Innovation and Pricing of Commercial Health Insurance in the New Technology Era

Abstract

This study investigates the innovation pathways and product pricing strategies of commercial health insurance in the era of new technologies. Drawing upon recent developments in InsurTech—including artificial intelligence (AI), the Internet of Things(IoT), blockchain, and big data analytics—we analyze how these technologies reshape underwriting, risk management, and actuarial pricing models. The research employs a theoretical framework rooted in information economics and applies generalized linear models (GLMs) alongside machine learning approaches to demonstrate how technology-driven data sources, such as wearable devices and real-time health monitoring, enhance pricing precision and risk stratification. Empirical illustrations highlight global cases including wellness-linked insurance programs, telemedicine-integrated policies,blockchain-enabled claims, and China’s inclusive Huiminbao schemes. Findings suggest that new technologies improve efficiency, reduce information asymmetry, and foster product innovation, while simultaneously raising challenges of data privacy, algorithmic fairness, and market sustainability. The paper concludes that successful integration of advanced technologies into health insurance requires balancing actuarial accuracy with equity considerations, robust regulatory frameworks, and consumer trust. These insights contribute to the broader discourse on how digital transformation can strengthen health insurance systems and promote public health outcomes worldwide.