The term digitalization has been the buzzword in the entire insurance industry in recent years. Inside and outside the industry, employees, consultants, managers, and providers are convinced that digitization is crucial for a successful future. The digital transformation and increasing networking are changing the entire economy and industry. As a result of this development, the insurance industry also faces new challenges and must adapt to the new conditions. Until a few years ago, insurers were reluctant to face the digital revolution, but a large scene around digital solutions and technologies for the insurance industry is now developing. Insurance technology start-ups, also known as InsurTechs, are conquering the market and spurring digital change. Clear trends become visible, such as e-health, artificial intelligence (AI), Internet of Things (IoT), and the development of digital ecosystems.
Which trends will be relevant in the future?
Artificial Intelligence: A new era has dawned on Artificial Intelligence. AI demonstrates and automates the intelligence of machines based on complex techniques, which can be used to simulate intelligent behavior. Systems can independently recognize and evaluate patterns and rules in large amounts of data. The insurance industry is well suited for the use of AI due to the wealth of data available. That is why technology is gaining ground in more and more areas: from automated customer assistants such as chatbots to areas of damage management and (automated) fraud detection.
Internet of Things: IoT is a new type of information processing through which virtual and physical objects can interact. In the IoT, intelligent objects or services cooperate via machine-to-machine communication and thus make everyday life and work easier for users. Insurers see IoT as a promising opportunity to build closer proximity and more intensive interactions with their customers. Besides, they will be able to use the system data in a targeted manner in the future to better understand and reduce risks.
e-Health: eHealth stands for a wide range of communication and information technologies that combine digital technologies with service and customer offers. It is about the creation of specific and individual offers as well as the acquisition of data in real-time.
You can find out more about e-health on our last blog on Telehealth on the link below:
Customer centricity
Customers expect a simple and digital insurance experience. New technologies and tools are designed to help insurers network with customers faster and more reliably of a contract to advise the reporting and processing of claims. The demands and wishes of customers are continuously increasing and insurers will have to operate in an increasingly complex ecosystem in the future. In addition to insurers, this ecosystem also includes technology providers, consultancies, and innovative companies from other industries. All these players offer smooth customer interfaces and services and will interact with each other in the future. In the Insurance industries, everything revolves around the customer, as digitization enables insurers to establish a fast, direct, and reliable customer relationship.
