How Connected will the Connected World Be?
Mark Breading | May 31, 2016
The idea of a fully connected world has become quite popular in the press and is driving much of the innovation and startup activity these days. At SMA, we continue to articulate the fact that there will be many different ecosystems in the connected world, such as smart homes, connected cars, smart cities, intelligent farming, and so forth.
Each will have many participants and contributors to their particular ecosystem, including device manufacturers, systems integrators, data/analytics companies, service providers and, yes, even insurers. However, it is interesting to consider how connected the connected world might really become. I am thinking, not of the different ecosystems, but of the potential related to big cities and rural areas.
The digital divide has been a concern for quite some time. The digital haves and have-nots are usually described in terms of socio-economic terms, with the less economically advantaged missing out on the benefits of the digital world, and now the connected world. But the divide may also occur between cities and rural areas. What are some reasons to think that this gap may widen?
Innovation test beds: Let’s face it, it seems like half the stories you see about innovative new companies and ideas emanate from San Francisco. While innovation originates in many places, the test beds for new ideas are most often the big cities.
Communications infrastructure: The explosive growth of the mobile world has already created significant challenges for telecommunications capacity. As connected-world devices and sensors come online, new communications platforms and dramatic increases in capacity will be required. The dense structures and populations of big cities make it easier to test and deploy new wireless and wired connectivity solutions.
Concentration of business and government: More of the institutions and people that run the world are located in big cities. For political and other reasons, it is often easiest to begin new technology experiments in their backyard, so to speak. Also, the concentration of businesses, health care facilities, utilities, and transportation systems makes big cities a better target for initial implementations of new connected-world applications.
Smart cities: Cities have the scale that is often required for broader testing and for cost effective implementations. The smart-city movement recognizes this, while also working to address many of the problems of the world’s largest cities (such as traffic congestion, pollution, energy consumption, etc.).
The one connected-world ecosystem in which the rural area will certainly forge ahead is in intelligent farming. Smart agriculture solutions are already being broadly tested and implemented. From highly automated and connected farming machinery to sensors in the soil to robotic milking operations at dairies, there is great potential to improve the yield and quality of agricultural output.
What does all this mean for insurance? First, this is not to say that there will not be smart homes, buildings, health care facilities, etc. in rural settings. Of course there will be, but it may happen that we evolve to a world of highly connected cities and loosely or marginally connected rural areas.
Suburbs will fall somewhere in between in terms of connectivity. Insurers should conduct scenario planning to assess the implications of this potential new divide in the connected world. This may be especially important for those with a focus on urban areas since the risk landscape is likely to change the most over the next decade due to the growth of the connected world.
- Enterprise Architecture in an Agile World
- Top 10 Tips for Securing Your Mobile Devices and Sensitive Client Data
- Industry Insight: 4 Global Insurance Trends in Digital, Data, Content Services and Security
- Diving Deeper into Prioritizing Your Strategic Digital investments
- Why Content Rules
- How Mass Personalization Will Open the Small Business Benefits Market
- At Year End 2017, Will Your Organization Be Protected from Cyber Risks?
- Do Insurance Bots Dream of Mitigating Risk?
