The region's biggest digital marketing event and peer meet & greet. Latest and future digital marketing innovations and trends from cross industry experts. Digital marketing impact on business performance. Influencing consumer behavior through digital marketing. #Outreach18
Telematics is eating the auto insurance business, are you ready?
Matteo Carbone Shares his view on "Innovation in Insurance"
Connected Insurance Observatory
1) Which innovations in the insurance sector do see becoming major industry disruptors?
I would like to focus the attention on InsurTech revolution is only going to gain momentum at international level. It’s unthinkable for an insurance player not to pose the question of how to evolve its own model by thinking which modules within their value chain should be transformed or reinvented via technology and data usage. All the company in this sector will be InsurTech, meaning organizations where technology will prevail as the key enabler for the achievement of strategic goals.
2) What are the key drivers for innovation in the insurance industry today?
We are in the infancy of this trend, we will see more investment but also the rationalization. We are talking about more than 1000 new initiatives - and only considering the startups - and $17B in the last years, based on the last Venture Scanner analysis. We can find fantastic teams and an exciting equity stories, but many business models appear to be not sustainable from an insurance perspective. We have not to forget the uniqueness of the insurance contract and its fundamentals.
3) From my point of view, the four drivers will characterize the successful InsurTech initiative are:
a) Profitability: Impact which an innovation may have on the level of profitability of the insurance portfolio, acting on the loss ratio level or on the cost level without an increase in volumes.
b) Proximity: Contribution for creating improved relationship that is based on numerous touchpoints during the customer journey. Bain’s international research reveals that the customer satisfaction (measured with the Net Promoter Score approach) of those clients that have interacted directly with the insurance company is markedly superior to those who have not. Obviously, there is a predictable relationship between satisfied clients and their economic effects.
c) Persistence: The reach of the new initiative in terms of renewal rate increase, and thus of stabilization of the insurance portfolio.
d) Productivity: Evaluation of the contribution that a certain InsurTech approach can have at the top-line insurance level in terms of new client acquisition, cross-selling or additional fee collection for services.
Those are my four Ps to evaluating an InsurTech initiative.
4) What latest insurance products do you see becoming popular in GCC in the near future?
I’m bold about connected insurance. I’m talking about any insurance value proposition based on the use of sensors for collecting and transmitting data on the status of an insured risk and the deployment of the capabilities to transform raw information into actionable knowledge along the insurance value chain. Connected insurance can be applied to many insurance business lines but the auto insurance use case is the more mature. I’m expecting to see start the adoption also in GCC.
5) How do you think this conference will benefit the attendees?
The conference will represent the concrete insurance innovations are happening at global level. I’m expecting the most relevant value will be the discussion about the insurance transformation from the speakers’ different perspectives.
To know more about the event, click on the link below:
Interested in this topic?
Asia Pacific Smart Cities Forum
The Asia Pacific Smart Cities Forum is a way of building a platform where overseas and local companies converge to explore new business opportunities and take the lead in the smart cities movement.
Operational Excellence in Insurance
The 5th Annual operational excellence conference is a must-attend event dedicated to enhancing digital operational excellence and overcoming the challenges surrounding digital transformation and the impact of technological development.
Regulation & Safety in Cosmetics
Over the past five years, the cosmetic industry has met with several legislative changes. Within the new legislative package, including the new REACH and CLP, it is important to find a comfortable routine that will minimize costs while staying effective and compliant with all regulations.
Smart Workspace Design Summit 2016
Have a look on the infographic about the Smart Workspace Design Summit 2016.
Post Show Report 3rd Annual Oil & Gas Forum
Post Show Report from 3rd Annual HR Oil & Gas Forum
How important is the color of a car?
Have you ever thought about how important the color of a car is for insurers and insurants?