Technology is changing the way we live and work. It is also revolutionizing the insurance industry as well. Artificial intelligence and powerful cloud computing applications are changing the ways people manage risk. One emerging opportunity that may arise from all of this high-tech innovation: viable macro-insurance policies.
What is Macro-Insurance, Anyway?
Macro-insurance is a concept wherein a single insurance policy covers all matters of risks for an individual. Under a macro-insurance policy, a single policy would cover a person’s home, auto, life, and disability risks. In the past, collectively calculating all of these risks would have been too complex. However, emerging technology is bridging the gap left by overwhelmed actuaries. Macro-insurance policies may well become commonplace in the years ahead.
The Macro-Insurance Future is Now
There are already insurance companies leveraging tech power to offer macro-insurance policies now. One such company, the insurtech startup Sherpa, uses a powerful tech platform to offer macro-insurance style services. Sherpa offers its customers a single underwriting process to offer a wide variety of protection from risk. Sherpa may be leading the way when it comes to macro-policies, but other firms are sure to follow.
Change is Hard
One of the biggest challenges to macro-insurance may be acceptance and adoption. Consumers unaccustomed to a one-size-fits-all policy may be reluctant to drop their current coverage in favor of macro-insurance. Likewise, insurance companies, wary of low macro-insurance demand, may hesitate before they invest in the technology to provide this service. Regardless of its tech underpinnings, macro-insurance will require a big marketing and education push.
Macro-insurance may be the future, but the future isn’t here just yet. Insurance companies have a great deal to sort through before these policies become the norm. And while macro-insurance may be a future solution to streamline and simplify the insurance process, VerifiaBill is already here right now to make your life easier.