Embedded insurance for mobile phones or Carsadmin2022-10-14T17:22:31+05:30
Embedded or parametric insurance works on the paradigm of probability of the event occurring.
Embedded insurance has been in vogue in last couple of years.
The arrival of smart device has made embedded insurance a possibility.
If the mobile phone falls down and the mobile screens crack or develop a crack on fall, depending on the impact, the IOT sensors which are fitted will trigger an alert and corresponding insurance claim can be generated.
The same can be extended to cars as well, suppose there is collision between 2 wheelers or 4 wheelers, depending upon the severity of collision the IOT sensors which are retrofitted in car bumper fender should be able to judge the damage
Zhong An and Xiaomi have partnered to provide parametric cover for phones. After a fall, the sensor in the phone automatically triggers a claim for broken screen.
In our case, appropriate sensors may be place externally.