John Hancock, one of the oldest and largest North American life insurers, will stop underwriting traditional life insurance and instead sell only interactive policies that track fitness and health data through wearable devices and smartphones…
In case you haven’t heard of “interactive life insurance” before, it’s a new policy type that’s already prolific in Britain and South Africa with inroads now being made into the US.
The policies are sold as a theoretical “win-win” with policy holders incentivised to be healthier and fitter by monitoring their exercise & habits whilst the issuers pay less in claims should you live longer.
The realities and fear of the policy type is that the reported data allows insurance companies to potentially pick and choose whom they offer policies to even further, whilst raising premiums for those not adhering to potentially mandated reported data.
Source: Strap on the Fitbit: John Hancock to sell only interactive life insurance