Insurtech – what it means?
Insurtech is the technology innovation which designs and squeezes out savings and efficiency from the current insurance industry model. The belief of driving Insurtech companies is that the insurance industry is the ripe for innovation and disruption.
Breaking down ‘Insurtech’?
Insurance is an old business which probably has one of the oldest financial business and tends to favor deep pockets with long experience in the market. There is broad actuarial table which is used to assign a risk category adjusted together and policies are profitable for the company in an approach by traditional way. Among other things, Insurtech is looking to tackle the data and analysis issue head-on.
Due to better pricing model, the startup of Insurtech are testing waters with a host of potential game changers which also includes deep learning Artificial Intelligence to handle the task of brokers with right-mix of policies to complete an individual’s coverage.
These players are of much reluctance to adapt with insurance and many layers of jurisdictional legal baggage to deal with. Many of the Insurtech startups faces wider problems that requires traditional insurers to handle underwriting and manage catastrophic risk.
The 3 major benefits of combining these two trends – Artificial Intelligence and Blockchain?
The term uses with theory and practice by building machines seems to require intelligence and currently with technologies striving to make reality including machine learning, artificial neural networks, and deep learning.
The three ways in which Artificial Intelligence and Blockchain which makes each other are as follows-
1. Artificial Intelligence and encryption works well.
2. The decisions made by Artificial Intelligence are being traced by Blockchain which tracks, understand, and explain decisions made by Artificial Intelligence.
3. The blockchain is more managed by Artificial Intelligence than humans.
Blockchain and Artificial Intelligence – The benefits of decentralized artificial intelligence
Blockchain and Artificial Intelligence has two of the hottest technology trends and with those two technologies which have highly different developing parties and applications, researchers have been discussing and exploring their combination which found to go extremely well together.
Blockchain emerges technology with the potential to disrupt every industry. Artificial Intelligence is two of the hottest technology trends right now. There is a technology impact which experiences financial sector with crypto-currencies such as Bitcoin, Ethereum, and Litecoins which extend with advertising, healthcare, business, logistics, security etc.
Insurtech is not just about technology, such as Artificial Intelligence (AI), Application Programming Interfaces (APIs) and the Internet of Things (IoT) to improve the insurance value chain. Customer engagement, everything toward risk awareness, and how one can change the buying experience, underwriting and risk products,” are some areas where insurance is going transformation.