Insurtech- The Power To Make ESG Happen
ESG (environmental, social, and governance) criteria are a set of standards that are creating a splash across boardrooms. It suffices to say that ESG will play a defining role in future operations across all business sectors and insurance is no exception. In this context, insurtech can play a pivotal part in driving seamless ESG adoption. The interesting bit here is that many societal components have an equally crucial role in spurring ESG adoption. It is but natural that insurers are steadily taking up technology as a pillar in this regard. Insurtech And ESG- How They Are Linked The insurtech space could accelerate ESG for the entire insurance industry according to experts like the founding partner at Eos Venture Partners, Sam Evans. Insurance is what offers security against mishaps, and unfortunate natural disasters enhance financial strength and offer protection in case of any death or injury to policyholders. It also plays a part in enhancing the overall well-being of policyholders. Several core components in ESG are also connected to data and technological tools, which are naturally the prerogative of the insurtech space. Right from enhancing healthcare/wellbeing quality to higher engagement with un/underserved communities to filling up the gaps in protection and coming up with metric-driven solutions or tapping into big data, insurtech is expected to do its bit in ensuring the biggest premise or principle of all- Fill up the gap in protection. Aspects Worth Noting How Insurtech Can Help Signing Off Even Deloitte has stated how insurance companies are increasingly appointing chief sustainability officers in response to ESG demands while investing more in insurtech solutions for better metrics in line with the same. The ESG concept is being more efficiently integrated into the entire underwriting journey. Scoring systems, tools for analysis, and other insurtech products may help in driving ESG-compatible development of insurance products. Right from the industrial, household, and automotive sectors to healthcare, there is a diverse scope of application.
