The rise of digital health insurance: transforming healthcare accessibility and efficiency

With the fast pace of technological advancements, the healthcare industry is also witnessing a significant shift. In the healthcare industry and insurance landscape, digital health insurance is at the forefront. From quick policy enrolments to online doctor consultations and from laboratories at doorstep to getting reports on mobile phones, digital health insurance is emerging as a game changer. 

In this blog, we will explore the driving factors behind the rise of digital health insurance. We will take you through its benefits, challenges and the promising future of the growing digital health insurance industry. Keep reading further for detailed information.

Understanding digital health insurance

The integration of digital technology within the health insurance model is referred to as digital health insurance. In other words, digital health insurance is a modern approach that leverages technology and simplifies the insurance experience for the customers that involves digital platforms like mobile applications, websites, and AI rather than extensive paperwork and in-person interactions. 

Digital health insurance actually simplified the customer experience process by helping them choose health insurance. It helps the user to compare plans online, explore various factors of the coverage options, hassle-free simplified claim submissions and accessible healthcare services. And no doubt, this digital shift in the healthcare industry has made health insurance way more effective, affordable, accessible, efficient, and more user-friendly. 

Key features of digital health insurance

With the modern approach of digital health insurance, the process got simplified with several benefits and features. Keep reading further for the key features of digital health insurance:

• From reviewing coverage to insurance claims, everything can be done online.
• Physical in-person meetings are not required anymore with digital health insurance.
• Digital health insurance significantly reduces the time required in the insurance claim procedures.
• It becomes easy with data analytics and AI to trace the medical history.
• The digital health insurance providers can easily provide the personalised medical insurance as per their health requirements and preferences.
• One of the unique additions to the aspect of digital health insurance is access to wellness and preventive care like fitness tracking, diet consultations, and mental health resources.
• Digital health insurance often supports telemedicine.
• Online doctor consultation is one of the major key features of digital health insurance.

Key factors of Rise of digital health insurance

From in-person physical interactions and time consuming paperwork to paperless digital health insurance, this digital shift in the health industry is quick, efficient, and user-friendly. Let’s have a look at some of the key factors that lead to this digital shift and transformation.

Technological advancements

Technological advancement is one of the major factors that lead to the rise of digital health insurance. It actually provides the customer an opportunity to process and claim in a user friendly manner. With rapid advancement of technology in particular areas like AI, automation, machine learning, and data analytics, the procedure of traditional insurance got more convenient and personalised.

Changing consumer expectations

With the changing scenario, the expectations of consumers are also changing rapidly. In this digitised world, consumers are looking for more convenient and easily accessible information. And digital health insurance is meeting those basic demands and expectations of customers. People are seeking health insurance companies that match the convenience of e-commerce, online banking, easy insurance application, and digital insurance claim.

Digital healthcare solutions

With the needs of medications at doorstep, telemedications and virtual consultations that got accelerated during the COVID 19 pandemic, digital health insurance is more in demand now. And, this is one of the major reasons that lead to the rise of digital health insurance at a very fast pace.

Smartphone and internet penetration

With the increased usage of mobile phones and internet connection, digital health insurance is one of the best possible ways to secure a future that too with the calculated and financed risks. The customer got more opportunities and chances to research and compare the insurance plans offered by various health insurance companies. This increased accessibility has expanded the reach of digital health insurance beyond urban centres making health solutions available to the wider population.

Growing emphasis on preventive healthcare

From regular health check-ups to personalised diet plans and even gym accessibility, the digital health insurance provides an opportunity and emphasis on preventive healthcare. This proactive approach of digital health insurance appeals to a large number of consumers who value preventive healthcare solutions as much as they believe in treatment of the disease.

Benefits of digital health insurance

Digital innovation is transforming healthcare in several meaningful ways. After the COVID 19 pandemic, the digital health insurance and interest of the consumers in digital health solutions is a boom for the health insurance industry. Here are some major benefits of digital health insurance. Keep reading further to know more.

