Helping insurers compete in the age of disruption

KPMG issues a report on how disrupting technologies can help insurers. Key points:

Big data means trends towards micro-targeting and hence micro insurance e.g. InsurTech companies such as Trov and Slice are moving customers rapidly towards micro- insurance models, in which a provider insures by the moment

Customers are more willing to give more personal data in return for benefits such as reduced premium i.e. Dynamic pricing

More data also means improved ability to predict risk and hence prevent risk such as personalized health programs

Incumbent insurers are reluctant to move because they profit from ability to price risk better than their customers, this is an opportunity for new players positioning on transparencies

Another observation is increased use of machine learning but staffs are hesitant such analytics automation might undermined their specialized skill-sets

Link: Helping insurers compete in the age of disruption

Photo by TechCrunch

Leave a Comment