Zhyliakova Olena, PhD (Economics), Associate Professor of the Department of Finance and Accounting, Kharkiv State University of Food Technology and Trade, Kharkiv, Ukraine

ORCID ID: 0000-0003-4580-1752
e-mail: zhyliakovaolena@gmail.com

Zhyliakova Halyna, Senior Lecturer of the Department of Construction Production Organization, Kharkiv National University of Civil Engineering and Architecture, Kharkiv, Ukraine

e-mail: zilakovagalina22@gmail.com

Іnnovative Technology in Life Insurance

Abstract. Introduction. The negative impact of macroeconomic factors on the development of the life insurance market during the quarantine period due to the spread of coronavirus disease has been exacerbated by declining incomes, rising unemployment, and the need to adhere to strict quarantine measures. The combination of these factors has led to a decrease in demand for long-term insurance and reduced efficiency of traditional sales channels of insurance products. At the same time, foreign experience shows that the level of innovation of the insurer is one of the main factors in increasing its competitiveness. Dissemination of information technology allows insurers through the implementation of innovative solutions to increase the quality and speed of service, increase the share of the insurance field, reduce the cost of conducting insurance business and the cost of insurance services.

Purpose. The purpose of the article is to determine the features of innovative technologies in life insurance and to study the impact of their introduction into the activities of insurers on the development of the life insurance market.

Results. The article describes the factors influencing the introduction of innovative technologies in life insurance. Characteristics of social, economic, market and technological groups of factors taking into account the specifics of life insurance and the current state of development of the life insurance market in Ukraine are given. Based on the experience of foreign insurance companies, the efficiency and necessity of introducing innovative technologies in life insurance have been proved, which will allow insurers to create competitive advantages, reduce costs, cost of insurance services, improve the quality of service for policyholders.

Conclusions. For the insurance industry, the crisis of 2020 had some consequences, both obvious negative and hidden opportunities, as the introduction of quarantine measures requires accelerating the introduction of digital tools and channels through the widespread use of remote work, price pressure and changes in customer behavior.
Thus, the crisis has accelerated the pace of introduction of innovative technologies in life insurance. Achieving successful phased changes involves a number of coordinated steps:
– setting dynamic goals for the introduction of innovative technologies at all stages of servicing policyholders, the implementation of which in the near future will provide competitive advantages and reduce costs for insurers;
– use of analytical reports and databases as a source of competitive advantage, abandoning outdated IT;
– radical cost reduction through automation and self-service, while improving employee skills.

Keywords: life insurance; online insurance; innovative technologies; digitalization.

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