Insurance Risk of Pokémon Go, Tech Investments in Claims and Underwriting Data, Agents Increased Value of Carrier Underwriting, Self-Driving Car Technology ahead of Insurance, Rethinking Workers’ Compensation, Artificial Intelligence in the Industry, Emerging Tech Impacts on Insurance
Business Insurance: Risk Managers Must Scramble to Catch All Pokémon Go Liabilities
The international Pokémon Go craze is creating a host of potential malware, privacy, property and workers compensation issues, among others, that risk managers should immediately address, say experts.
The augmented reality game developed by Niantic Inc. in partnership with Nintendo Co. Ltd. is available free to smartphone users and encourages its participants to capture its monsters in “gyms” that could include private property.
Some of the applications that purport to provide help to players contain malware, said Alan Brill, senior managing director at Kroll Associates Inc. in Secaucus, New Jersey. There have also been reported instances of “phishing” involving the game, he said.
“Depending on what’s on the phone, the bad guys may be able to access data on the phone, and if it’s the employer’s data, it’s really an uncontrolled potential leak situation,” he said. Read the full article now…
Claims Journal: Commercial Lines Insurers Investing in Tech for Claims, Underwriting Data
Technology investments to support data initiatives are increasingly important as commercial lines insurers look to leverage data from a wider variety of sources. According to a new report released by Novarica, predictive analytics, third-party data and multidimensional data are being leveraged by carriers to improve claims handling and underwriting discipline.
“Drones, IoT, third party data providers and telematics are changing the landscape of underwriting in commercial lines,” notes Martina Conlon, senior vice president of Research and Consulting and lead author of the report. “Insurers have the opportunity to use the data from these sources to improve risk assessment and pricing and boost underwriting results.”
“The right capabilities are necessary in order to truly take advantage of these emerging technologies and the data available from them,” adds Chuck Ruzicka, vice president of Research and Consulting and co-author of the report. “To this end, commercial lines carriers are investing in core systems, advanced analytics, and self-service portals.” Read the full article now…
Insurance Journal: Survey: Agents Value Carrier Underwriting More Highly Now Than 5 Years Ago
A comparison of independent agent opinions five years ago to today shows how far the agency channel has come while also illustrating that certain fundamentals remain important throughout cycles and market disruption.
Nearly 2,000 independent agents weighed in for the recent ninth annual Channel Harvest survey, co-sponsored by Insurance Journal, providing fresh insight into carrier performance.
“Ask agents what’s important to them and they usually put underwriting and claims at the top of the list,” said Peter van Aartrijk, managing principal of Channel Harvest. “But we were intrigued to find that some of those attributes are more prominent in our current survey than back in 2011.” Read the full article now…
Insurance Business America: Insurance Industry Lags behind Self-Driving Car Technology
Insurers are struggling to play catch up with auto manufacturers who are making great strides in the development of autonomous vehicles.
Robert Hartwig, president of the industry trade group Insurance Information Institute, told reporters that currently, carriers do not have a way of distinguishing whether they are insuring a self-driving car or not.
He said the insurance claims process for cars using self-driving systems generally works the same way for cars that do not have them. In self-driving cars, the question lies in determining whether the driver or software is at fault in case of an accident. But in practice, this means that the insurer will pay the claim, and then charge it either to the manufacturer or another insurer to recover its payment. Read the full article now…
Insurance Business America: Time to Rethink Workers’ Compensation?
The landscape of workplace risks has experienced extreme change over the past 50 years. Experts believe that now is the time redesign workers’ compensation so that it reflects current workforce risks and is adaptable to advances in medicine and science. Industry leaders are starting to question whether the current structure of workers’ comp is meeting the needs of employers and injured workers.
“Even the U.S. Department of Labor and OSHA have recently questioned the adequacy of workers’ compensation benefits,” explains Mark Walls, vice president of communications and strategic analysis at Safety National. “Some employers are actively pushing for an alternative option to workers’ compensation because they feel workers’ compensation no longer provides suitable protection for employers and injured workers.”
Here are three ways that Walls thinks workers’ compensation needs to evolve. Read the full article now…
Insurance Thought Leadership: Does Insurance Really Need Artificial Intelligence?
In the past couple of years, artificial intelligence, or AI, has come to the fore as an emerging technology that will disrupt the way business is done. This has happened before, several times, since the 1980s, with AI becoming the hot new thing, only to cool off when it’s realized there is a lack of business cases.
This time may or may not be different, but it’s instructional to take a look at what its impact could be on insurance operations. In a new report, NTT DATA Consulting did just that, examining the potential impact on agents and underwriters in the new age of digital personal assistants and robots and bots.
AI may not be a perfect fit for insurance companies – at least not yet. “We see the pressure to adopt robo-agents and cyber-underwriters being balanced by two key factors: complexity and emotion,” the report’s authors, Lisa Woodley and Joel Collamer, observe. They note that customer needs change over time, resulting in changes in the products they use – as well as their pricing. Read the full article now…
Insurance Networking News: Top 10 Impacts of Emerging Tech on Insurance
Insurance is not insulated from the rise of new technologies improving the connectivity between business and customer — and customers with each other. Strategy Meets Action partners Karen Furtado and Mark Breading take a look at the future of insurance in their latest report, “The Top 10 Ways Emerging Tech Will Transform Insurance.” View the slideshow now…