· FinTechs: Is it worth fighting them or better to join forces and collaborate?
It is useless to resist change, and FinTechs are changing the rules of the game. It doesn’t matter if the figures they develop today are negligible and if they will stay small for several years. We will be compared to them, and if we stand still, the gap will be perceived as larger every day. We have to collaborate with them or even turn ourselves, or at least a part of ourselves, into FinTechs. It is not only a matter of innovation and customer experience. They bring a new way of working – an agile methodology which is far from our procedure and attitude – and at least on this part, we still have to learn. We have chosen to join forces, and every year, we launch a call for ideas to find new partners #cardifcall4ideas16.
· What are the pros and cons of telematics? What about the use of telematics beyond motor insurance - for example, health insurance – do you think it can influence behaviours?
For traditional insurers, telematics is a challenge. I don’t see any incumbent massively introducing telematics in their core business and geography. It is still more a lab for small segments or areas or clusters of customers. Those who are driving the transformation on the other side understand that telematics are a great opportunity to make our business evolve – on one side, boosting the personalisation of offer, pricing and underwriting, and on the other, introducing value-added services which will be more and more important in the future. Health insurance will be the first clear example of how telematics could help to change the insurance value proposition towards prevention.
· Can you give us your personal prediction of what the insurance process will look like in a few decades, for example, 2050?
Is it likely we won’t see a specific insurance process any more, but rather the traditional steps will be totally automated and mixed into other industries’ processes. Probably we will have very small, flexible, personalised products on offer for purchase while going through other processes on instant marketing platforms. It will likely be the case for P&P and small health covers. In any case, we’ll be proactively addressing specific customers for specific needs with specific underwriting processes with adaptive offers that will follow the entire lifecycle. At least this is the market that, as a customer, I’d like to find in 2050.