Sign that the subject calls on all levels, the reinsurer Swiss Re and the European regulator EIOPA come out in quick succession two studies on the impact of digitization and new technologies on consumers in the insurance sector. In its latest study sigma , Swiss Re focuses particularly on the life insurance market.
The authors highlight the fact that new technologies’ are able to reduce the length of the subscription process insurance and make it less invasive . ” These advances can come from the use of new data sources and predictive modeling tools to identify more finely customer needs. Using gamification (or ludification French) is another vector to facilitate the application process.
Balanced regulatory approaches
The technology also promotes better interaction through reward programs related to the behavior of policyholders. Finally, it allows to reach new consumer segments. “ This has been the case in emerging markets, where insurance distribution through mobile devices has grown exponentially over the last year, putting life insurance within the reach of many households that were up to now be under-insured is fully private blankets , “the report said.
Meanwhile, EIOPA also recognizes the contribution of advances in data analysis for insurance products. Products that become more responsive to consumer needs. But the Authority emphasizes fears regarding respect for privacy and customer segmentation. It considers it necessary to strengthen the management of potential conflicts of interest and raise the level of competence and training of insurance intermediaries. An effort which will contribute the next EU directive on insurance mediation. “ In the future, this is an area where it will be essential to develop regulatory approaches and balanced supervision that will protect consumers and support innovation ,” says Gabriel Bernardino, chairman of the EIOPA
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