Chapter 10 The Use of Big Data in the Insurance Industry Innovations in China

Introduction: China released an action plan in 2015 to foster the growth of big data, demonstrating that big data development has become an essential and inescapable choice for stabilising growth, advancing reform, adapting structures, helping people’s livelihoods, and supporting government modernisation. The rudimentary ecology of the big data sector, combined with a favourable policy climate, creates ideal conditions for developing big data in China. The use of big data, on the other hand, has steadily shifted from a theory to reality, thanks to the explosive increase of data resources and the rise of specialised big data firms. Globally, the insurance industry is undergoing a technological revolution. The internet, mobile networks, social networks, cloud computing, and big data are all examples of digital technologies that progressively influence daily business operations and will usher in a golden era for the insurance industry. Purpose: This chapter aims to understand the use of big data in the insurance industry innovation and the challenges insurance companies face. This chapter will also offer insight into the big data strategies of insurance companies. Methodology: This chapter attempts to study literature reviews related to big data and examines the use of big data in the insurance industry. Also, different techniques associated with collecting big data and an assortment of big data sources are analysed in the context of the developing insurance industry. Findings: This chapter helps us understand how big data innovations are useful for the insurance industry. The present chapter helps us in understanding the challenges faced by insurance companies. This chapter will also offer insight into the big data strategies of insurance companies.