The pace of technology change in the insurance field will increase dramatically lead by IoT, according to latest Accenture Technology Vision for Insurance 2016 report.
Based on a survey of nearly 450 insurance executives, Accenture said 90 percent of the insurers surveyed said they expect the pace of technology change to increase rapidly or at an unprecedented rate over the next three years.
The survey found that IoT, platform-based ecosystems and artificial intelligence – is maturing and expected to ultimately transform the very nature of the insurance organization and what it does.
Almost 83 percent of insurers see IoT bringing about significant change or complete transformation in the industry.
Digital trends identified in Accenture’s Technology Vision 2016 report are intelligent automation, liquid workforce, platform economy, predictable disruption and digital trust.
Accenture said these trends offer insurers an opportunity to shift from their traditional business model to one where they can automatically assess and price risk directly, individually and in real-time, as well as help customers avoid losses in the first place.
However, taking full advantage of these trends will require insurers to dramatically transform their workforce and culture.
“The emergence of digital technologies and the adoption of platform partnerships is causing a shift in the insurance workforce,” said John Cusano, senior managing director of Accenture’s global Insurance practice.
“Companies need to be forward-thinking about evolving their culture to embrace all of these changes,” Cusano suggested.
The report recommends insurers to embrace disruption and adopt technologies that will enable them to do things differently. It underlined the move toward digital should consider ‘digital trust’.