Is IoT reshaping the way insurers do business?
Risk modelling has become one of the most important strategic tools insurers have at their disposal. Considerable amounts of time, technology and other resources are devoted to modelling that allows insurers to assess, price and limit risks — as well as develop new products and services. Now, the emergence of the Internet of Things (IoT) could be taking risk modelling to the next level.
Our world is being inundated with connected sensors and devices that gather and share data of all kinds. Refrigerators, cars, phones—you name it. Sensors connect more and more of the products and devices we use at home, at work and on the go. In fact, there are 6.4 billion connected “things” in use today.1
In a recent Internet of Things blog post, Jonathan Silverman, director, World Wide Insurance Industry Solutions at Microsoft, explores how IoT could be a boon to insurers using risk modelling. Harnessing this anonymous data provides real-time insight as well as opportunities to identify new macro trends and patterns over time. That translates into opportunities to reduce the risk of unexpected machine failure, monitor and manage an individual’s heath more closely, reward good driving behaviors, and more.
At Microsoft, we’re seeing first-hand how the use of IoT and analytics to identify and understand risk is revolutionizing the insurance industry. Cloud-based IoT and analytics solutions, like Azure IoT Suite and Cortana Intelligence Suite, make it possible to gain insights in a scalable, flexible and cost-effective way.
Check out the blog post to learn more.
