The insurance sector is also feeling the effects of the digital transformation. New communication methods between providers and policyholders or completely new possibilities to conclude contracts are only the obvious developments of digitalisation in the insurance market. The first trends can be already found in the market.
Insurance and InsurTech: What will be important in 2019
The insurance sector is also feeling the effects of the digital transformation. New communication methods between providers and policyholders or completely new possibilities to conclude contracts are only the obvious developments of digitalisation in the insurance market. The first trends can be already found in the market. What the future of the insurance sector could look like and which challenges have to be mastered will be discussed at the Digital Finance Conference on 22 & 23 May 2019 in Berlin.
#1 | Digital insurance: As common as online banking?
So far, completely digital insurances are still not widespread. Although a few lighthouse projects already provide excellent examples of best practices, digital applications have not yet become a common standard in the insurance market. On the other hand, comparable services from banks are enjoying a broad acceptance and are already widely used by customers. Will digital insurance services be able to develop in the same direction in the next years? One decisive factor will be that the apps and services that are provided offer a beneficial user experience with a practical added value as well as the simplest and most user-friendly application possible.
#2 | Artificial Intelligence and Intelligent Use of Data
As in many other branches, the increasing use of artificial intelligence will also have a lasting effect on the insurance industry. AI applications enable more accurate risk predictions and incident analysis. At the same time, these applications can also help to make key processes more streamlined and efficient. The use of artificial intelligence is also supported by the conversion of Big Data to Smart Data. Not just large amounts of data, but the availability of convincing data bases is the basis for accurate predictions and insightful analyses. Smart Data and AI will become a game changer for the market in the next years.
#3 | Digital platforms
Whether Insurance-as-a-Platform or Peer-to-Peer Insurances: Networking and cooperation are more important than never before. Digital and platform-based business models are causing massive changes in the insurance market because they influence customer behaviour from conclusion until regulation. At the same time, a majority of Germans are convinced that all those involved in digital platforms would benefit from their use, according to a recent Bitkom survey of over 1,000 respondents. In the end, the positive customer experience determines the satisfaction of policyholders. Consequently, accessible services that offer noticeable added value are most likely to prevail – analogous to other branches of the economy.
#4 | In the race for the best talents
Also in the insurance industry, the competition for the best digital talents and the all-over, highly wanted tech specialists will increase. Without the coveted know-how, urgently needed innovations, even in the best companies, cannot be pushed forward nor can successful transformation processes be implemented. Young, open-minded players and InsurTechs could have an advantage over their competitors among the equally young talents due to their open mindset for digital transformation. But also established companies can do well in this field. In the end, those players will be successful who meet the wishes and expectations of their potential employees.
On 22 and 23 May 2019 we will discuss the latest trends and exciting developments at the Digital Finance Conference 2019. Join us in discussing the banking and insurance world of tomorrow at the Pioneers' Eve on May 22 and the Digital Finance Conference on May 23. We look forward to welcoming you!