Smartwatches and other wearable devices are poised to affect the life insurance industry, offering insurers more precise data on the mortality risks associated with their clients, according to a new research report. The study, conducted by reinsurance firm Munich Re and analytics company Klarity, suggests that the data gathered by these devices could revolutionize how insurance policies are priced.
This research used data from the UK Biobank, a long-term study that followed over 500,000 volunteers for more than a decade. The analysis of this data focused on metrics such as daily step counts, time spent inactive or engaging in vigorous activity, average heart rates, and sleep duration. The findings indicated that individuals who walked at least 7,000 steps each day faced a lower risk of mortality. Such insights have the potential to improve the accuracy of life insurance underwriting through a personalized assessment of risk.
