Over the next 12 months, we’ll continue to see technology play a role in the way insurance carriers assess risk, perhaps more than ever before. Currently, we’re seeing some insurance carriers use smart home technology to proactively alert homeowners of the risk of potential fires or flooding. Some insurance companies are testing the idea of using drones as inspection technology to further assess risk.
In short, technology will make a significant impact in the way that insurance carriers underwrite risk and conduct business in the future. Technology and innovation have the potential to help property and casualty insurance carriers reduce loss exposure and combat the declining profit margins that the industry is facing.
How Technology Strengthens Relationships with Insureds
Perhaps the biggest way that we’ll see technology make waves in the property and casualty insurance industry in the coming years is by strengthening the relationship between the insurer and insured. Traditionally, the only interaction that insurance carriers have with their customers is once a year during renewal time. Technology, however, has the potential to change this business model so that insurance carriers become relationship-focused every minute of the day.
Successful insurance carriers need to use inspection technology to position themselves as a partner that is dedicated to improving their policyholders’ quality of life. Finding ways to use the data captured on insureds’ IoT connected devices will allow insurance carriers to offer value to their customers while also mitigating risk.
At Insurance Risk Services, we’ve been partnering with property and casualty insurance carriers for more than 35 years to help them to best determine which risks are worth taking. We’ve seen technology make its way into the property and casualty industry, and we, too, embrace technology to provide our clients with the most accurate underwriting reports. As inspection technology continues to evolve, it’s important to remember that nothing replaces the value that an in-person property inspection provides. Please contact us at Insurance Risk Services to learn how we use technology to deliver underwriting support that our clients can count on.