In the News: How Tech Can Move Insurers from Prediction to Prevention

Despite rising levels of wildfire risk and other perils, the Predict & Prevent strategy is becoming more attainable than ever for insurers. In his Digital Insurance article, How Tech Can Move Insurers from Prediction to Prevention, Dave Tobias explores the pivotal role of digital transformation in Predict & Prevent, and how insurers can preemptively manage risks and protect their policyholders.

Key Takeaways

1. Innovative Tech: Technological advancements from the "Fourth Industrial Revolution," such as AI, IoT, and big data analytics, are enabling insurance companies to better predict risks and act proactively, specifically regarding wildfire threats.
2. Risk Mitigation: These tech solutions empower underwriters to evaluate properties in wildfire-prone areas more precisely and advise policyholders on mitigation measures before calamities strike.
3. Navigation Regulatory Hurdles: While the technology is a crucial element, the insurance sector's adaptation pace is influenced by regulatory challenges, with diverse and complex methodologies for assessing wildfire risk across states.
4. Better Together: Collaboration between insurtech companies and insurers can enhance the effectiveness of the "Predict & Prevent" strategy, ensuring compliance with regulations, fostering customer trust, and building resilient communities.

Read the full article for an in-depth understanding of these trends.