Technology in Microinsurance: How New Developments Affect the Work of Actuaries
Microinsurance is a strategy that makes appropriate insurance coverage available to low-income people. Financial losses that result from health, business, casualty, life, and natural disaster risks may produce devastating consequences for vulnerable populations. In overcoming the various challenges faced by low-income people, a growing number of innovations and technologies have emerged in the arena of microinsurance. Moreover, there is a growing number of reference reports that highlight the evolving intersections of the actuarial profession with technological innovation. As a result, the Society of Actuaries (SOA) commissioned the MicroInsurance Centre at Milliman to develop a literature review on the use of technology in microinsurance.
To give a frame of reference for actuaries to use in their work, this literature review provides insights on emerging technologies that interact with the actuarial profession within the space of microinsurance. This report also provides a foundation for understanding the evolving role of technology in microinsurance, as well as its potential impact on insurance and the actuarial profession. Furthermore, it intends to spark readers’ interest in and create a vision for how microinsurance and its associated technologies might impact the actuarial industry in the future. It also provides ideas for how key ‘micro Insurtech’ topics could evolve in the future.
To achieve the research objective, this literature review assembles a collection of publicly-available articles, reports, presentations, books, blog posts, podcasts, videos, and other resources that actuaries and other interested stakeholders can reference. The resources were assembled through desktop research and key-person interviews.