The Impact of Digitalization Risks on the Business Processes of an Insurance Company
Anna Faizova, Svetlana Kalayda, Irina Malova, Ekaterina Solopenko
Available Online 24 April 2020.
- https://doi.org/10.2991/aebmr.k.200423.001How to use a DOI?
- insurance, business processes, digitalization, InsurTech
- Nowadays digitalization is one of the key drivers of insurance market development in Russia. Introducing InsurTech provides insurance companies with a number of competitive advantages, such as increasing speed of making decisions, opportunities for portfolio expansion, tools for risk assessment and fraud detection. Application of digital technologies helps them to increase effectiveness of business processes. Among all business processes of an insurance company we emphasize the most significant in terms of insurance service provision. Those include the processes of underwriting, conclusion and support of an insurance contract, settlement of an insured event. However, adoption of innovations blurs borders between business processes. The paper discusses InsurTech tools implemented in these business processes, evaluates the effectiveness of their use, identifies the associated risks. The conclusion is made that the risk of unauthorized access or use of personal data is the most significant. Another significant risk is the model risk arising from the imperfection of the models used, insufficient data or its poor quality. In addition to that, the impact of digitalization on the activities of insurance companies and its business processes should not be overestimated. Funding: The reported study was funded by RFBR, project number 20-01-00785.
- Open Access
- This is an open access article distributed under the CC BY-NC license.
Cite this article
TY - CONF AU - Anna Faizova AU - Svetlana Kalayda AU - Irina Malova AU - Ekaterina Solopenko PY - 2020 DA - 2020/04/24 TI - The Impact of Digitalization Risks on the Business Processes of an Insurance Company BT - Proceedings of the III International Scientific and Practical Conference "Digital Economy and Finances" (ISPC-DEF 2020) PB - Atlantis Press SP - 1 EP - 4 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.200423.001 DO - https://doi.org/10.2991/aebmr.k.200423.001 ID - Faizova2020 ER -