Modern Technology And Its Impact On The Life Insurance Industry

Sourcing, researching, and purchasing life insurance policies is no stranger to the effects of this technological evolution.

11:07 02 July 2025

Ever-advancing technology has revolutionised so many aspects of our modern lives that it’s easy to forget how slow, inconvenient, and frustrating specific tasks used to be. Sourcing, researching, and purchasing life insurance policies is no stranger to the effects of this technological evolution, and the process has become faster, more transparent, and more personalised. This article examines the impact of technology on the insurance industry and offers tips and strategies for using it to your advantage when sourcing life insurance quotes. 

Life Insurance Calculators

In the complex, bewildering, and often disheartening world of insurance quotes, an online life insurance calculator is an absolute revelation. These AI-powered online tools offer potential insurance customers detailed policy recommendations and an upfront view of the premiums they might expect to pay. 

How do they do this? A good question. The trick is that to get an accurate recommendation and cost figure from a life insurance calculator, you must input the same information you would when purchasing a quote. This has the advantage of preparing you for what is to come, as you will need to gather all the requisite documents and information beforehand. 

• While these calculators can be an excellent, informative starting point, they are no substitute for the expert advice of a professional financial advisor or an insurance expert

Online Comparison Tools

There are dozens, if not hundreds, of websites and apps that enable users to source life insurance policies and compare them side by side. This is the fundamental game-changing aspect of the online world, driving insurance providers to improve their terms and conditions as the power shifts from the provider to the consumer. 

With access to near-instant quotes, these fast, powerful sites help users find the best rates and make direct comparisons. 

Digital Applications and E-Signatures

Many life insurance providers now offer fully digital applications, which is a welcome step. This eliminates paperwork, and the acceptance of digital ‘e-signatures’ makes policy approvals rapid and hassle-free.

Blockchain Technology

Blockchain technology is reshaping the insurance industry as follows:

• Security and fraud prevention

Blockchain technology allows the creation of tamper-proof records, ensuring data integrity and dramatically reducing fraudulent claims.

• Smart contracts

‘Smart contracts’ mean faster claims processing and payouts.

• Improved customer experience

Insurers can share and store data securely, minimising paperwork and streamlining policy management.

• Risk assessment and pricing

Real-time data can be analysed for more accurate risk assessments and fairer pricing.

• Data sharing and interoperability

Blockchain technology enables the secure exchange of data between financial institutions, insurers, and hospitals/medical facilities, improving trust and efficiency.

The adoption of blockchain technology is expected to grow exponentially in the insurance industry over the coming years. 

Wearable Tech and Health Data Integration

Some insurance providers utilise health metrics from wearable devices, such as smartwatches, to track their clients’ health and offer discounts based on their lifestyle.

Conclusion

The way consumers source, research, and purchase life insurance has changed forever due to modern technology. While it is assuredly possible to complete the entire process digitally, never having to interact with any representatives, a quick phone call can sometimes be an excellent way to assess providers and access even better ‘on-the-spot’ prices. Sometimes the old ways remain the best…