- Conditioned to Respond
- Managing & Mobilizing Insurance Data in a Connected World
- Race to the Finish Line
- New Tools, New Opportunities in Claims
- ITA LIVE: Reaching Insurance Industry Crossroads
- Advice to Insurance IT Leaders: Keep Your Eye on the Ball
- New Date, Venue for ITA LIVE 2017
- Guidewire Makes Major Push to Small and Midtier Market by Acquiring ISCS
- Insurance Disruption is Happening Right Now
- Insurity Adds Strategic Investment Partner, General Atlantic
- Beyond Transformation: The Convergence of Finance, Risk, and Actuarial Functions
- The Rapid Evolution of Consumer Protection Regulation
- Talent Hunt: Finding, Attracting, Retaining Top People
- Insurers Flexing Their Distribution Models
- Technology Driving Disruption in Insurance
- Fear of ‘Next Bubble’ Challenges Life, Annuity Carriers
- Technology Allows Commercial Lines Insurers to Stand Out
- Single Sign-on Viewed as Biggest Tech Challenge for Agencies
- ISCS Observes 20th Anniversary; Scurto Predicts Major Changes Ahead
- Policyholders and Their First Impressions
- Progressive Making Progress on the UBI Front
- High and Dry: Insurers Search for Disaster Recovery Plans
- Insurers Sign The (Un)Dotted Line
- Reflections of a Retired Insurance CIO
- Mobile Device Management Just One Answer to BYOD Issue
- Lessons from GEICO and Progressive on Winning the Critical Buying Stage
- You Are a Target for a Cyber Attack
- Web-based Systems are the Next Evolution in Claims Technology
- Gaining a “Wow” Experience from Web Users
- Time to Shift from Business/IT Alignment to Business/IT Alliance
- Healthcare Insurers Changing to Consumer Model
- Organization is the Key for Selecting Software Vendors
- Analysts Expound on the Needs of the Mid-tier Insurance Market
- Finding the Cure for Obamacare’s Website
- New Software Solutions Benefit Insurers on the Inside and Outside
- Products, Market Impede Investment in Systems for Life Insurers
- Combatting Cyber Threats: Predict, Prevent, Persist
- The Future of Telematics Heads Beyond Insurance
- The Shame in Cyber Security Lapses
- Building Policy Administration Systems for the Future
- Insurers Look Into The Eyes of Their Policyholders
- It’s a New Dawn for the ITA
INSURANCE IT NEWS
- Visioning, Setting Scope, and Execution Planning Critical for Successful Digital Strategies, Says Novarica
- ITS Implements QA Best Practices for Rockford Mutual
- FireLight® by Insurance Technologies Features New Advanced User Experience Capabilities and Wizard Designer
- InsurTech Startup Betterview Launches New AI Driven Roof Report to Immediately Identify Roof Condition & Characteristics
- Larger Insurers Extending their Analytics Leads and Piloting Artificial Intelligence, says 3rd Annual Novarica New Normal 100 Benchmark
- 360Globalnet Augments Services and Implementation Capabilities
- TechCanary Incorporates in Canada as TechCanary Insurance Software of Canada ULC
- XL Catlin to Build World’s First On-Demand Cyber Insurance Solution with Slice ICS
The Email Chat is a regular feature of the ITA Pro magazine and website. We send a series of questions to an insurance IT leader in search of thought-provoking responses on important issues facing the insurance industry.
ITA is pleased to present the 2014 Webinar Series. We have many topics for you to choose from and attendance is open to all ITA members. The webinar topics are current and exciting — ranging from predictive analytics to telematics and will focus on the direction insurance carriers need to follow for the future. All webinars are presented by insurance IT professionals along with some of the leading analysts and consultants in the field. There is no cost to attend an ITA webinar. For more information and to register for the webinar, click the “title” of the webinar below.
BLOGS AND COLUMNS
It has become a common refrain over the past few years to view the practice of enterprise architecture (EA) as something that time has passed by, much... READ MORE
One important trend in society over the past decade is our increasing ability to create and consume a seemingly unlimited amount of digital content... READ MORE
You have surely heard it said that small businesses are the growth engine for America. Today, the phrase has a special ring to it for benefits... READ MORE
With stagnant growth and lingering low interest rates, the life insurance industry faces a challenging future... READ MORE
Finding insurance carriers willing to write commercial lines risks has always been a challenge for producers... READ MORE
As Guidewire Software prepares for the start of Connections, its 11th annual user conference that begins on Nov. 2, Brian Desmond, chief marketing... READ MORE
Fraud detection has always been and will continue to be a critical component of claims management. Learning the lessons from current claims Straight... READ MORE
- Vendor Views