Current Situation
Micro and on-demand insurance caters to the evolving needs of specific customer segments, such as millennials, by offering coverage for specific risks at specific times, enabling them to purchase insurance instantly on their smartphones. In the sharing economy, where assets are shared among individuals (e.g., ride sharing, home sharing), traditional insurance products fall short in providing adequate coverage, leaving gaps that on-demand insurance can address. The gig economy, facilitated by digital platforms and mobile applications, creates opportunities for insurers to offer tailored accident and health, life, and non-life insurance solutions to gig workers who lack traditional employer support, addressing their personal, social, and economic concerns.
Goals and Objectives
Enhance customer satisfaction and engagement by offering personalized and flexible insurance solutions, allowing customers to purchase coverage on-demand, tailoring it to their specific needs and preferences for a seamless and convenient experience. Capture new market segments, particularly millennials and participants in sharing and gig economies, by addressing their unique insurance requirements, such as coverage for specific risks, shared assets, and temporary work arrangements. Drive revenue growth by tapping into growing demand for micro and on-demand insurance. Expand the range of insurance products and services you offer, and leverage digital platforms to reach and serve a wider customer base. Mitigate risk and close coverage gaps in the sharing and gig economies by providing comprehensive and specialized insurance solutions that address unique challenges and uncertainties faced by individuals engaged in these emerging economic models.
Technology Deployed
Mobile technologies — real-time smartphone-app-based coverage switch on and switch off
5G
IoT
Cognitive technologies — in-app chatbots for voice or text chats
Cloud
Advanced analytics
Next-gen security — digital identity verification and network verification techniques using blockchain
Digital platforms
Use Case Summary
Customized coverage for specific risks in on-demand, sharing, and gig economies, meeting customer needs, leveraging digital platforms, and driving revenue growth. Addressing emerging economic models: Closing coverage gaps, providing convenience, personalization, and capturing new market segments. Maximizing opportunities: Tailoring insurance solutions, mitigating risks, capturing millennial market, and driving revenue growth in on-demand, sharing, and gig economies