A Day to Celebrate: Celent 2017 Model Insurer Winners

A Day to Celebrate:  Celent 2017 Model Insurer Winners

Last April 4, Boston, a city surrounded by history of patriotism and independence, was witness of Celent Innovation and Insight Day (I&I day), an event in which 16 insurers were recognized as Model Insurers for their technological initiatives that, I’m sure, inspired more 280 professionals of the Financial Service industry by the efforts and ideas on how other insurers could implement them within their organizations.

Andrew Rear, chief executive of Munich Re Digital Partners was the Model Insurer keynote speaker. He discussed the role of Insuretech for large insurers and spoke of how these insurers could acquire agility, the pathway that they needed to choose, and more importantly, the risks they had to bear. He also discussed how Financial Services were redefining the way financial products are sold, delivered, and serviced.

No sensible website asks you for your email address anymore. They should know who you are by other means

~Andrew Rear

 

In the afternoon, our analysts participated in a series of debates focusing on the Internet of Things (IoT); Artificial Intelligence (AI); and Blockchain which was lively discussion. In between, Celent presented its Model Insurers for five categories and the Model Insurer of the Year.

Digital and Omnichannel

  • CUNA Mutual Group

The rapid development and launch of a simplified-issue term life insurance product that enables members to apply entirely online, answering only two health questions supported by a completely automated underwriting platform that delivers an instant decision in minutes.

  • Lincoln Financial Group

Lincoln Financial created a digital process to meet customer expectations of doing business, automate underwriting, reduce cycle time, and minimize human touch.

  • New York Life

The New York Life Portal initiative utilized digital connectivity and a ratings engine cloud-based platform to achieve a faster process and empower various actors across the organization.

To learn more of these Model Insurers, please read our report here.

Legacy and Ecosystem Transformation

  • Republic Indemnity

Republic Indemnity’s previous home-grown, legacy policy administration system was implemented in 1994 as a single state, Workers Compensation policy administration system. As the previous system could not issue multi-state policies and with the concern of technology obsolesce, Republic Indemnity looked for a new solution to replace its home-grown, legacy system.

  • ERS

Under new management, the business had to transform itself rapidly and replace 20-year-old technology. It had a major license renewal date in two years and would have been locked in by the vendor to a prohibitively expensive contract. It set about transforming claims first, and then policy with full data migration and scheme rationalization, all while growing the underlying gross written premium

  • Insurance Corporation of British Columbia

At the beginning of 2013, the Insurance Corporation of British Columbia (ICBC) launched the Insurance Sales and Administration System (ISAS) policy transformation program. This was the last project in ICBC’s overall $400 million Transformation Program, which had already successfully replaced legacy claims systems and implemented a new Enterprise Data Warehouse and an enterprise service-oriented architecture.

To learn more of these Model Insurers, please read our report here.

Innovation and Emerging Technologies

  • Suramericana de Seguros S.A.- Wesura

Wesura (Sura) created a peer-to-peer Insurance platform around social networks. It develops private insurance communities so final users can share risk and underwrite people who wants to belong to the private community, the bigger the community the more benefits one can receive.

  • Church Mutual Insurance Company

Church Mutual Insurance Company has partnered with The Hartford Steam Boiler Inspection and Insurance Company (HSB), part of Munich Re, to provide temperature and water sensors connected to a 24/7 monitoring system. This innovative Internet of Things (IoT) technology solution is designed to alert customers to take action before damages and disruptions to their ministries can occur.

  • Markerstudy Insurance

Markerstudy launched VisionTrack in February 2016 to tackle the challenge insurers are facing with rising fraudulent motor claims and to help improve driver behavior.

To learn more of these Model Insurers, please read our report here.

Operational Excellence

  • Aflac

Aflac was in need of some modernizing and is still likely to undergo more change as the industry continues to capitalize on social, mobile, and wearables. In response, the Aflac IT Division implemented an Agile Transformation to its projects and processes to meet the changing needs of the customers.

