25 June 2019 13:30
Photo : Freepik
The insurers will move from a paradigm of “detect and repair” to “prediction and prevention” in the course of the next decade, thus transforming all aspects of the industry in the process, says a new report from the consulting firm McKinsey & Company.
And this model change is expected to affect everyone from the consumer to the broker, and more.
“The pace of change will accelerate as brokers, consumers, financial intermediaries, insurers and providers become better able to use cutting-edge technologies to improve decision making and productivity, reduce costs and optimize the customer experience,” the report says.
While the sector will focus on the artificial intelligence and other technological trends, this will not be the technology sector of the information an insurer that will advance the projects. According to the report, the new trends will be rather worn by the members of the board of directors and teams in charge of customer experience who invest time and resources to strengthen the understanding of the technology.
Buy assurtechs, and build partnerships
The report indicates that some insurers have already begun to adopt innovative approaches, such as the establishment of their own subsidiaries in venture capital, the acquisition of assurtechs promising and the creation of partnerships with leading academic.
As the projects progress, data, internal as well as external, will constitute the best asset for insurers. But hiring the right people will be just as important.
“The insurance of the future will need talent with the mentality and skills. The next generation of insurers in first-line high-performance will increasingly be sought, and it must have a unique combination of individuals that are adapted to the technology, creative and who have a desire to work in processes that are not static, but rather a mixture of tasks, semi-automatic and supported by the machines in constant evolution, ” one can read there.
The report indicates that it is the insurers who will consider the disruptive technologies as an opportunity rather than a threat for the sector in 2030.