Concept: Swiss Re has partnered with Japanese data services provider JMDC to enhance risk calculation leveraging wearable data. The partnership can enable the creation of comprehensive reinsurance solutions based on wearable data. This data combines clinical factors with lifestyle factors such as exercise and sleep that can help to improve product propositions in the Japanese life and health market.

Nature of Disruption: The combination of Swiss Re’s risk knowledge and insights with JMDC’s large variety of data sources can enable Swiss Re and JMDC to co-develop a risk calculation model, a tool that allows faster and more precise underwriting and pricing. It also strengthens SwissRe’s Personal Resilience Suite (PRS). PRS is a modular, comprehensive, and risk management approach powered by Life Guide, Swiss Re’s underwriting manual. To measure and price risk, it considers both traditional and innovative clinical risk variables, as well as lifestyle factors. PRS enhances traditional underwriting by utilizing wearable devices and other lifestyle-based data, subject to compliance with relevant laws and regulations.

Outlook: The growing use of wearable devices in Japan presents an opportunity for insurers to play a bigger role in motivating consumers to live healthier lives. The partnership allows to leverage wearable data for developing a risk calculation model that enables better underwriting and pricing. JMDC has plans to expand data range and solution offerings and enhance data analytical capabilities to accelerate data utilization for the insurance industry.   

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