Three ways for insurers to stay resilient through COVID-19

A good example of hyper-personalisation – and one that has garnered lots of attention throughout the coronavirus pandemic – is usage-based insurance (UBI), particularly in the auto insurance industry. When governments started ordering lockdowns and social distancing to prevent spread of the virus, the number of drivers on the road reduced dramatically. As such, many insurers offered premium rebates to reflect reduced vehicle usage, which could be seen as a version of UBI. "Virtualisation of all technology services and solution delivery, including an increased consumption of cloud-based services [is also key]," Sanyal added. "Pre-pandemic, most insurers were already pursuing a digital strategy. COVID-19 has not only accelerated this journey, but has also compressed the timeframe. What would have taken months and years is now taking days and weeks. The question is no longer: 'Should we?' It's more: 'How should we, and what should we do?' "On the other hand, there's another set of dynamics that are taking place in certain lines.