I have always argued that I consider insurance to be a form of gambling based on educated guesses. In effect, insurance companies make a bet that, based on the information that you have given to them, you will not need to claim from them. If they calculate those estimates incorrectly then they will have to pay out. This is an industry laden with risk, and the key influencer of that risk is the information that you provide. Have you been in an accident before? How old are you? What is your medical history? Accurate information is the key to success in a global industry that is expected to be valued at $5,563.1bn by the end of 2017.
In recent years we’ve seen insurance companies take advantage of advanced technologies and the big data that comes with them, in order to supposedly deliver a better service to end consumers. We’ve seen the likes of No Nonsense car insurance here in Ireland offering SmartDriver devices to their under 30 customers… Continue reading