Insurance telematics: problems and development prospects in Russia
- 10.2991/iscde-19.2019.12How to use a DOI?
- digital economy, digitalization of the Russian insurance market, insurance companies, digital technologies, insurance telematics, insurance business efficiency
The topic of digitalization of the economy is one of the most popular topics, and the digitalization of financial services is almost the driver of its development. At the same time, digital technologies have gained the greatest popularity in financial services in the banking sector. As the analysis showed, insurance is one of the less “digitized” areas not only in Russia but also abroad, which is due to both the least interest of insured persons in the transparency of their life and the lack of the ability of insurance companies to invest free financial resources in digital technology. If we consider the Russian experience, the lack of financial opportunities for insurance companies is largely due not only to weak support from the state, but, on the contrary, to an increase in the regulatory burden on the insurance business. Therefore, not all Russian insurance companies are ready to use digital technology. However, for the further development of the insurance sector, new growth points are required, which are primarily associated with a decrease in the cost of the insurance policy. It is possible to ensure a reduction in the cost of an insurance policy both by reducing the amount of insurance coverage by policyholders (buying policies with a franchise, buying policies without intermediaries, purchasing policies with proportional liability), and by reducing costs by the insurance company itself. The use of digital technologies by insurance companies (smart contracts, telematics, blockchain, aggregators and price comparison services) can combine both directions and reduce the cost of insurance policies. Insurance telematics in this direction is the most promising and allows determining the risk level of the insurance company client more efficiently, respectively, more effectively carry out risk selection, and reduce the cost of the insurance company to maintain insurance underwriters in the staff, which will lead to the possibility of switching to robotization of this (underwriting) process and improve the efficiency of the insurance business. In this article, the authors revealed the specifics of digitalization of the Russian insurance market, examined the problems and prospects of development of insurance telematics in Russia, taking into account the financial capabilities of insurers.
- © 2019, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - T.D. Odinokova AU - T.B. Rekechinskaya AU - N.A. Istomina PY - 2019/12 DA - 2019/12 TI - Insurance telematics: problems and development prospects in Russia BT - Proceedings of the International Scientific and Practical Conference on Digital Economy (ISCDE 2019) PB - Atlantis Press SP - 725 EP - 730 SN - 2352-5428 UR - https://doi.org/10.2991/iscde-19.2019.12 DO - 10.2991/iscde-19.2019.12 ID - Odinokova2019/12 ER -