Disruptive Technologies and Digitalization in Insurance: Improving the Value Chain of Insurance

Advancement in technology in the digital era is changing the way businesses used to work. Technology is bringing new opportunities on one hand for the companies and challenges on the other hand that should be carefully delt with. Expectations of the customers are changing with the advancement of technology. Today the customer is becoming more tech oriented and prefers product that are tech savvy too. The distribution of the products has also changed drastically. Many digital channels have emerged in the past few years that aims to provide faster services to the customers and helps in saving cost.The challenges get further compounded with the happening of the COVID-19 Pandemic. The operations of the organizations are getting digitalized and the speed with which these are getting transformed is phenomenal. Emerging technologies like Artificial Intelligence (AI), Machine Learning (ML), Virtual Reality (VR), Augmented Reality (AR), Internet of Things (IoT), Robotic Process Automation (RPA) and Block chain are playing a bigger role in these transformations. Insurance industry is also leveraging the benefits of these technologies especially in improving the value chain of insurance. The objectives of the study were to highlight the process of Digitalization in Insurance; to identify the Disruptive and emerging technologies used by the insurer; and to highlight the role of disruptive technologies in improving the value chain of insurers. This paper highlights the way insurance industry is getting digitalized and how these technologies can improve the value chain of insurance. The paper will help understand the various issues in the value chain of insurance and how the emerging technologies can help the insurers in improving their processes leading to the improvements in their value chain.