  • Saxon

Saxon serves the Cayman island community. With a limited pool to hire from or sell product to, Saxon realized that to remain viable in the insurance market, it needed to employ technology to better serve the needs of its customers and grow the business.

  • MassMutual

MassMutual offers a Data Science Development Program (DSDP) in Amherst, MA that trains promising, recent graduates to become well-rounded data scientists over a period of three years. The program combines rigorous academic coursework and practical data science projects for MassMutual — a unique and valuable combination.

To learn more of these Model Insurers, please read our report here.

Data Analytics

  • The Savings Bank Life Insurance Company of Massachusetts

SBLI implemented an advanced risk assessment solution using predictive modeling and data analytics to help reduce cycle times, decrease dropout rates, and eliminate the need to pull fluids and conduct exams, while pricing policies more competitively, placing applicants into appropriate risk classes, and improving customer experience.

  • StarStone Specialty Insurance Company

The initiative is based on the implementation of analytics tools to measure and reduce risk. The solution uses data from internal and external sources. The data may be structured or unstructured. This tool helps underwriters make better decisions.

  • Meteo Protect

Although a broker, Meteo Protect gives clients a means to evaluate how climate variability contributes to their companies’ results by analyzing the relationship between each business activity and the weather. It couples this with a platform to price and underwrite fully customized index-based weather insurance, for any business anywhere in the world.

To learn more of these Model Insurers, please read our report here.

CSE, Model Insurer of the Year

In 2017, CSE has been awarded Model Insurer of the Year for its aspiration to achieve “the best product in the industry.” This meant they had to overcome legacy thinking and practices to re-think all the features including coverage, pricing, rules, process, and communications To do so, they sought inputs from customers and analyzed the market using two common analyses: 5 Cs and SWOT. From this point on, CSE assembled and adapted its core system.

To learn more of the Model Insurers of the Year, please read our report here.

The quality of the submissions this year is a clear indication the industry is turning a corner and embracing transformation, digital initiatives, innovation and valuing data analytics.  It is inspiring to see the positive results the insurers have achieved and a pleasure to recognize them as Model Insurers for their best practices in insurance technology.

How about your company? As you read this, are you thinking of an initiative in your company that should be recognized? We are always looking for good examples of the use of technology in insurance. Stay tuned for more information regarding 2018 Model Insurer nominations.

I Have a Vision, I Have a Project, I Have a Team

I Have a Vision, I Have a Project, I Have a Team

This year I was honored to coordinate the 11th Celent Model Insurer program.  The journey started in September 2016 when we opened the window to submissions and will not end until April 4 at our Innovation and Insight day at the State Room in Boston, Massachusetts where Celent will award and present the best Information Technologies (IT) initiatives in insurance.

This year we received around 100 nominations from carriers around the world, including those applying for Model Insurer Asia. These nominations are a vast sample of the best IT initiatives in insurance. Particularly for Model Insurer Award, we evaluated 60 cases from countries like:

As part of our methodology, we classify Initiatives within the following themes:

A Glance at Some Cases

As part of the team that judged the cases, I was amazed by the quality of cases we received and by the methodology that insurers are using to implement their projects. I’d say that this year, Celent has witnessed both technology and methodology is moving further and playing an important role in insurance. Here are some examples of our cases:

  • An insurer in an island had to face high operational costs, limited skilled people, and lack of space, and then it decided to move its whole IT department to the cloud.
  • We also evaluated cases in which the need for a quick change to go to market forced the organization to create a separate organization to lead the change and act as another insurer.
  • One insurer, in order to implement its best product, started all from ground up.It hired the right people, made organizational changes, and conducted several market research in order to understand what really its customers wanted. From that point on, the insurer started to customize its core system.
  • Not to mention that Latin America has implemented its first peer-to peer insurer.

All of them are very interesting cases that make it difficult to describe in a single blog.

