Insurance Technology Trends

There are several trends that are making a huge impact on the auto insurance industry. Some of these include maximizing efficiency, attracting fresh talent to the industry, and making people’s data more secure. 

AI

Artificial Intelligence has the ability to completely transform the insurance industry in areas from productivity and customer service, to security. New functions that focus on fraud protection help not only the insurance providers but also the customers who follow the rules. Robo-advisors are on the horizon which will save both clients and underwriters unnecessary wait times. The development of 24/7 chatbots has already been well-received for common user questions.  While humans are still working in tandem with machines, it is no secret that companies need to embrace this technology in order to survive in their industry. One example of AI already at work is CARPE DATA, which gathers real-time data and uses it for predictive scoring for every stage of an insurance lifecycle, including claims. Shift Technology is a company that focuses on fraud detection specifically for the insurance industry. 

Blockchain

Blockchain maintains the same advantage as the World Wide Web, in that there is no main point of control. Blockchain technology acts like a virtual ledger that records all transactions in a secure, unchangeable way. It takes the place of having a third verification party for each transaction, thereby saving the insurance company money which in turn, gets passed down to customers. Using this technology, insurers can quickly verify credentials, historical data, and contracts. It is also nearly impossible to duplicate, because of it’s multi-level verification transparency. It is a perfect fit for apps like Teambrella, who apply the democratic notion of insurance and filing claims. They support the concept of teamwork being part of every decision. Users cover each other and vote on payouts and premiums, as opposed to being presented with a limited number of options to choose from. Blockchain technology is used to securely handle all payments put all minds at ease. Lemonade makes full use of AI and blockchain technology to call themselves the home, rental, and pet health insurance provider for the 21st Century. The philanthropic arm of the firm also donates a portion of profits to various causes.