can have a significant impact on treatment delivery and patient experience.

Also read: Guide to Going Paperless with DrySign

Shifting focus from paperwork to saving lives

Patient care frameworks, regulations, and standard operating procedures are subject to constant change. With modernization in every other process, healthcare organizations cannot afford to dwell on the legacy systems and methodologies for document signing. A significant part of administration can be overhauled using electronic signatures. Digital signatures streamline crucial processes like signing patient consent forms, patient admission procedures, vendor agreements, medical insurance forms, medical evaluation forms, etc. Besides, a significant amount of time, funds, and other resources are saved, which can be better used. 
When the paperwork is dealt with, healthcare organizations can do what they do best, enriching patients’ lives by providing a smooth, hassle-free experience.

Sources:

https://consociatehealth.com/news/healthcare-industry-news/hhs-increases-civil-penalties-for-hipaa-violations

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Consider this highly likely scenario where your organization goes beyond ticking all the right boxes in solving critical problem statements. Your company is coursing with energetic and talented individuals. Your technology stack is state-of-the-art. The only thing that can deter your organization in this scenario is the inevitable flood of paperwork. Studies indicate that 48% of businesses create three or more copies of the same document. In the longer run, all these subtle hindrances and setbacks add up to a colossal figure. In the USA alone, businesses spend $8 billion annually managing paper. So what can be done about this? The solution is to go paperless with digital tech like electronic signatures.

Smart administration in government offices using electronic signatures

Imagine a government office without those tediously long queues. Seems all futuristic, right? It’s within our reach thanks to digital transformative tech. Digitizing forms and getting electronic signatures would decrease document handling charges by 80%. That adds up for better utilization of taxpayer money. Money that can be spent on countless other projects like better infrastructure or public welfare schemes – all of this just by saving administration costs.
According to the White House Office of Information and Regulatory Affairs (OIRA), the US federal government spends around $38.7 billion annually managing paperwork. This is where solutions like electronic signatures come into the picture. Using digital signatures, these expenses can be reduced by 85%.

The Paperwork Reduction Act

The Paperwork Reduction Act was endorsed to minimize the paperwork burden for individuals, SMBs, and government bodies. The point is to get rid of redundancy by getting approval from a government body called the Office of Management and Budget or OMB, before using identical questions to collect information from the public.
The impact of electronic signatures in getting approvals and seeking signatures on surveys can be massive if implemented correctly. With such regulations, the government is definitely moving in the right direction. We are seeing electronic signatures being implemented by bodies like IRS to file tax returns. 

Also read: Guide to Going Paperless with DrySign

Digital archiving via electronic signatures

A significant portion of administrative costs goes into the preservation and storage of paper documents. Keeping track of large volumes of paper requires maintenance of strict protocols to avoid leaking sensitive information of the taxpayers. Even after investing in infrastructure and employees, there is a high risk of data redundancy, manipulation, error, or physically damaging critical records. But with electronic signature solutions like DrySign that provide online document storage, all these hidden costs and potential risks can be avoided altogether. 

How it affects the taxpayer

As a result of the implementation of electronic signatures, taxpayers get a better end-user experience by not having to physically visit just to sign documents. During these dire times of the COVID-19 pandemic, where human contact is not recommended, digital transformative tech like electronic signatures can go a long way in making our lives easier by simplifying administration. We are looking at efficient and effective delivery of government services over digital mediums. It means that in the grand scheme of things, taxpayers get a better return of taxes as the government cuts down on unnecessary expenses and puts that money to good use. 

Sources:

https://www.govinfo.gov/content/pkg/BUDGET-2021-BUD/pdf/BUDGET-2021-BUD.pdf

https://www.whitehouse.gov/wp-content/uploads/2018/08/M-18-23.pdf

https://www.msbdocs.com/10-surprising-stats-about-esignatures

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For an industry that is neck-deep in paperwork, the potential risks and vulnerabilities associated with many aspects of the workflow directly impact how they operate and distribute their services. When we take this point into consideration, the time spent in managing paperwork takes a toll on the core functionalities, productivity and profit margins. When we look at claims and sales processes alone, the sheer volume of documents that flows through the company’s intake funnel is overwhelming to manage, let alone optimize. In such cases modernizing the workflow is the key to unlocking the true operating potential of the organization.

The big hiccup in the traditional process

Getting personal insurance has become easy over time as people are comparing plans, filling out forms online, getting quotes, and tracking their claim status over the phone. However, the same cannot be said when it comes to selling commercial policies. Looking at how customer needs are constantly evolving, insurance companies are struggling to keep up. One of the drastic changes in a buyer’s purchase journey, which has left its mark on virtually every domain, is the rise in the DIY approach. This has impacted brand loyalty, as well. The customer’s focus seems to be shifting from price and brand to the service – a transition that companies find difficult to keep pace with.

It may seem like a leap of faith to invest in digital transformation, but considering the long run, the ROI and its impact on the business far outweigh the tiresome bureaucracy that runs in the backend. This is why a sane conclusion of adopting digital transformation is required.

Also read: Guide to Going Paperless with DrySign

Resultant paradigm shift

The insurance companies that had the foresight to see past the implications of the Covid-19 pandemic have switched to cloud-based technology to get rid of their inefficiencies and operational hurdles. Not only is it paying off, but it is also helping them strengthen their relationship with customers. With such a drastic change in the business ecosystem almost overnight, businesses had to make sure that people were out selling and not getting further entangled in paperwork, in times like these.

As a result, intelligent solutions like digital signatures, CRM, and other cloud-based business applications became the norm. 

This transition has resulted in companies paying more attention to client needs, coming up with the best solutions, and worrying less about errors. With insurance firms trying their level best to push the Direct 2 Customer (D2C) model, smart solutions like electronic signatures have come a long way in enabling them to do so. In this process, the process of insurance distribution is more likely to go across various channels to provide buyers and sellers with a more holistic and convenient way to do what they do best.

Conclusion

Leveraging cutting-edge technology like digital signatures enables insurance firms to restructure their customer interaction framework, claims processing, and their back-office data flow management. It also helps in bringing together different departments, making them work seamlessly in tandem. We can look at digital transformation as an exoskeleton that helps employees lift heavier weights and run faster while not forgetting the fact that it is still being operated by a human being. By doing this, we are simply making a super-agent out of an ordinary agent. 

Sources:

https://packhelp.com/d2c-direct-to-consumer

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