InsurTech is a hybrid word that refers to insurance technology, which is any technology designed to improve the efficiency and reliability of insurance companies. InsurTech brings innovation to the insurance industry, and provides many benefits to both insurance companies and customers. Here are 8 ways users can benefit from InsurTechs:
There’s an app for that! InsureTech companies can provide an accessible way for policyholders to manage their claims. Easy-to-use interfaces have replaced the traditional platforms for insurance, and results in less stress for clients. Some applications even offer facial recognition technology to cut down the time for processing claims even further.
Real Time Information
InsurTechs can produce real time insurance data, eliminating inaccurate information and the need for adjusters.
Save on Costs
The rise of innovative technology has allowed for cost-cutting practices throughout the industry. For example, no personal interaction slashes overhead and operational costs. The accurate information that is provided contributes to lowering costs as well.
More accurate and more frequent exchange of data makes for a better relationship between the policyholder and the insurance company. Fraud can be more easily detected through data analytics, protecting insurance companies. The new streamlined process further contributes to trust between parties.
With easily accessible technology, billing efficiency is increased. Customers have various options for payment platforms, allowing them to pay on their own time. Technology systems do a better job of keeping customers in the loop, with reminders of approaching due dates and general information about policies.
Customized Insurance Policies
InsurTech has influenced companies to provide a more personalized policy to their customers. Previously, policies were based around a few data points, but were still largely generalized. Recent technology collects more data on customers, including their history and lifestyle. This rewards customers while also helping companies hit their profit margins.
Small Business Insurance
Because of the lack of profit potential, small businesses have oftentimes been overlooked or considered low priority for insurance companies. It has historically been more advantageous to target large companies with a higher payoff. This left small companies with few options when it came to picking an insurance plan. InsurTech applications have provided more options, and eased the difficulty that small companies face by improving the process.
InsurTech empowers customers to take a more active role in their insurance policies. With a new customizable and flexible platform, individuals or businesses can cut out extra components that they don’t need, and be more selective while creating their insurance policy. Tailored policies benefit both the customer and the insurance company.
Hailios is an IoT and data analytics company that empowers the insurance industry through real-time, ground-truth weather knowledge. With low-cost hardware and geographically-precise sensing, Hailios provides access to the most comprehensive and detailed insights possible in storm activity, helping business owners recover financial loss and find relief from severe hail storms.
InsurTechs like Hailios are empowering the future of insurance. Learn more about parametric insurance and InsurTech on our blog.
Read more about what InsurTech is here.