POL I CY The Israeli Insurance, Pension & Finance Newspaper 30 Special edition 2022 Both insurance veterans and newbies know insurance isn’t a basic consumer product. The vast majority of consumers or business customers don’t get up every morning thinking about how, from whom, and when they will be able to purchase insurance coverage, and this is one of the reasons why the acquisition costs of the customers in insurance, and personal insurance in particular, is relatively high. It is not a new phenomenon that technological improvements help improve business results. Insurers and Reinsurers understand the role technology plays in assisting to make better decisions. Whether it relates to which customers to insure, how to price policies properly, how to generate demand, recruit customers faster and at lower costs, all while providing a more efficient service. In the beginning, it looked like Insurtech focused primarily on P&C and distribution. However, Insurtech’s today are creating solutions along the entire insurance value chain as well as across all lines of business, developing solutions that replace, or are integrated into the existing business model. To increase their efficiency, insurers and reinsurers must convert their current processes into automated processes - using process automation already exists and offers powerful solutions, including artificial intelligence and robotic process automation. When looking at the technological trends in the insurance industry, we see that there are things that are repeated in every place: There is no dispute that the Web 3.0, the decentralized web, unlike Web 2.0, where data and content are centralized in big tech companies, will have an impact on the insurance industryasanacceleratorandenabler. Web 3.0 is the next generation of the Internet – a connected, data-driven, decentralized smart web, Web 3.0 will be all about AI, ML and highspeed computing. Metaverse - Today, the Metaverse is associated with augmented reality (AR) and virtual reality (VR). De facto - most of theworld’s population participation in the metaverse virtual economy including transacting with crypto is still be in its initial stages. It may be years before metaverse’s vision is fully realized and it may not happen at all. In the meantime, quite a few companies are already working on opening branches in the virtual world - e.g., banks that are setting up shop in the metaverse in an effort to learn more about it and to reach the young gamers that use it. Non-fungible tokens (NFTs), unique cryptographic currency tokens containing images, video or almost any form of media, are a multi-billion-dollar business and the insurance industry is in the early stages of technology adoption - risk assessment, underwriting and pricing and does not yet provide adequate coverage. Given the above, it is clear that cyber will continue to be a leading trend, both among insurers and reinsurers as well as among startups, technology providers, despite the large number of companies active in the field. According to CY-FI report by Gallagher Re Cyber re-insurance premiums in 10 years from today, would surge the level of global market property CAT re insurance, and would grow into 80B USD JUAN MAZZINI, a senior analyst at Celent and head of the insurance practice for EMEA, APAC, and LATAM, published a few articles about “THE ABCD OF TECHNOLOGY”, the four key technologies that are shaping the future of insurance, technological trends that have had an impact in recent years on the insurance industry and will continue to have an impact in the coming years: Artificial Intelligence (AI) - AI enables machines to learn, think and perform tasks similar to human intelligence. The AI systems usually will be powered by either machine learning or by deep learning algorithms, based on huge amount of data. The more information available, the better the response will be presented. Using AI can help increase underwriting efficiency and profitability. It identifies new risks Partnership is the way to succeed By Orna Carni Managing Partner, FinTLV Ventures Continued on the page 41
RkJQdWJsaXNoZXIy MjgzNzA=