By evaluating all these cases a question arose, what was in common among these projects? I think the answer is simple. People leading these projects had a vision. Sometimes the long path to pursue success becomes bumpy, but it’s worth it. These cases are examples of people who embarked on a project to pursue a vision by using technology and methodology.

Celent has always acted as a catalyst agent that promotes change and innovation by leading projects and exposing case studies to the insurance industry. This year we’ve seen how insurance companies have responded by using technology to adapt themselves to a more competitive environment, and as part of Celent, I’m thrilled to be part of this evolution.

Back to the Future

Back to the Future

A long time ago, before joining Celent, I was part of the insurance industry from the insurer side and my work was to look for ways to improve the company’s processes and innovate. I really liked the job because you had to come up with ideas and accept that you had restrictions, and sometimes you had to face the sad truth that the technology supporting your ideas wasn't available.

Now at Celent, I’ve witnessed a whole new world of possibilities because, as part of Celent, we are exposed to many, many successful cases implementing technology in insurance through research and events, especially in events like our Innovation & Insight day (I&I day). This year our I&I day takes place in Boston, Massachusetts on April 4, and Celent will award the best Information Technology (IT) initiatives in insurance.

That day, Celent will be presenting winners in 5 categories.

  • Digital and Omnichannel
  • Legacy and Ecosystem Transformation
  • Innovation and Emerging Technologies
  • Operational Excellence
  • Data Analytics

The Model Insurer Award is recognition of an insurer’s effective use of technology in a certain area or theme, not necessarily a statement that the insurer is absolutely best in class (although some may be). Model Insurer success highlights the insurer’s ability to improve performance and meet market demands when tackling issues that face all insurers today.

For instance, do the below examples sound familiar to you?

  • Under new management, the business had to transform itself rapidly and replace 20-year old technology. This insurer had a major license renewal date two years out and would have been locked in by the vendor to a prohibitively expensive contract.
  • An insurance company needed to create a digital process to meet customer expectations of doing business, automate underwriting, reduce cycle time and minimize human touch.
  • Another insurer utilized digital connectivity and ratings engine cloud-based platform to achieve a faster process and empower various actors across the organization.

I’m sure the examples above are the types of projects you’d like to implement at your company, but these are just a sample of the case studies we received. This year we received around 60 case studies applying for our Model Insurer Award. Of those, fifteen will be awarded Model Insurer and one will be the Model Insurer of the Year.

Personally, this year has been different. This year, I was amazed about the quality of cases we received and methodology that insurers are using to implement their projects, which made very difficult to deliberate. I’m not saying this is bad thing, on the contrary; it is a sign that the industry is on the move and it is using the best technology available.

I wish I had a time machine like in “Back to the Future” to go back to the days I worked for insurance companies, and tell my younger self: “you cannot miss this event; it will help you with your project.”

So, this is my advice. If you are part of the insurance industry and you are working in IT projects, this is the type of events you may want to attend to benchmark and learn about initiatives around the world that would help you define yours.

CES 2017: JUST HOW SMART IS AI GOING TO MAKE CONNECTED CARS AND CONNECTED HOMES?

CES 2017: JUST HOW SMART IS AI GOING TO MAKE CONNECTED CARS AND CONNECTED HOMES?
Walking the exhibit halls and attending sessions at the mammoth Consumer Electronics Show, it was easy to identify the dominant theme: AI-enabled Intelligent Personal Assistants (IPAs).
  • Manufacturers and suppliers of connected cars and homes are betting big on IPAs: overwhelmingly favoring Amazon Alexa.
  • Impressionistically, Google Assistant, Siri, Cortana and others trailed some distance behind.
Natural language commands, queries and responses provide a vastly more intuitive UX. And these capabilities in turn make owning and using a connected home or car much more attractive. But there is a deeper potential benefit for the connected car and connected home sellers: developing context-rich data and information about the connected home occupants and the connected car drivers and passengers. This data and information include:
  • Who is in the house, what rooms they occupy—or who is in the car, going to which destinations
  • And what they want to do or see or learn or buy or communicate at what times and locations
Mining this data will enable vendors to anticipate (and sometimes create) more demand for their goods and services. (In a sense, this is the third or fourth generation version of Google’s ad placement algorithms based on a person’s search queries.) Here’s what this means for home and auto insurers:
  • As the value propositions of connected cars and homes increase, so does the imperative for insurers to enter those ecosystems through alliances and standalone offers
  • The IPA-generated data may provide predictive value for pricing and underwriting
  • IPAs are a potential distribution channel (responding to queries and even anticipating the needs of very safety- and budget- conscious consumers)
A note on terminology: the concept of “Intelligent Personal Assistants” is fairly new and evolving quickly. Other related terms are conversational commerce, chatbots, voice control, among others.

