At the Insurer of the Future, we said that Products will be very different from nowadays. But how will they be developed? Certainly not the same way as now.
To begin with, all products will be created as a series of modules. Modular design enables myriad new products to be developed quickly and easily. Even with just three modules, A, B, and C, the Insurer of the Future can generate seven different products (A, B, C, A+B, A+C, B+C, A+B+C) and the options grow exponentially as more modules are added.
How does the Insurer of the Future know when a new module is required? Because its real time analytics tell it what customers want, or might want, and an artificial intelligence system can figure out whether that can be met from the existing modules, or whether another one is required. If a new module is needed, those same artificially intelligent systems can carry out the coding required to build the new module, configure the new combination, and publish the new product as an option available to be bought. It will then monitor take-up of the new product, and iterate it as needed until sales are optimized.
Of course, in this world products are no longer siloed. Elements of what used to be called P&C, life, health, investment, and decumulation products, together with covers yet to be dreamt up, are all now modules that can be combined to meet the precise needs of any individual, employee, or business customer of the Insurer of the Future.
Please see Part 8—Smart Automation for further predictions.