Wearable Tech in Insurance - Thematic Research
Wearable Tech in Insurance - Thematic Research
This report provides an in-depth analysis of the wearable tech insurance market. It looks at market size as well as claims, contextual and economic factors, regulations, and opportunities. It provides a thorough overview of the market alongside analysis of how the development of wearable technology will impact the insurance value chain.
By giving insurers access to detailed biometric and activity data from policyholders, wearable tech has the potential to bring about considerable opportunities for providers. These include enhancing underwriting accuracy, preventing claims, and increasing customer engagement across a number of different products.
The rise in popularity of health and wellness trends has propelled wearable devices into the mainstream. This has provided the insurance industry with an opportunity to target individuals with products that are aligned with enhancing their health and wellbeing while also providing the same elements of cover as traditional policies. Despite wearable tech offering considerable opportunities for the insurance industry, there are also risks that must be considered when incorporating devices into insurance policies. Above all, policyholders’ fears around the sharing of personal data must be addressed in order for the impact of wearable tech to be sustained.
Reasons to buy
- Wearable tech will impact the insurance industry across both general and life insurance markets.
- The initial use of wearable tech will be in the gamification of policies, rewarding policyholders for achieving pre-determined goals with the aim of reducing their risk.
- The use of data gathered through wearables to personalize premiums and policies will take some time to materialize, given insurers’ reservations surrounding the accuracy of the data.
- Benchmark yourself against the rest of the market.
- Ensure you remain competitive as new innovations and insurance models begin to enter the market.
- Be prepared for how regulation will impact the use of wearable tech in insurance over the next few years.
- Table Figure 1: Which companies are the incumbents in the insurance industry and which are likely to be the disruptors in the use of wearable tech?
- Technology briefing
- Technology trends
- Macroeconomic trends
- Table Macroeconomic trends
- Regulatory trends
- Industry analysis
- Wearable tech in life insurance
- Table Figure 2: Cancer is the most common claim in the critical illness market, but is not the most costly on average
- Table Figure 3: Musculoskeletal claims are the most common among income protection policyholders
- Wearable tech in general insurance
- Table The total cost and number of claims in UK pet insurance prove challenging for insurers
- Table Pet Insurance
- Market size and growth forecasts
- Table Percentage of individuals seeking an insurance policy that allows them to track their fitness
- Table Figure 4: The number of new contracts that sought the use of wearable tech to track fitness
- Table Figure 5: PMI policyholders are more open to utilizing wearable tech
- Table Figure 6: Establishing wellness goals is another key reason for using wearable devices
- Table Figure 7: Sharing personal information is a major barrier that will hold back uptake
- Table Figure 8: The high cost of claims and increasing number of new contracts in critical illness could prove to be the driving force behind the development of policies incorporating wearables
- Table Figure 9: Non-mortgage-related term assurance could be a strong market for policies incorporating wearables
- Challenges facing insurers incorporating wearables
- Competitive analysis
- Table Figure 10: More Than could see its market share grow by offering wearable tech
- Table New critical illness contracts
- Table Income Protection Contract
- Table Figure 11: Aviva dominates the term assurance market, providing a solid base from which to innovate
- Mergers and acquisitions
- Table Mergers and acquisitions
- Table Figure 12: Timeline
- Value chain
- Table Figure 13: The insurance industry value chain
- Product development
- Table Figure 14: Insurance value chain: Product development layer
- Marketing and distribution
- Table Figure 15: Insurance value chain: Marketing and distribution layer
- Underwriting and risk profiling
- Table Figure 16: Insurance value chain: Underwriting and risk profiling layer
- Claims management
- Table Figure 17: Insurance value chain: Claims management layer
- Customer service
- Table Figure 18: Insurance value chain: Customer service layer
- Companies section
- Public companies
- Private companies
- Appendix: Our "Thematic" research methodology
- Traditional thematic research does a poor job of picking winners and losers
- Introducing GlobalData's thematic engine
- This is how it works
- Table Figure 19: Five-step approach for generating a sector scorecard
- How our research reports fit into our overall research methodology
- About GlobalData
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