The biggest trend affecting the insurance industry in the coming years, iOT, the term refers to all connected devices in the world. The most obvious example of an internet expert is your home and mobile needs. But increasingly, the car itself – or the new sensor / technology in the car – also joins the internet, the industry refer as autonomous vehicles or self-driving car.
Many new cars have built-in security technology and connectivity or even a half-way drive option. In the coming years, more vehicles will communicate with each other on the road, with the aim of reducing road accidents and deaths.
Insurers Will Make Better Use of Connected Technology
More and more car insurance companies will start offering car-based car insurance (UBI). In the UBI plan, the mobile phone app or other sensors will keep track of the way you drive and calculate your company’s rate accordingly. This usage-based insurance will also be affected when, where, and how you drive, with more and more secure driver discounts to avoid accidents.
And it’s not just an established company that will benefit from this trend – more starters will get into the UBI game. Many smartphone apps have allowed individuals to compare quotes from different companies. The intake also uses smartphone GPS technology to provide insurers with tracking, vehicle health reports, and tips for users.
For those who want to provide more innovative services, user-friendly apps, custom pricing models and important data strategies will be critical to success in the car insurance industry.
Pull Don’t Push
In many industries, “push” advertising has been dominant for decades. Push advertising force-feeds potential clients with striking and engaging ads and marketing – think of Time Square brightly lit by ads plentiful. More and more, the car insurance industry will be dominated by those who really understand what it takes to “pull” customers in (or away from competitors) rather than “push” them towards a product or service. Push is about exposure – it is about understanding the unique needs of individual potential customers in a wider context.
To succeed in the new era, insurance companies need to understand the lives of their customers properly. Since move to this “smart car” generation, we can expect other industry player will compete with insurance company in this area, from car manufacturer, bank, telco who knowing about what you bought, they will cross sell or up sell similiar services. Insuretech can assist with providing data and context to individual drivers and ecosystems where they exist. It will then enable insurers to better understand the unique needs of customers – and thus provide better individual and individual products and services.
Feel free to contact E-SPIN for assist you adapt the trend for insurance industry, from infrastructure availability, performance and security monitoring and testing solution.