New technology advances are changing the insurance industry. Although these disruptions hold promise for a more customer-focused insurance industry, they raise security, regulatory and privacy issues. Such concerns include what rights each of the parties have with respect to the raw, aggregated, and processed data; what uses should be permissible; and under what circumstances.
Despite these concerns, these advancements offer the opportunity for making insurance more personal, including its price, and could drive the demand for new forms of insurance. An example is the introduction of networked smart sensors and artificial intelligence (AI) which, among other things, can measure fitness and certain indicators on homes and driving, creating data that enable better ways to measure risk, settle claims, and price policies by usage and user behavior.