The Impact of Digitalization on the Insurance Value Chain and the Insurability of Risks
Journal
The Geneva papers on risk and insurance - issues and practice
ISSN
1018-5895
ISSN-Digital
2311-0112
Type
journal article
Date Issued
2018
Author(s)
Abstract
Based on a dataset of 84 papers and industry studies, we analyse the impact of digital transformation on the insurance sector using Porter’s value chain (The Competitive Advantage: Creating and Sustaining Superior Performance, The Free Press, New York, 1985) and Berliner’s insurability criteria (Limits of Insurability of Risks, Prentice-Hall, Englewood Cliffs, NJ, 1982). We also present future research directions from the academic and practitioner points of view. The results illustrate four major tasks the industry is facing: enhancing the customer experience, improving its business processes, offering new products, and preparing for competition with other industries. Moreover, we identify three key areas of change with respect to insurability: the effect of new and more information on information asymmetry and risk pooling, the implications of new technologies on loss frequency and severity, and the increasing dependencies of systems through connectivity.
Language
English
HSG Classification
contribution to scientific community
Refereed
Yes
Publisher
Palgrave Macmillan
Publisher place
Basingstoke
Volume
41
Number
3
Start page
359
End page
396
Subject(s)
Division(s)
Eprints ID
254630