New age technologies are giving rise to new use cases and business models in the insurance industry.
FREMONT, CA: Innovation through new technologies is becoming the new norm in human lives, catering their needs and convenience. Legacy players and beginners alike are coming up with better, innovative ways to interact with customers. Following is a look at technologies that are driving the growth and evolution of the sector.
Blockchain can change the existing business model in several ways, along with cutting down operational costs and ensuring fast and reliable applications. It ensures that the digital data is safe, and there are fewer chances for thefts. It is also one surest way to enhance customer experience by automating processes.
• Internet of Things (IoT)
IoT devices and sensors are gaining momentum in the sector as they can couple several data streams with advanced analytics and thereby improve risk assessment, price policies, and encourage customers to buy plans. Many leading insurance providers are already using data collected from wearables to offer tailored health insurance products to users.
• Artificial Intelligence (AI)
AI and automation in the claims process can bring more quality and lesser time for handling. AI algorithms can save expenses due to fraudulent claims by sourcing data and identify errors. The AI-driven chatbot is transforming the sector by personalizing customer interactions through human-like interfaces.
• Data Analytics
Extracting value from data using analytics and data warehousing platforms is enabling evidence-based decision making in the insurance sector. Big Data technology stores and retains enormous volumes of structured and unstructured data and analytics can help sift through these reams of data to arrive at actionable insights.
• Reality Technologies
Reality technologies promise superior experiences for customers by using innovative ways to introduce products and services and for employee training. Augmented reality bases tutorials and games are valuable tools and help collect customer insights and enhance the learning experience with reduced costs.
In a world that is completely migrating to the digital realm, insurers can thrive ahead by staying tethered to technologies.