Smartphones, Apps, and Other Stuff

Smartphones, Apps, and Other Stuff

In 1985 when I was a kid in school, one of my favorite TV shows was Robotech, also known as Macross in some regions. They had the technology (alien technology by the way) to transform fighter planes into mechanical robots (a bit like Transformers), however they did not have either cellphones or smartphones. Instead, they had mobile cabs that would travel around the city looking out for when to pick the person up. Not to mention, in some episodes, they even had some kind of Google glasses. It was all very cool stuff in 1985.

Fortunately for us all, today we have our own smart stuff in the form of a super computer in our pockets – being the smartphone. Many of us no longer need to run to a red box to make a call; and a long with smartphones we have data usage, internet, and apps.

The great challenge with smartphones for insurers, is how to engage with customers in this mobile world; that is, how to make apps attractive to them beyond the basic proposition of moving consumers to the mobile channel in order to lower the operating cost.

In insurance, availability of mobile apps varies by region and by country, so does functionality.  In most countries property and casualty insurers are taking the lead, especially to connect to auto insurance policy holders to provide them with a very array of self-servicing features through the app. In many countries, insurers need to work with the regulators hand in hand to find the best ways to boost financial inclusion and the use of insurance through digital channels.

In a recent Celent’s report, we found that at least 80% of P&C insurers in the United States, the United Kingdom, Spain, and Portugal offer apps to their clients"

In Latin America availability of consumer-focused apps in insurance grew from 21% in 2013 to 39% in 2016"

So we expect in the following years that Latin American insurers keep up other regions. Not to mention that Insurers are very interested in mobility and they plan to invest in this technology.  To learn more about this report, please click here.

Going back to my story, there were occasions where the main character couldn't be contacted because there were no mobile phones, only robots, and maybe the outcome of the story might have changed.  It was 1985 for a story created much earlier; more than 30 years ago, but now mobility, artificial intelligence, robotics, and analytics are a reality.

Technology is playing a very important role enabling insurers to engage customers, and as part of the insurance industry, we need to be aware of these advancements. If you are interested in insurance technology and want to know more of case studies around world, Celent will be awarding the best technological initiatives in our 2017 Innovation & Insight Day in Boston on April 4, 2017

Also, if you are or know of an insurance company which exhibits best practices in the use of technology, please click here and complete the nomination form. Submissions are being accepted until December 16, 2016.  Categories include:

  • Digital and Omnichannel
  • Legacy and Ecosystem Transformation
  • Innovation and Emerging Technologies
  • Operational Excellence
  • Data Analytics

For more information about the Model Insurer program click here, leave a comment, or email me directly at lchipana@celent.com. I’d be more than happy to talk with you. The Celent team and I are looking forward to hearing from you and meeting you in person at the 2017 Innovation & Insight Day.

Where is the innovation in Individual life and annuity?

Where is the innovation in Individual life and annuity?

I had the pleasure of attending an amazing event last week in Las Vegas. The InsureTech Connect event drew over 1,500 people, from insurers to vendor to investors. Given the unprecedented size of an inaugural event, I was very impressed with how well the event worked. The sessions were good, but for me, the opportunity to have individual meetings with key industry players was even better. Our own Oliver Wyman was the primary sponsor of the event.

