Selected legal challenges of InsurTech on the example of robo-advisory

Abstract

The article aims to assess technological solutions introduced to the insurance market from a legal perspective. More precisely, the research aims to indicate whether the InsurTech phenomenon, based on the example of robo-advice, leads to the emergence of other threats to clients and, consequently, different legal challenges. All this raises questions about the adequacy of the current legal regulations. To resolve this question, the formal-dogmatic method as well as criticism and analysis of the literature were used. The analysis leads to the conclusion that technological innovations implemented in the insurance sector dramatically change the nature of the phenomenon in question when compared to the distribution of insurance carried out conventionally. Such a position must at least encourage the search for different interpretations of  the applicable regulations, in order to neutralize the newly created threats. The author notes and explains how selected obligations arising from Directive (EU) 2016/97 on insurance distribution (IDD Directive) and its implementation into Polish law (Act of 15 December 2017 on Insurance Distribution) should therefore be understood differently. The article’s topic is extremely relevant due to the rich development of the InsurTech phenomenon in today’s world. Every insurer introduces new solutions of this type into its enterprise, for example, to optimize business operations. Therefore, this is an unstoppable process and it is necessary to conduct research in this area.