Proactive fintech: Using intelligent IoT to deliver positive insurtech feedback

Financial Technology (FinTech) employs technological advancements and sharing economy models to improve financing services. The emergence of the Internet-of-Things (IoT) has changed the way humans interact with the surrounding world. In this paper, we present a proactive FinTech model that uses the IoT intelligence to deliver positive InsurTech feedback. We propose an InsurTech system with three main components: the monitoring and feedback device, the fog analytics engine, and the cloud server. The driving analytics use sensor-recorded data to calculate in real time the driving scores based on current driving patterns and road conditions. The feedback device then communicates with drivers providing helpful feedbacks and potential rewards. Given assertive recommendations offered by a system, the rational-economic model suggests that humans usually respond positively to cost minimizations and rewards maximizations. We have used real user data collected by the MapBar Auto Guard devices deployed in China to show an example of how IoT supports the implementation of the positive feedback paradigm. We believe our proactive FinTech model that speaks of actual costs and potential benefits in real time will offer an attractive service value and customer satisfaction.