The internet is always full of Insurance Industry news, both positive and negative. In most cases, innovations in the field of Insurance Industry is rare, while many business giants argue that revamping insurance company is more than just important. The IoT and connected devices have brought great reforms in other industries such as healthcare, manufacturing, and agriculture. But, the Insurance Industry is still far beyond the grasp of Industry 4.0.
Internet of Things can help Insurance Industry mitigate complex problems
An insurance company must provide assurance to clients against both predictable and unpredictable calamities. There are times when a building collapses talking hundreds of lives and destroying assets worth millions. In such cases, an insurance company is accountable for all the loss incurred. The use of sensors and chips can help insurers to detect structural defects of large bridges and buildings. Insurance companies can pre-inform their clients about any defects and prevent collateral damage.
IoT can also help Insurance companies to cut costs on agricultural claims. IoT sensors can be embedded inside soil and livestock to monitor their efficiency. This, in turn, will help insurers to evaluate the price of agricultural insurance. In most cases, IoT sensors are implanted inside livestock to monitor their health condition regularly.
Apart from that, the IoT and connected devices play a significant role in health insurance. The wearable IoT gadgets such as Fitbit band, Apple Smart Watch can transfer data to the insurer regarding their clients’ health. This way, insurance companies can keep track of their customers’ health.
Future of Insurance Industry with the Internet of Things
The abundance of IoT and connected devices in the insurance industry will optimize operational workflow and enhance other factors like preventive care, process optimization, and customer services. Connected devices will enable insurance companies to alleviate risks before they reach a threshold level. The integration of IoT in the Insurance industry will also help other industries to mitigate risks at all levels.