Digital tools can help insurers fix insurance premium and policy costs based on consumer's health and lifestyle
The digital transformation has led the whole world with a storm of efficiency. The impact of technology on the business world or the personal lives of consumers is very compelling. In the Initial stages of technological developments, we have already witnessed advancements in sectors like automobiles, data sciences, and research. However, today, with medical diagnostics, treatments, cures, and insurance, everything is digitized. This digitization in the healthcare sector will benefit a large number of people. Software designed for electronic health records will enable the data-keeping for treatments, test reports, and health insurance records, all in one place. Health insurance companies are dazzled by global digitization. The insurers are preparing coherent digital technologies to compete with the advancing battalion of disruptors to develop an integrated health framework for clients. With the surging pace of healthcare facilities and digitization, the critical question is how health insurers can make healthcare more affordable, accessible, and enhanced experience in the future.
Integrating IT systems in healthcare facilities will streamline a preventive approach to manage health with effective cost reductions and sustainable revenue growth. Steps are being taken to amalgamate data sciences into the insurance sector by deploying new technologies. The process for creating a digitalized medical world and combining artificial intelligence, robotics, predictive analysis, and database management to handle healthcare has already begun. The advancements of technologies make it easier to detect diseases and prevent hefty tolls on someone's life or family's financials.
Digital tools in the healthcare industry can help insurers fix the insurance premium amounts and policy costs based on consumer's health and lifestyle habits with better accuracy. Both the consumers and the health insurance companies are engaging actively in digital tools like apps for online policy purchase, online premium payments, health checkup test booking, medicine orders, exercise apps, health record-keeping apps, fitness bands, and more. Thus, digitization in the health sector has immense benefits for both insurers and the insured.
With advancements in digital solutions emerging steadily in the market, various apps are designed to monitor medication intake. The apps also keep track of one's health by regularly monitoring heart rate and blood pressure. The apps help in improving patient care. Buying an insurance policy at a younger age is beneficial as the premiums increase with age. Also, as per the medical history of the patients, the policies are pretty restrictive.
In India, millennials are least penetrated in buying health insurance policies, and so, to target them, the insurance companies are integrating with many health apps to keep track of the number of steps a day and calories burnt through wearable devices. This data rewards the person buying an insurance policy in terms of premium reduction.
Digitalization in the health insurance sector will help both the company and the patient access health information and improve well-being. Also, it will streamline many processes like sale, purchase, premium payment, claim settlement, and grievance handling.
The data from mobile apps can be effectively used by insurance companies to promote the overall well-being of customers and provide efficient customer service. Also, the digital transformations will prosper data exchange amongst medical institutions and insurance companies for more accessible fund release of insurance cover. Various digital applications are being developed to assist insurance companies in data workflows and business process management. With digitalization, awareness will also be spread amongst youngsters about health insurance. This way, the insurance companies can also sustain customers' precipitously changing needs in the arithmetical globe!
Digital technologies are worth investing in, and transformations are overwhelming. Getting your team on board can be challenging; however, the interlude will yield great results.
The author is the Founder and CEO, eExpedise Healthcare
DISCLAIMER: Views expressed are the authors' own, and Outlook Money does not necessarily subscribe to them. Outlook Money shall not be responsible for any damage caused to any person/organisation directly or indirectly