As I cover individual and group products, plus health and have an experience in P&C, I personally got a lot out of the event. I did have one major observation which I think speaks of the individual life and annuity industry. While I did not do a scientific study, I would estimate that over 50% of the content was focused on P&C insurance. This is not particularly surprising as they have all the cool technology like drones. My estimate was that the group insurers and health insurers were about 45% of the content, with an emphasis on topics like wellness programs and direct to consumer exchanges.

If you did the math, this only leaves 5% of the content for individual life and annuity products and that may very well have been a stretch. There was one session on eliminating the health data gathering for underwriting, which was well done and well attended, but past that, not so much.

Some insurers are diversifying, into Group or Wealth management, but I would not characterize that as innovation.

So what is holding us back as an industry? There are many things, from risk aversion, to length of the application to the sheer amount of data required for underwriting. I could write pages and pages on the topic, which explains why the next blog post you read from me is likely going to discuss the report I am finishing on this exact topic.

The potential for disruption in the space is huge and the coveted Millennial buyer is looking for just such innovation. Let’s make it happen.

The 2017 Model Insurer Nominations Start Now

The 2017 Model Insurer Nominations Start Now

It’s been five months since we awarded Zurich with our top distinguished award, Model Insurer of the Year, during our Innovation & Insight Day (I&I Day) on April 13. I&I Day has been growing and gaining recognition since its inception over 10 years ago. Over last two years, more than 250 financial services professionals joined us in New York City at Carnegie Hall in 2015 and at The Museum of American Finance in 2016 to celebrate the Model Insurer winners.

From September 15, we will be accepting Model Insurer nominations. The window for new entries will close on November 30. We are looking forward to receiving your best IT initiatives. You may be announced as a Model Insurer at our I&I Day in 2017. The Model Insurer award program recognizes projects that essentially answer the question: What would it look like for an insurance company to do everything right with today’s technology? It awards insurance companies which have successfully implemented a technology project in five categories:

  • Data mastery and analytics.
  • Digital and omnichannel technology.
  • Innovation and emerging technologies.
  • Legacy transformation.
  • Operational excellence.

Some examples of initiatives that we awarded early this year are:

Model Insurer of the Year   

Zurich Insurance: Zurich developed Zurich Risk Panorama, an app that allows market-facing employees to navigate through Zurich’s large volumes of data, tools and capabilities in only a few clicks to offer customers a succinct overview of how to make their business more resilient. Zurich Risk Panorama provides dashboards that collate the knowledge, expertise and insights of Zurich experts via the data presented.

Data Mastery & Analytics

Asteron Life: Asteron Life created a new approach to underwriting audits called End-to-End Insights. It provides a portfolio level overview of risk management, creates the ability to identify trends, opportunities and pain points in real-time and identifies inefficiencies and inconsistencies in the underwriting process. 

Celina Insurance Group: Celina wanted to appoint agents in underdeveloped areas. To find areas with the highest potential for success, they created an analytics based agency prospecting tool. Using machine learning, multiple models were developed that scored over 4,000 zip codes to identify the best locations.

Farm Bureau Financial Services: FBFS decoupled its infrastructure by replacing point to point integration patterns with hub and spoke architecture. They utilized the ACORD Reference Architecture Data Model and developed near real time event-based messages.

Digital and Omnichannel

Sagicor Life Inc.: Sagicor designed and developed Accelewriting® , an eApp integrated with a rules engine; which uses analytic tools and databases to provide a final underwriting decision within one to two minutes on average for simplified issue products.

Gore Mutual Insurance Company: Gore created uBiz, the first complete ecommerce commercial insurance platform in Canada by leveraging a host of technology advancements to simplify the buying experience of small business customers.

Innovation and Emerging Technologies

Desjardins General Insurance Group: Ajusto, a smart phone mobile app for telematics auto insurance, was launched by Desjardins in March 2015. Driving is scored based on four criteria. The cumulative score can be converted into savings on the auto insurance premium at renewal.

