26 JAN / Author: Harold Leitner
Technology is Enabling Collaborative Risk Management
For traditional insurers, once a policy is bound it is ‘wait and see’ if there is a claim. There is little to no connection or collaboration with policyholders to reduce the frequency or severity of claims. Typically, insurers have passively waited and hoped that claims and losses remain “acceptable”. Innovative insurers are using emerging technologies that are enabling risk reducing connections with policyholders. These connections are creating a “culture of safety” that benefits everyone – policyholders, insurers, and the public.
Telematics for Driver Safety
The most pervasive risk reduction technology in use today is vehicle telematics. Millions of drivers, both personal and commercial, use telematics to better understand their high-risk driving behaviors. When drivers understand how their speeding and distracted driving put their health and lives at risk, they typically will drive safer. Drivers, fleet owners/managers, and insurers can work from the same set of driver behavior data to implement safety awareness campaigns and collaborate to minimize the predictive metrics that lead to at-fault accidents. Studies have shown that sustained and incentivized safety programs, enriched by vehicle telematics data, are improving safety, making roads safer, and saving lives.
Home IoT for Risk Management
For homeowners, smart-home systems and sensors are changing how they protect one of their most valuable assets and wealth creators. Internet connected security systems, fire detectors, water leak sensors, and other ‘smart home’ technologies connect homeowners with insurers to maximize safety, to react faster problems, and minimize losses and other negative outcomes. When combined with a mobile app, these technologies give homeowners access to alerts, notifications, and predictive analytics wherever they may be. Insurers can now actively help their policyholders maintain their homes, take precautions to limit risks, and respond faster when damage occurs.
Reduce Health Risks with Wearable Sensors
Everyone wants better health and a longer life. Many health insurers are helping their policyholders to live a healthy lifestyle by providing technologies that monitor and motivate their healthy habits. Sleep sensors, exercise and activity apps, diet trackers, smart watches, and other wearable sensors are giving policyholders, healthcare providers, and their insurers insights into the status of their health. Insurers can keep healthy habits at the front of their policyholders’ minds by offering compelling incentives to use these technologies for better health.
When claims go down, everyone wins. New technologies are creating opportunities for insures and their insured to work together to reduce risks. Many insurers are aggressively rolling out these technologies because they allow for reduced claims and losses. Technology enabled collaboration is creating positive outcomes for policyholders, insurers, and the public.
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