North American Insurance Innovation Outlook 2020
Innovation continued to gain traction in the insurance industry in 2020. Although this survey was conducted prior to the coronavirus outbreak, we do not expect future activities to change substantially. Customer expectations, the imperative of digital transformation, growth needs, and expense pressures continue to provide the impetus for change.
Additionally, emerging technology provides opportunities. Sensors and intelligent digital ecosystems blur the boundaries between the digital and physical worlds and generate massive new data sources. Home automation technology is more visible than ever and is poised to affect insurance pricing. Next-generation analytics and artificial intelligence continue to impact all areas of insurance and provide new services to prospects and clients.
In response, Celent expects the need for effective innovation in insurance to continue to accelerate. With the onset of a new year, Celent surveyed innovation practitioners in North America to understand their outlook for 2020.
The participants in this research are innovation practitioners and digital/technology leaders. They bring a day-to-day, practical perspective to their predictions. It is also recognized that the group has a vested interest in seeing innovation succeed, and the forecast includes this bias. However, the feedback from these professionals is valuable for insurance leaders who want to benchmark and advance the innovation capabilities in their firms.