John Hancock Financial Services: John Hancock developed the John Hancock Vitality solution. As part of the program, John Hancock Vitality members receive personalized health goals. The healthier their lifestyle, the more points they can accumulate to earn valuable rewards and discounts from leading retailers. Additionally, they can save as much as much as 15 percent off their annual premium.

Promutuel Assurance: Promutuel Insurance created a new change management strategy and built a global e-learning application, Campus, which uses a web-based approach that leverages self-service capabilities and gamificaton to make training easier, quicker, less costly and more convenient.

Legacy Transformation

GuideOne Insurance: GuideOne undertook a transformation project to reverse declines in its personal lines business. They launched new premier auto, standard auto, and non-standard auto products, as well as home, renter and umbrella products on a new policy administration system and a new agent portal.

Westchester, a Chubb Company: Chubb Solutions Fast Track™, a robust and flexible solution covering core business functionality, was built to support Chubb’s microbusiness unit’s core mission of establishing a “Producer First,” low-touch mindset through speed, accessibility, value, ease-of-use and relationships.

Teachers Life: Teachers Life has achieved a seamless, end-to-end online process for application, underwriting, policy issue and delivery for a variety of life products. Policyholders with a healthy lifestyle and basic financial needs can get coverage fast, in the privacy of their own homes, and pay premiums online in as little as 15 minutes.

Operational Excellence

Markerstudy Group: Markerstudy implemented the M-Powered IT Transformation Program which created an eco-system of best in class monitoring and infrastructure visualization tools to accelerate cross-functional collaboration and remove key-man dependencies.

Guarantee Insurance Company: In order to focus on their core competency of underwriting and managing a large book of workers compensation business, Guarantee Insurance outsourced its entire IT infrastructure.

Pacific Specialty Insurance Company: Complying with their vision is to become a virtual carrier, meaning all critical business applications will be housed in a cloud-based infrastructure, PSIC implemented their core systems in a cloud while upgrading infrastructure to accommodate growth in bandwidth demands.

If you have completed a project during the last two years that you feel is a role model for the industry, don’t hesitate to send us your initiative here. You may be the next Model Insurer of the year.

For more information about the Model Insurer program click here, leave a comment, or email me directly at lchipana@celent.com. I’d be more than happy to talk with you. The Celent team and I are looking forward to hearing from you and meeting you in person at the 2017 Innovation & Insight Day.

See you there!

Reporting from Celent’s Model Insurer Asia Summit

Reporting from Celent’s Model Insurer Asia Summit

If 2015 was the year of FinTech, 2016 will surely be the year that InsurTech comes into its own. Celent has been presenting our views on InsurTech and emerging technologies at insurance conferences throughout Asia for some time now, so naturally we see this as a welcome—and inevitable—development.

We held our 7th Annual Model Insurer Asia Awards event in Singapore last month, with presentations focusing on InsurTech and digital financial services. Celent Research Director Karlyn Carnahan set the tone with a keynote presentation on the challenges facing insurers as customers are increasingly seeking real-time, digital interactions tailored to their personal needs and channel preferences. Karlyn outlined the steps to becoming a digital insurer and provided many insights on how insurers can embrace the digital paradigm. In the afternoon session, Karlyn also led a peer-to-peer discussion on how insurers in Asia are responding to these significant changes in the digital landscape.

We were delighted to have GoBear, one of the stars of Asia InsurTech, on the program. GoBear is an online financial services aggregator with a decidedly digital offering that is expanding at a remarkably fast pace throughout Southeast Asia. In his keynote presentation, GoBear’s CEO Andre Hesselink discussed how his firm developed their product with the goal of better serving consumers while at the same time satisfying the business needs of their suppliers, the insurance carriers. Quite the balancing act I am sure.