Convenience and accessibility

Digital health insurance is a more convenient, easy, and user-friendly way that enables users to complete the procedure hasslefree. From filing a digital health insurance policy to insurance claims, everything is at ease and doorstep. It is more convenient as it saves you from the traditional procedure of insurance that involves a lot of paperwork and documentation. Digital health insurance also provides the benefit of access to the policy anywhere anytime.

Personalised insurance plans

Another major benefit of digital health insurance is getting personalised insurance plans. This thing actually got easier after the COVID 19 pandemic with most of the health insurance companies taking help from AI and data analytics. Tracking down the medical history of the customers eased out with the automation and data analytics. These personalised plans are actually according to the health histories, lifestyle issues, and risk factors as per the customers budget and preferences.

Quick claim process

Quick claim process is another one of the major benefits of digital health insurance. It significantly reduces the time of claim processing and reimbursement with minimal paperwork. Most of the health insurance companies use automated systems for claim submission, verification and reimbursement process to ease and streamline the whole procedure.

Enhanced customer experience

Another benefit of digital health insurance is customers feel themself connected to the insurance provider. Most of the health insurance companies provide user friendly platforms, round the clock chatbots, and timely reminders of the policy renewals and benefits. This actually enhances the customer experience with user-friendly and hassle-free policy management.

Health and wellness programs

Health and wellness programs that come with health insurance policy is another major benefit of digital health insurance. Most of the digital health insurance plans come integrated with health and wellness programs. You may get fitness tracking, mental health counselling or preventive health care benefits that actually keeps the customer proactive towards health.

Challenges of digital health insurance

Everything has its pros and cons and so is digital health insurance. With so many benefits, there are certain challenges also. Check out some of the major challenges of digital health insurance.

• Privacy and data security - Maintaining privacy and ensuring data security is one of the major challenges of digital health insurance. Most of the health insurance companies are using robust cyber security measures to protect against data breach and misuse.
• Digital divide - Whether it is about digital literacy or lack of access to technology, the digital divide is another major challenge of digital health insurance. Talking particularly about the rural areas and older population, the digital divide is another major challenge. Health insurance companies should take steps and develop strategies to bridge the gap.
• Lack of digital literacy - Although the usage of mobile phones and internet has increased but there is still a gap in terms of digital literacy. With simplified user interfaces and basic digital literacy, this gap can be bridged easily.

Future of digital health insurance

The digital transformation of health insurance is poised to continue its growth trajectory, with several promising trends on horizon:

Artificial intelligence

From underwriting to pricing, and claim processing, artificial intelligence and its associated technologies are a boom. According to McKinsey, the method and approach of underwriting will be obsolete by 2030, as predicted. This means customers will have more personalised and streamlined insurance experience. The people who are going to be benefitted here are younger generations that come with digital-first experience. Most of the health insurance companies are already using AI to predict individual health risks, suggest preventive care measures, and adjust premiums as per health behaviour.

Telemedicine coverage

Telemedicine and virtual consultation is another major trend of digital health insurance. It is being predicted and expected that health insurance companies will expand their telemedicine coverage and virtual consultation  as one of the major benefits of policy holders. This will come as a major benefit especially when there are no emergencies.

Preventive health

Another trend in digital health insurance is preventive measures to stay healthy. Wellness programs integrated with digital health insurance will likely expand. With the trends, digital health insurance may offer more personalised experience with regular health checkups, mental health support, fitness tracking, and more usage of wearables. Health insurance industry experts predict that there could be up to 1 trillion connected devices by 2025. 

>>Read More: Data Privacy in Healthcare Apps: What Should You Know

In a nutshell!

Digital health insurance actually simplified the customer experience by helping them  to compare plans online, explore various coverage options, hassle-free  claim submissions and accessible healthcare services. And no doubt, this digital shift in the healthcare industry has made health insurance way more effective, affordable, accessible, efficient, and  user-friendly. 

Disclaimers:All plan features, benefits, coverage, and claims underwriting are subject to policy terms and conditions. Kindly refer to the brochure, sales prospectus, and policy documents carefully.