The impact of Technology in the Health Insurance industry

We live in a society where every step we take is reinforced with the help of technology, and no matter what task we perform; we use the service of emerging technology- solutions to facilitate our efforts and make our lives easier. New age technology-gies ushers in an era with many opportunities for ordinary people in all sectors, including, but not limited to, agriculture, health industry, textile industry, and the insurance industry. This study focuses mainly on the fact that the effectiveness, as as well as the quality factors of the industry, are affected by the inclusion of technology.

Before going deeper into the subject, the main thing for us is to understand- hold the topic on which the study is being conducted, which is the basis meaning of the term insurance. Insurance is a contract in which a company or the government agrees to give a money-back guarantee for a defined loss, damage, illness or death in exchange for a certain premium.

Including insurance with complex technologies such as artificial intelligence, predictive analysis, big data, etc., has been slow but is very important and impactful in this new era.

There has been a huge change in the inclusion of technology in this sector, culminating in the realization of a new type of sector, named the The Insurtech sector, which is the fusion of emerging technologies and the insurance industry. These types of companies aim to make their business develop with the help of new and emerging technologies and develop fresh products and services and to reduce the financial burden, which is on the shoulder of the insurer and the client.

This is the advent of the fourth industrial revolution, which does not focus only on the efficiency factor of the industry but also on the inclusion of the economy, which is driven by knowledge; this acts as a catalyst for the increasing use of technology in the insurance industry.

The pillars of interconnection characterize this revolution (allowing people to be able to connect easily on the Internet),

technological support (helping people make decisions with the help of technology), transparency (allowing people to keep trust in the system), and unbiases (allowing the technology to decide without any bias leading to a more just result). This revolution is announced with the help of connecting everyone with the Internet, the use of mobile telecommunication devices, Internet objects (IoT) to connect devices to the Internet, and a vast sea of computing- resources. These extravagant opportunities have found their use even in the insurance industry, which includes a complex balance of its plagues and advantages.

There are many opinions circulating in research about the impact of technology on the insurance industry and what technologies are currently being used. Some of the pieces of literature are given below.

Roberto Rocha focused on the performance of the insurance sector- in different developed or developing countries. They also examined the reasons that motivate the development of this industry.

Bill Chen studied how compulsory insurance affects a person’s daily life and how it will lead to long-term effects that concern the growth of the country’s economy.

He also weighs the pros and cons of having such a thing mandatory.

Vikas Sharma has contributed to this field by studying the effects of privatization on the insurance industry and what effect this will have on the pockets of the general public. He also stressed what it would mean for the country when there is more pressure for privatization .

Balamurugan Muthuraman and Karthik Mohandoss studied the trends in the insurance sector with a main focus on the Indian insurance industry. They compared the different aspects used to determine the growth of the industry, such as GDP, growth ratio, etc., to assess the trends in the Indian insurance sector. Sukanta Sarkar and others.

studied the course of the insurance industry from his stay in British India to the current era, where the sector has become more liberal and flexible. They focus on the journey of the insurance industry and the changes it has undergone suffered.

Matthias de Ferrières studied how the insurance sector is lack of implementation of technology and what factors deviate most from its implementation.

He also studied the impact that digitization would leave on the main actors already existing in the field, if they would embrace change gracefully or would it be too hard for them to change their base- mental. Alexander Bohnert, Albrecht Fritzsche and Shirley Gregor are sodomized- examined the relationship between economic growth using technology and the commercial performance of many European insurance companies.

They have been able to establish that the role of technology is crucial during its implementation with the utmost care in the internal and external functioning of the companies. Klapkiv Lyubov reviewed the various technological innovations in the investment sector. She has also studied the determining factors in the field of the insurance industry as well as the effect of technology on insurance value chain; she also emphasized the balance between positive and negative- the positive effects that the insurance industry will experience with technological innovation

1. Nandhini Muniappan studied the impact of emerging technologies on the insurance sector, mainly focused on the SIC. She also highlighted the different factors impacted by the use of technology and the areas in which the technology can be implemented. Dr. Pooja Choudhary, in her study, high- enlightened the impact that the insurance sector has on the financing aspect of the country .

She examined how this industry stimulates the country’s eco- nomic processes and how any change in them creates a ripple effect in the the country’s economy. Vivek Nagarajan and Samuel Selvan studied the differences- ent technologies and how their incorporation into the insurance sector would be contribute to the growth of the sector and give the necessary economic boost.

Christian Eckert and Katrin Osterrieder studied the different technologies used in the insurance industry and the impact they have created. They could find the connections between the different technologies and how they depend from each other for proper functioning; they also studied the requirements of the the company must fulfill to implement these technologies. Anthony Cappiello directed his study to understand the management of the industry and how the dynamics will change when we include technology in the mix. She has also suggested that companies will have to change their business model to be able to participate in this dynamic and constantly evolving race for survival. Deniz Guney Akkor and Suna Ozyuksel analyzed the effect of new technologies on already existing commercial industries with a main focus on insurance sector. They also studied the effect of digital transformation on the workforce this is already present in the insurance sector; the impact of Industry 4.0 is also clearly highlighted in this study. It was directed by Lili Zheng and Lijun Guo study one of the most well-known emerging technologies, Big Data, and its impact on the insurance industry.

They stressed the importance of data in this tech-savvy age; data is considered the pulse of the new revolution, and therefore, being able to analyze this offers a superior advantage to any industry therefore, the insurance industry is not far from this aspect.