Category Archives: Insurance Trends

Which digital operating system for the future?

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Which digital operating system (DOS) for your Smartphone?

We have built a rather intimate relationship with our smartphones. In some ways more intimate than the relationship with a partner or spouse. The phone has become our digital life support system.

Electronic companies are waging a war and the weapons are ‘new and improved’ gadgets, but the most important battle is about the digital operating system. You remember the hassles when you switched from BlackBerry to Samsung which uses the Android digital operating system. When you now upgrade within the same operating system, you merely have to type in your gmail account and password. As a result of cloud computing, in two ticks, all your data including contacts, pictures and apps will be transferred.

Switching digital operating system discouraged

Should you switch to another operating system, will result in repurchasing ad reloading all the apps from your old operating system. Just too much hassles for some of us!

The apps and data retention is not the only factor. Smartphones are becoming the guards to our extended connected world.
Your digital operating system and the future

In the near future, the smartphone will be the remote control for things in the home. We’ll be switching on lights and heating systems on the way home, not to enter the house in the dark and immediately get in a hot shower. The more we use a smartphone to instruct appliances, the more vital it will be to stay within the same digital operating system.

Google and Android have established a partnership with car manufacturers Audi, Honda, Hyundai and General Motors. Apple has aligned with Mercedes, BMW, Chevrolet, Nissan, Jaguar, Volvo and Ferrari. They developed the ‘InCar’ system which is now a standard feature on all Apple products. Now that’s confidence in the future of their operating system!

Fenced into a digital operating system

Slowly and very subtly users are being ensnared into a operating system. The prediction is that Android, Apple and Microsoft will prevail and take us into the future. Now is the time to choose which operating system you prefer, because it is steadily becoming too big a hassle to swop one for another.

Ref.: SAA – Sawubona.

This article originally posted on: reposted with permission.


New trends in the Auto Insurance Industry

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How will Telematics affect auto insurance?

At a recent Auto Insurance Report National Conference [AIR]  the theme was that advances in data collection will provide benefits to consumers and challenges for insurers. Sources of data will vary from government agencies to data collected from cars via telematics. Auto Insurance companies will have to figure out how to stay on top of up-and-coming demographic trends, including the increasing influence women have in the purchasing decision. They can increase their knowledge of customer needs and serve their clients better.

 Auto Insurance Facts revealed at the conference

1. Auto Insurance Market. There wasn’t much movement in the auto insurance market in the past few years, but the top 7 insurers increased their market share by aggressive pricing and advertising. That leaves some companies with waning revenues and at risk over the long-term. Only a few other companies showed growth resulting from first-class customer service and retention programs. If insurers make intelligent use of the new data they will improve their understanding of customer needs and discover growth prospects.

2.  Telematics. Companies have gone ahead assertively with their telematics schemes. Many major auto insurance companies have introduced programs over the last year. Telematics is an ends to a means. The best move is Usage-Based Insurance (UBI) – where a driver’s behavior is used to price the policy more accurately. Insurers cannot put off development of a UBI solution. Consumer demand will increase hand in hand with the adoption of UBI as well as the corresponding advertising budgets to flaunt these cheaper and smarter policies.

Google’s Self-Driving Cars was showcased where a legally blind person is able to commute using this “smart” technology. It is expected that these cars will be publicly available in 5 years. Safety ratings will be higher. Driving and accidents will be video-recorded. This will bring forth complicated implications for auto insurance companies and fresh challenges for underwriting and service.

Global Insurance market trends

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Global Insurance Trends

In answer to issues faced by the banking industry, the insurance industry’s approach to risk-control is becoming more meticulous and regimented.

According to Global Insurance Leader Shaun Crawford the “size of the prize” has never been larger, and insurers prepared for the challenges ahead will come out on top’.

The industry is slowed down as international regulators are not working together to synchronize risk-based capital ruling. The market continues to be frustrated by lengthy delays with Solvency II and similar challenges.

Accounting principles are another significant barrier. There is much apprehension regarding systemically important insurer (GSII) status and the Financial Stability Board’s (FSB)designation. 

 International opportunities

Several opportunities are obvious for the long term which are worthy of attention in a highly competitive market. Issues to consider are the increase in wealth being transferred from generation to generation and a greater acknowledgment that state and private pension schemes are too expensive.

Significant opportunities are resultant from these issues, but most distribution models are not competent to meet customer expectations. Consumers want the availability of a mixture of digital and personal communications with their insurers, as well as clarity of costs and services. 

Global trends 

  • ·         Noteworthy changes occurred in Bancassurance during the past year.
  • ·         A large financial institution and a Dutch multinational financial services company sold many of their international companies.
  • ·         A large Spanish bank has embarked on some joint venture deals globally.
  • ·         Indian and Chinese joint ventures produced mixed results as foreign investors struggle with cultural differences and to cope with local regulations.
  • ·         A huge drop in the purchase of savings and investment products happened in the UK, according to the Retail Distribution Review (RDR).
  • ·         Advisers are battling to cope with a non-commission sales model.
  • ·         Global regulators are studying distribution carefully as they are seeking market remedies. 

Improved systems and processes

In the competitive property market, providers are focusing progressively on reducing combined ratios with expense base cuts.

New claims processes and policy systems are being developed, with greater off shoring and shared-service structures.

Specialty risks are receiving attention and require visibility of any abnormal profits or risks.



Is Cancer Insurance a new trend in Insurance?

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Cancer Insurance

Cancer insurance is an optional supplemental health insurance to assist in managing the risks of cancer. As a relatively new trend, it is meant to ease the costs of cancer treatment and therefore financial support to the policy holder. Support that is based on the terms of a policy. Premiums will depend on the risk related to covering the disease. Cancer Insurance emerged only around 50 years ago to meet demand coming from cancer sufferers.

Cancer insurance is not intended to replace standard health insurance coverage but to supplement such insurance by giving cover for a disease that often results in high medical costs. In recent years, new areas of cover developed such as uterine cancer and breast cancerin males. There are many types of plans that cover various forms of cancer.


Benefits of Coverage

Cancer insurance policies typically offer wellness benefits to help those suffering from cancer or at risk, to change to healthier lifestyles. These benefits can offer financial support for programs such as tobacco cessation, gym memberships, and dietary changes.

The insured may get access to information regarding healthy lifestyles and to wellness tests for early detection of disease. These tests include mammograms, Pap smear tests, colonoscopies and others.

The benefits are often designed to diminish the effects of cancer or encourage the prevention of it. Benefits differ amongst companies. Many benefits relate to medical expenses, which may include cancer treatment. Other benefits relate to non-medical costs such as transportation, food, home and child care and certain bills.

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Does your Health insurance offer Cancer Cover?

Coverage Concerns

Because of the risks of serious health issues such as cancer, Health Insurance companies often exclude coverage. Standard health insurance policies do not offer coverage for cancer. Therefore supplemental insurance policies, designed to cover cancer, will be useful. Eligibility to qualify for cancer insurance, vary from insurer to insurer and could sometimes pose a problem.

Some myths regarding cancer insurance are:

  • If I get sick, my policy will be canceled; which is untrue. As long as you pay the premium there is no reason to cancel your policy.
  • I have to use special health care facilities. This only applies to your health insurance, never to supplemental coverage
  • If I’ve had cancer before, I can’t get this plan, which is also far from the truth. If you’ve been cancer free for at least 5 to 10 years, you can apply for approval.