What Is Internet Of Things?

1271 WordsApr 4, 20176 Pages
We are all familiar with taking a wrong turn or missing a turn altogether while driving and have the GPS navigation system holler at us about recalculating the distance and then suggesting an alternative route. Might that have sounded a little fanciful in the 1980s when people were still relying on printed maps to navigate? Now, imagine scenarios where you get a mild electric shock from your wearable tech device every time you use your credit card after crossing spending limit or your investment portfolio automatically adjusting the debt-equity proportion in tune with your health reports or on crossing an age-related milestone such as turning 50. They might have sounded straight out of Arthur Clark or Asimov’s science fiction novels two…show more content…
This helps reward safe drivers with customized pricing and lower premiums. Interestingly, many drivers have also admitted to reviewing their driving style and vehicle maintenance on receiving telematics reports from their insurers – a win-win situation for the insurer and the insured. Health insurance companies are monitoring crucial parameters like blood glucose, blood pressure levels, activity patterns, eating and exercise habits of customers via wearable tech devices that feed insurer’s database when connected to Internet. Health insurance premium pricing is dynamic, subject to current health situation of the customer, which can bring down costs for both the insurer and the customer. Such close monitoring helps insurers identify risky patients with chronic conditions and volatile parameters and caution them to take preventive measures. Customers are also compelled to make suitable alterations to avoid soaring premium costs. Home insurance, including commercial real estate, is closely following the trend by installing sensors in insured properties, which track structural condition of the property such as fire and smoke hazards, plumbing and sewerage situation, energy efficiency, security, etc. Interestingly, this may not lead to dynamic pricing of premium as in the case of auto and health insurance but benefits the
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