We would love to hear from you. Click on the ‘Contact Us’ link to the right and choose your favorite way to reach-out!

wscdsdc

media/speaking contact

Jamie Johnson

business contact

Victoria Peterson

Contact Us

855.ask.wink

Close [x]
pattern

Industry News

Categories

  • Industry Articles (21,155)
  • Industry Conferences (2)
  • Industry Job Openings (35)
  • Moore on the Market (414)
  • Negative Media (144)
  • Positive Media (73)
  • Sheryl's Articles (800)
  • Wink's Articles (353)
  • Wink's Inside Story (274)
  • Wink's Press Releases (123)
  • Blog Archives

  • March 2024
  • February 2024
  • January 2024
  • December 2023
  • November 2023
  • October 2023
  • September 2023
  • August 2023
  • July 2023
  • June 2023
  • May 2023
  • April 2023
  • March 2023
  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • October 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • November 2015
  • October 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • December 2014
  • November 2014
  • October 2014
  • September 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014
  • January 2014
  • December 2013
  • November 2013
  • October 2013
  • September 2013
  • August 2013
  • July 2013
  • June 2013
  • May 2013
  • April 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • November 2012
  • October 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • August 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • November 2008
  • September 2008
  • May 2008
  • February 2008
  • August 2006
  • Life Insurance at a Crossroads

    December 17, 2015 by Swiss Re

    New technologies will change the way insurers operate and engage consumers

    The life insurance industry is at a crossroads: new technologies pave the way for a revolution in the way insurers write business, handle data and engage consumers. Swiss Re’s latest sigma study Life insurance in the digital age: fundamental transformation ahead looks at how life insurers have adopted some of the capabilities now available and how the future may take shape.

    It explores issues such as the use of Big Data, cognitive computing and how digital data can help insurers broaden their reach. The report also explores looming challenges for life insurers such as creating a positive digital experience for consumers, keeping up with regulatory changes, especially around data privacy, and dealing with potential partnerships or competition from non-traditional players.

    The benefits of the digital age are already being felt in life insurance. New data sources and online platforms offer new possibilities to store and mine information. Automation in underwriting is a growing trend enabled by Big Data and new analytical tools. It will be pushed to new frontiers by developments in cognitive computing, which will bring more consistency to underwriting decisions and cost efficiencies to business operations.

    Talking Points

    • New technologies and digital data will make underwriting in life insurance more efficient, improve risk selection and pricing
    • Life insurers can use technology and digital data to broaden their reach and improve consumer engagement
    • They will need to adapt their business models by investing in new technology and updating talent strategies
    • Technological advances also present challenges for life insurers, including data privacy issues and the rise of non-traditional players

    “The use of the learning capabilities of cognitive systems, and also their voice recognition and text reading algorithms, will make it possible to extract meaningful information from all sources of data, including unstructured medical reports.” says Kurt Karl, Swiss Re Chief Economist. “At the same time, Big Data and new analytical tools will progress the still nascent use of predictive underwriting in life insurance”.

    In addition, new technologies can be used to improve the health status of consumers and, consequently, risk selection for insurers. For instance, to date most doctors have had limited ability to monitor information on health status once a patient leaves a medical facility. In the future, they will be able to monitor patients’ heart rates remotely with internet-enabled wearable devices attached to the body, thus improving early detection of heart attack risk. This information can be used to fine-tune and personalise drug treatment, facilitating a shift to real-time risk assessment.

    Engaging the consumer

    For consumers, the report discusses how new technologies can make the process of applying for life insurance less lengthy and less invasive. New sources of data and predictive modelling tools offer opportunities for more granular identification of clients’ needs. This can help life insurers better engage with consumers. Insurers can also use the new formats of communication and sharing of information to make products more accessible and attractive, such as by using gamification techniques to make the application process easier.

    In addition, technology can facilitate new and more frequent ways of interaction with consumers that provide the opportunity to improve customer retention and spot evolving consumer needs. For example, some life insurers have introduced programmes that reward consumers for healthy lifestyle activities and choices such as exercising, regular check-ups and giving up smoking. Such programmes can be beneficial for both client loyalty and policyholders’ health and claims experience.

    New technologies also offer the potential to reach new customer segments. This has been the case in emerging markets, where the distribution of insurance via mobile devices has grown exponentially over the last decade, bringing life cover to many who were previously underinsured or entirely uninsured.

    Opportunities and challenges

    To harness the possibilities of the digital age, life insurers will have the opportunity to review and refine their business models and investments in technology, and rethink their talent strategies. This will involve reconfiguring traditional IT systems into open innovation platforms in order to access new data sources, obtain a unified view of the customer, and offer a consistent experience across consumer touch points.

    Life insurers will also acquire adaptive sourcing skills. Procurement teams have traditionally worked with a few well-known vendors, and have little experience of working with specialist start-ups. This situation is already changing. Some life insurers have begun exploring partnerships with smaller technology companies to build their own data analytics capabilities. Technological developments could spur new operating models for existing insurers, allowing them to provide new services beyond traditional insurance.

    Amidst the range of opportunities, there are challenges also. Life insurers will need to implement new risk management procedures, importantly around consumer data protection. It will also be essential to monitor and adapt to regulatory changes with respect to the use of digital data and analytics in underwriting, and in cross-border selling. Life insurers also need to respond to the rise of non-traditional players. The new entrants present opportunities for mutually beneficial partnerships, but they could also eventually become direct competitors.

     

     

     

    Swiss Re
    The Swiss Re Group is a leading wholesale provider of reinsurance, insurance and other insurance-based forms of risk transfer. Dealing direct and working through brokers, its global client base consists of insurance companies, mid-to-large-sized corporations and public sector clients. From standard products to tailor-made coverage across all lines of business, Swiss Re deploys its capital strength, expertise and innovation power to enable the risk-taking upon which enterprise and progress in society depend. Founded in Zurich, Switzerland, in 1863, Swiss Re serves clients through a network of about 70 offices globally and is rated “AA-” by Standard & Poor’s, “Aa3” by Moody’s and “A+” by A.M. Best. Registered shares in the Swiss Re Group holding company, Swiss Re Ltd, are listed in accordance with the International Reporting Standard on the SIX Swiss Exchange and trade under the symbol SREN. For more information about Swiss Re Group, please visit: www.swissre.com or follow us on Twitter @SwissRe.

    How to order this sigma study:
    The English, German, French, and Spanish versions of the sigma study No 6/2015, “Life insurance in the digital age: fundamental change ahead”, are available electronically on the sigma section: www.swissre.com/sigma. The versions in Chinese and Japanese will appear in the near future.

    Printed editions of sigma No 6/2015 in English, French, German and Spanish are also available now. The printed versions in Chinese and Japanese will be available shortly. Please send your orders, complete with your full postal address, to sigma@swissre.com

    Originally Posted at Life & Health Advisor on December 17, 2015 by Swiss Re.

    Categories: Industry Articles
    currency