Connected devices and sensors are reshaping our world, and with it, the insurance industry. This Internet of Things will first make an impact on auto insurance, but household, health and life insurance will also eventually be transformed. To succeed in this market, insurers will need new capabilities in multiple areas, including data management, customer-centricity and experience management, process and technology, and partner management.
They’ll need to position themselves at the heart of customer-centric ecosystems, becoming risk managers, advisors and value aggregators that deliver high-value services to customers every day. This is an opportunity to muscle into new markets, protect existing revenues and grow profits. The alternative is to leave the gap open for disrupters from other industries – retail, banking and technology, for example – to come in and offer the personalized, rich services that today’s insurance customers demand from their providers.