1、WORLD INSURTECH REPORT 2020 2 TABLE OF CONTENTS Preface 3 Executive summary 5 Evolution never stops 6 A multiple-challenge black swan 7 Uncertainty demands a focus on critical priorities 8 Customer-centric BigTechs earn customer trust 10 The stakes are high, how will insurers ante up? 11 Innovation

2、at warp speed 11 InsurTechs help to catalyze insurers crisis-mode digital transformation 12 As lines blur among insurers, competition intensifies 15 Increasing competition is whetting collaborative appetites 16 The golden mean between time, money, autonomy, and differentiation 18 A perennial capabil

3、ities dilemma: Should we build, buy, or collaborate? 21 Tomorrows industry frontrunners will adeptly synthesize innovative offerings 23 An evolving industry landscape requires fresh thinking and data-driven action 24 Partner with Capgemini 25 Methodology 27 Ask the Experts 28 Acknowledgments 31 Abou

4、t Us 33 World InsurTech Report 2020 Since 2018 when we launched the World InsurTech Report, our analysis and trend predictions have been sound. Industry change has been fast and furious. InsurTechs have morphed from new-age competitors to maturing collaborators. Tech giants and assorted challengers

5、are zealously venturing into insurance territories. Innovation and cultural awareness are at the top of everyones agenda. Like you, however, we had little inkling about the black swan novel coronavirus that would heighten awareness and significantly affect insurers performance measurements around cu

6、stomer engagement. As lockdowns and shelter- in-place conditions blanketed countries, BigTechs emerged as consumers shining CX north star - taking over our collective consciousness as trusted, crisis-ready purveyors of food, 24/7 entertainment, facemasks, hand sanitizer, and, in some cases, insuranc

7、e. The pandemic is forcing the industry to take an unvarnished look at how it communicates. Can agents work effectively from home? Are insurance processes resilient to unexpected changes? Do policyholders receive caring service? Is WOW-factor digital experience the way to keep todays time-strapped,

8、multi-tasking insureds engaged and loyal? Speaking of engagement, we are incredibly appreciative during this year like no other to have received seasoned insight from a highly engaged Executive Steering Committee made up of leaders from the United States, Europe, and Asia who represent insurance fir

9、ms, InsurTech organizations, the influencer community, technology providers, and VC investors. Committee members took time for one-on-one discussions that helped us to finalize report themes and frame hypotheses for validation, as they shared first-hand experiences and their market vision. Thank you

10、 for your invaluable support. In addition to Steering Committee conversations, our 2020 report team interviewed nearly 200 industry executives and heard incumbents say that fallout from COVID-19 was compelling them to fast-track digitalization. Meanwhile, InsurTechs said they appreciate insurers gro

11、wing demand for collaborative support, but it is pushing them to acknowledge the urgent need to scale. And, our trend antennae perked up when more than 60% of survey respondents said they are interested in working with BigTech firms. Hmmm What does it all mean? Within an open insurance ecosystem, bo

12、undaries between incumbent insurers, InsurTechs, BigTechs, and tech partners are blurring as participants work cooperatively to meet rapidly evolving customer expectations and to thrive as traditional business models become redundant. In previous editions of this report, we emphasized the importance

13、 of Inventive Insurer competencies. Today, they are essential across high-impact areas such as crisis-proofing processes and enhanced digital experience. Insurers across the globe will go into the upcoming strategic planning cycle faced with prioritization decisions that force them to weigh trade-of

14、fs among time, profits, autonomy, and differentiation. Nobody said it was going to be easy. The 2020 clarion call tells us that successful participants in the new insurance marketplace will open their minds and cultures to fresh thinking as they leverage scalable platforms to prepare for the unexpec

15、ted. Anirban Bose Financial Services Strategic Business Unit CEO World Insurance Report 2020 Executive Interviews, 2020. New customer acquisition 57% 61% Customer service and touchpoints Customer retention 50% 49% 29% 42% Insurance fi rms in April 2020 Insurance fi rms in July 2020 The takeaway? Ine

16、ffective customer engagement during a crisis may jeopardize policyholder loyalty and trust and adversely affect Net Promoter Scores. Insurance firms are focusing on their digitalization efforts to better engage with their customers and to improve their operational efficiency. Innovation is more impo

17、rtant to the industry than ever. Yet, we know that every carrier is under incredible cost pressure that impacts their regular business, not to mention todays low-interest-rate environment. The critical challenge before insurance firms is how to meet the needs of their customers and sales channels. P

18、aul Tyler, CMO, Nassau Financial Group 7 4 Question: How is the COVID-19 health crisis affecting your organizational KPIs within the following parameters? Rate on a scale of 1 to 7, where 1 = No impact at all, and 7 = Very high impact. The figure reflects ratings higher than 4. Challenges and opport

19、unities for InsurTechs Incumbents forced and sudden enthusiasm for fast-tracking digitalization efforts is translating into opportunities for InsurTech firms. However, InsurTechs face a time crunch to deliver up-to-the-minute solutions while managing the sudden demand to scale up all while working t

20、o retain investor trust. Overall, COVID-19 has underscored gaps around the technology, systems, products, and processes of both established insurers and InsurTech firms. As might be expected, the unpredictability of 2020 is prompting the industry to restructure products and processes to be resilient

