Insurance Technology

As far as fields are concerned, insurance technology is a new field that many companies have just started putting their resources into. The best way to define insurance technology is to look at it as being a combination between the conventional fields of insurance and technology. In other words, technology that is created in an effort to support insurance policies would fall under the purview of the insurance technology field.

One of the main advantages that insurance technology has over conventional insurance mechanisms is that it is a lot cheaper to employ. Instead of having mountains of papers assorted across hundreds of different files for each insurance policy that a company has on tap, the insurance technology process instead makes it possible to make all of those records electronic. This saves on further use of paper as well as on storage for the current files since they are now stored in digital form in a computerized hard drive that is really going to be very small in comparison to the storage rooms that most insurance companies employed when they were using paper files. This is just one example of how insurance technology can save people money but it is illustrative enough to show just how impressive this new field can be.

The life cycle of an insurance policy is something that takes years to go through in the shortest cases and decades in the longest. Take the insurance policy of life insurance purchased by someone on their 40th birthday. From the time the initial quotes are received to the time the person passes away and their relatives collect on their insurance policy it is not out of the realm of possibility that four decades could pass by. It is very difficult to keep track of events over that long a period of time if you are just using paper records since every event generates a different paper record that then needs to be collated every time someone needs to look at the entire file.

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