Celent Analyst KyongSun Kong presented the results of Celent’s annual Asia Insurance CIO survey, revealing that nearly 80% of insurers surveyed are engaged in digital transformation initiatives.

Finally, we came to the heart of the event: the Model Insurer Asia Awards themselves. This year we celebrated best-practice technology initiatives at 14 insurers, including ICICI Lombard General Insurance, Taikang Insurance, multinationals Aegon and MetLife, and online insurance innovator DirectAsia, among many others. All winning initiatives are profiled in our report Celent Model Insurer Asia 2016: Case Studies of Effective Technology Use in Insurance.

A golden day for insurance: Celent 2016 Model Insurer winners

A golden day for insurance: Celent 2016 Model Insurer winners

In the historic Museum of American Finance, surrounded by golden exhibits including gold bars, a gold Monopoly game and even a gold toilet(!), the 2016 Celent Model Insurers were announced yesterday.  Part of our annual Innovation and Insight Day, we had over 150 insurance professionals in attendance (and over 300 in total), it was a great day for networking, idea sharing, learning about award winning initiatives and hearing inspiring speakers talk about the future of financial services. 

Yaron Ben-Zvi, CEO and co-founder of Haven Life, was the Model Insurer key note speaker. He discussed how Haven is using technology to reach a younger, digital-savvy customer with a life insurance experience that meets their expectations. He spoke about the journey from ideation to reality for their term insurance products which can be purchased online in only 20 minutes. He encouraged the audience to “think big but start small” and to apply the learnings along the way.

The Haven Life presentation was followed by the main event, the announcement of the 2016 Model Insurer winners. Every year, Celent recognizes the effective use of technology projects in five categories across multiple business functions.  We produced our annual Model Insurer Case Study report which clients may download here.  This year there were fifteen insurers recognized including Zurich Insurance, the Model Insurer of the Year.  Here are the winners: 

Model Insurer of the Year   

Zurich Insurance: Zurich developed Zurich Risk Panorama, an app that allows market-facing employees to navigate through Zurich’s large volumes of data, tools and capabilities in only a few clicks to offer customers a succinct overview of how to make their business more resilient. Zurich Risk Panorama provides dashboards that collate the knowledge, expertise and insights of Zurich experts via the data presented.

Data Mastery & Analytics

Asteron Life: Asteron Life created a new approach to underwriting audits called End-to-End Insights. It provides a portfolio level overview of risk management, creates the ability to identify trends, opportunities and pain points in real-time and identifies inefficiencies and inconsistencies in the underwriting process. 

Celina Insurance Group: Celina wanted to appoint agents in underdeveloped areas. To find areas with the highest potential for success, they created an analytics based agency prospecting tool. Using machine learning, multiple models were developed that scored over 4,000 zip codes to identify the best locations.

Farm Bureau Financial Services: FBFS decoupled its infrastructure by replacing point to point integration patterns with hub and spoke architecture. They utilized the ACORD Reference Architecture Data Model and developed near real time event-based messages.

Innovation and Emerging Technologies

Desjardins General Insurance Group: Ajusto, a smart phone mobile app for telematics auto insurance, was launched by Desjardins in March 2015. Driving is scored based on four criteria. The cumulative score can be converted into savings on the auto insurance premium at renewal.

John Hancock Financial Services: John Hancock developed the John Hancock Vitality solution. As part of the program, John Hancock Vitality members receive personalized health goals. The healthier their lifestyle, the more points they can accumulate to earn valuable rewards and discounts from leading retailers. Additionally, they can save as much as much as 15 percent off their annual premium.

Promutuel Assurance: Promutuel Insurance created a new change management strategy and built a global e-learning application, Campus, which uses a web-based approach that leverages self-service capabilities and gamificaton to make training easier, quicker, less costly and more convenient.

Digital and Omnichannel

Sagicor Life Inc.: Sagicor designed and developed Accelewriting® , an eApp integrated with a rules engine; which uses analytic tools and databases to provide a final underwriting decision within one to two minutes on average for simplified issue products.

