Other parts of this series:
- Insurers must define their social contract…or have it defined for them
- “Raising” AI to be explainable, responsible and collaborative
- Insurers rely on data, but how much do they trust their data?
- Insurers need scale, and these technologies can help them achieve it
- Five technology trends that can reshape insurers’ business
By combining the technology trends from this year’s Technology Vision for Insurance report, insurers can strategize for long-term growth.
Cities were transformed when automobiles reached the mass market. Today, we’re reimagining our world around digital technology. New and emerging technology will undoubtedly create new and emerging risks—new workforce models that upend our definition of “employee,” autonomous vehicles that shift liability from individuals to manufacturers, and AI systems that make decisions that affect people’s lives, to name a few.
83% of insurers say technology has become both invisible and indivisible from people’s daily lives.
Technology’s pervasiveness creates a unique opportunity for insurers—but with it comes an obligation and responsibility to contribute to the greater good of people and society.
This year’s Technology Vision report highlights the five trends that insurers must consider:
- Citizen AI, or “raising” AI to benefit business and society
- Extended reality and eliminating distance with augmented and virtual reality
- Data veracity and the importance of trusting your sources
- Frictionless business that is built to partner at scale
- The Internet of Thinking that creates intelligent distributed systems
Like in other years, these trends have been selected because they aren’t yet on the to-do lists of the C-suite, but will be soon. But unlike before, these aren’t just isolated technologies with the potential to change the insurance industry. Rather, they are a combination of things that, together, can enable insurers to reshape their business, the role they play in society and the service they provide to customers.
Consequently, insurers must look at these trends holistically. How can insurers combine them to make material changes to their entire business model? This is not just an academic exercise. Today, incumbent insurers may enjoy stability due to high barriers to entry, but as our Disruptability Index indicates, the industry is highly vulnerable to disruption. Savvy insurers will look at these technology trends and devise a strategy to leverage them for both defense and offense—to ultimately drive long-term growth and relevancy.