THE TREND OF DIGITALIZATION IN THE INSURANCE MARKET IN THE PERIOD AFTER THE PANDEMIC CAUSED BY THE COVID-19 VIRUS

Abstract

Innovation is imperative in today's business. The market is extremely dynamic and turbulent, and
accordingly, business entities must constantly search for ways to meet the needs of increasingly demanding
consumers on the one hand, and on the other hand to survive on the market and achieve better business performance.
Innovation is the future of business. Today, it is unthinkable to do business without constantly researching new
opportunities for using existing resources, or without searching for new resources, or ways of working that will
make work easier for us and future generations. The implementation of innovations will lead to a better positioning
of the company on the market, greater satisfaction of users of products or services, but also to greater results in the
work of the company, greater satisfaction of users and finally to the achievement of better business performance.
They are an indispensable element for every economic branch. Innovative companies are successful companies.
Innovations affect productivity, financial performance and all other relevant variables. They are observed at the
micro level (enterprise level), but also at the macro level (at the national or global market level). Also, innovations
can have a significant impact on each economic branch individually. Innovations are most represented in sectors
such as robotics, electronics, biotechnology, and least in traditional sectors such as agriculture. It is important that
every branch of the economy, that is, every company, understands the importance of innovation as a factor of
competitive advantage. Only in this way can the effect of innovation be realized on the national market as well as
economic branches in the global environment. The insurance market has long operated on the edge of efficiency.
Insurance as an activity is extremely old, and during its period of existence, innovations have been implemented. For
a long time, the traditional way of doing business was represented. For this reason, we are not talking about radical
innovations, which would be worthy of attention. Minimal - incremental innovations were implemented, which
made insurance as an activity follow current trends, at least partially. The main imperative of insurance companies
has always been business security, given that they manage risk. The global financial crisis of 2008-2009. year, but
also the pandemic caused by the Covid-19 virus, influenced the insurance market to get out of its comfort zone and
start doing business with better results. We certainly see the greatest application of innovation in the fact that during
the state of emergency, work from home is enabled thanks to the application of information and communication
technologies, but also the increasing use of the Internet and smart devices. These and other internal and external
factors have caused the insurance sector to open its doors wide to innovation and creative individuals. The future
brings even more uncertainty but given that the insurance sector has finally woken up, it has better prospects for
further successful business.