We are increasingly accustomed to measuring our exercise regimes and heart rate with a wearable wristband, to calculating how many calories we are burning, to asking our virtual assistant for the weather forecast and requesting that they read us the day’s most important news. Using the Internet of Things (IoT), directly or indirectly, is already part of the daily lives of many people.
Now that this technology is more in the present than of the future, one must wonder to what extent we can integrate it within the insurance industry. The industry is always looking for innovative solutions and, if we add to this the Internet of Things and its push towards hyper connectivity, you have a powerful recipe.
One of the best practical applications in the insurance sector is access to data that allow you to gain a better understanding of the market that a company is targeting. Information use and management become the key that makes way for good customer service.
Although data transfer is one of the issues that generates the most concern among customers, reports such as Horizon 2050 from the Spanish Institute for Strategic Studies (IEEE), detail how blockchain – another emerging technology – could be a good ally to protect sensitive information obtained by the IoT. For example, the privacy of data storage on devices such as wearables can be assured thanks to blockchains and encryption.
The IEEE also points out in its report that, thanks to advances in connectivity, productive processes will be much more automated and that will boost industrial efficiency whilst reducing costs.
Inrobin, a startup that is part of insur_space was conceived for this very reason, and it acts within the scope of the so-called industrial Internet of Things (IIOT), which is a more specific branch of the IoT. Its aim is to prevent machinery faults and to identify risks using smart sensors and machine learning algorithms. Using industrial data sets, this platform analyses the behaviour of machinery and monitors risks to improve productivity.
The initial plan for the Internet of Things was to generate more interconnected universes through smart devices. Now, this window of opportunity is opening up between startups and insurance companies to turn the IoT into technology with a bright future in insurtech.