Increasing prices, discerning consumers, and disruption by technology are a few challenges health and life insurance companies face. So, can technologies like blockchain and smart contract development for healthcare enable systems to address insurance issues?
Health and life insurance companies are one of the key players trying to incorporate emerging technology blockchain. They are doing so to change record keeping, transaction execution, and interaction with stakeholders. The question is whether blockchain technology can facilitate insurers to gain efficiency in healthcare insurance operations. Can it enable them to reduce costs, manage vulnerabilities, enhance customer support, expand their business, and thus, improve the bottom line? Let’s find out.
What are the Challenges with the Current Healthcare Insurance Services
Life insurance policy life cycles with complex touchpoints and healthcare insurance claims often involve complicated and unpleasant experiences. It makes the establishment of good insurer/client relationships problematic. Term life insurance appears to be a static, one-dimensional product. Whether the policyholder dies, it pays out, or when the contract expires, it lapses. Otherwise, there is no engagement until the sale is closed except for premium payments. With no legal standards demanding its acquisition and little encouragement other than the provision of death coverage, term life insurers continue to be hard-pressed to accelerate strong revenue growth. In reality, life insurance (and maybe even health insurance) tend to be low-return, high-cost products to those who are younger and healthier. They provide little relevance to the everyday life of a policyholder.