Gore Mutual Insurance Company: Gore created uBiz, the first complete ecommerce commercial insurance platform in Canada by leveraging a host of technology advancements to simplify the buying experience of small business customers.

Operational Excellence

Markerstudy Group: Markerstudy implemented the M-Powered IT Transformation Program which created an eco-system of best in class monitoring and infrastructure visualization tools to accelerate cross-functional collaboration and remove key-man dependencies.

Guarantee Insurance Company: In order to focus on their core competency of underwriting and managing a large book of workers compensation business, Guarantee Insurance outsourced its entire IT infrastructure.

Pacific Specialty Insurance Company: Complying with their vision is to become a virtual carrier, meaning all critical business applications will be housed in a cloud-based infrastructure, PSIC implemented their core systems in a cloud while upgrading infrastructure to accommodate growth in bandwidth demands.

Legacy Transformation

GuideOne Insurance: GuideOne undertook a transformation project to reverse declines in its personal lines business. They launched new premier auto, standard auto, and non-standard auto products, as well as home, renter and umbrella products on a new policy administration system and a new agent portal.

Westchester, a Chubb Company: Chubb Solutions Fast Track™, a robust and flexible solution covering core business functionality, was built to support Chubb’s microbusiness unit’s core mission of establishing a “Producer First,” low-touch mindset through speed, accessibility, value, ease-of-use and relationships.

Teachers Life: Teachers Life has achieved a seamless, end-to-end online process for application, underwriting, policy issue and delivery for a variety of life products. Policyholders with a healthy lifestyle and basic financial needs can get coverage fast, in the privacy of their own homes, and pay premiums online in as little as 15 minutes.

The quality of the submissions this year is a clear indication the industry is turning a corner and embracing transformation, digital initiatives, innovation and valuing data analytics.  It is inspiring to see the positive results the insurers have achieved and a pleasure to recognize them as Model Insurers for their best practices in insurance technology.

How about your company? As you read this, are you thinking of an initiative in your company that should be recognized? We are always looking for good examples of the use of technology in insurance. Stay tuned for more information regarding 2017 Model Insurer nominations.  

 

Young, broke, and no credit: Financial services reborn

Young, broke, and no credit: Financial services reborn

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You are young, broke, and don’t have any credit. You also don’t have many bright prospects since you have never been independent and you don’t even have a bank. Sound like most 20 year olds? It certainly might. However, I’m talking about The United States of America in 1790. When our nation began we were in a tough spot and did not have very many prospects. Luckily, Alexander Hamilton, supported by George Washington and other leaders, had the vision to build what we now recognize as our modern financial system.

What does this have to do with today? At Celent, we are convinced that a confluence of forces places Financial Services at another crossroads. Customer expectations and digital technologies are combining to compel a transformation across the industry. We expect this will play out as a rebirth of financial services, one that will combine the DNA of our past with digital processes to create a new industry, related to the one we know now, but not the same.

Drawing inspiration from the past is the theme of this year’s Celent Innovation & Insight Day #celentiandi. We look forward to hosting over 350 financial services professionals at the Museum of American Finance in New York City on Wednesday. We will use this unique location to take the best lessons learned from the past and apply them to the opportunities of the future.

Our agenda includes keynotes from a global venture capital leader, Nadeem Shaikh of the Anthemis Group, the CEO of an insurance blockchain start up, Leanne Kemp of Everledger, and, of course, the recognition of our 2016 Model Bank and Model Insurer award winners. You can find all of the details here.

This year, we are introducing a new feature, an interactive emerging technology expo area that we call the Geek Playpen. Attendees will have the opportunity to touch, feel, and experience items like virtual reality goggles, drones, and onmichannel digital platforms. There will even be an example of using location-aware mobile devices to assist in the evacuation of buildings. We thank our inaugural Geek Playpen sponsors Cognizant, Mindtree and Relay IT for their participation.

Safe travels to all joining us and we’ll see you soon!