21、 during future crises. With the impact of COVID-19, insurers need to refine their product pipeline and reprioritize their project roadmap as some projects that were not a priority before are critical post COVID-19. Also, insurers should react at the right speed to mitigate the challenges ahead. Fran

22、k Desvignes, Global Head of Open Innovation, AXA NEXT COVID-19 has accelerated a trend that already existed, making it mandatory for companies to evolve towards real digital business models requiring excellent customer experience. The adoption of digital and distance selling is going to pick up the

23、pace. Thomas Esclavard, Head of Beyond Insurance | Health Vertical Integration, AXA Seguros Todays global health crisis has amplified the need for incumbent insurers to accelerate digitization efforts and instill technology into processes to improve customer experience. Christophe Bourguignat, Co-fo

24、under, COO, ZELROS Uncertainty demands a focus on critical priorities What do customers expect, and how does it affect insurance industry participants? Real-time response - Policyholders expect fast service and responsiveness ranging from quick, hassle-free claims processing to immediate answers abo

25、ut coverage specifics. Delays or inaction erode confidence. Insurance-as-a-utility - Todays policyholders say they want time-flexible coverage options that allow them to pay only for that period of use. They also want to be rewarded for positive behaviors that can reduce the frequency and severity o

26、f claim incidents. Visionary industry players are exploring and offering pay-per-use products, such as on-demand or usage- based insurance. These traditionally have been the turf of P World Insurance Report 2020 Executive Interviews, 2020. Responding in real time Crisis-proof processes Insurance-as-

27、a-utility A caring partner Digital experience 87% 90% 70% 86% 94% 85% 91% 74% 79% 89% InsuranceInsurTech Customer expectations are evolving, and today they expect a BigTech- like experience. A ramification of unmet expectations is customer attrition. Policyholders will switch firms in search of conv

28、enience and better customer experience. Greg Tacchetti, CIO Capgemini Voice of the Customer Survey, 2016, 2018, 2020; Capgemini Research Institute, Consumer Behavior Survey, 2020. 2016 17%30%36%44% 20182020 JAN 2020 APR 6 CNBC, “Chinas giants from Alibaba to Tencent ramp up health tech efforts to ba

29、ttle coronavirus,” March 3, 2020. 7 Diginomica, “Is the COVID-19 pandemic Big Techs path to redemption and yours?” March 30, 2020. 8 TechCrunch, “Instagram launches its redesigned Shop, now powered by Facebook Pay,” July 16, 2020. Customers cant unsee their BigTech experiences Whether subliminal or

30、explicit, consumers superior BigTech experiences are affecting the insurance industry and every business in which success depends on consumer confidence. With robust digital expertise and a wealth of customer data, BigTechs set the tone for defining the CX north star. It should surprise no one, ther

31、efore, that policyholders willingness to purchase insurance from BigTech firms has significantly increased over the past few years. How do you interpret the data? Todays consumers expect made-to-order fries (CX) along with their burgers (products). And many are headed to a virtual BigTech drive-thro

32、ugh to get it their way. 10 World InsurTech Report 2020 The stakes are high, how will insurers ante up? Uncertainty has dealt a new hand to both incumbent insurers and InsurTechs. The industry executives we polled as part of the World InsurTech Report 2020 appeared laser-focused on their critical ne

33、w priorities. So, lets take a look at some of their resilience strategies. Incumbents are all in! Established insurers were confident in their ability to establish crisis-proof processes (nearly 80% of respondents) and in their efforts to be a caring partner Wearable reduces risk of COVID-19 transmi

34、ssion from patients to medical staff Polands largest insurer, PZU, sought to mitigate the spread of the COVID-19 virus from hospital patients to healthcare personnel. It developed Life Band a wearable, to allow staff to monitor patients pulse and blood oxygen levels remotely. The device also sends u

35、rgent alerts if a patients vital signs fall appreciably. Of 20 hospitals PZU contacted regarding potential implementation, 19 were interested in the immediate use of Life Bands. Source: Capgemini Financial Services Analysis, 2020, Efma Database, accessed July 2020. for policyholders (75%). However,

36、when it comes to real-time response, insurance-as-a-utility, and digital experience, insurance firms are not confident with their abilities. Innovation at warp speed Fast and furious digitalization and innovation have become the post-COVID-19 norm for incumbents. Around 60% of our survey respondents

37、 said that well before these last few months, they had launched in-house innovation teams. Around 30% of the insurers we polled said they had gone so far as to create a separate innovation fund or a digital spin- off. French multinational insurance firm AXA created startup studio Kamet as a developm

38、ental sandbox for innovative insurance and asset management firms. AXA aims to launch, incubate, and build high- potential entrepreneurial startups by supplying advice, methods, structures, and financing.10 Figure 5. Three out of four incumbents and InsurTechs believe their service is caring9 Source

39、: Capgemini Financial Services Analysis, 2020; World Insurance Report 2020 Executive Interviews, 2020. 82% 74% 79% 76% 68% 57% 75% 64% 79% 65% INSURERS INSURTECHS Responding in real time Crisis-proof processes Insurance-as-a-utility A caring partner Digital experience 11 9 Question: COVID-19 has sig

40、nificantly affected most businesses, including insurance. How effective have various players been in meeting customer expectations across the factors listed below? Rate on a scale of 17, where 1 = Not effective at all, and 7 = Highly effective. The figure reflects response ratings higher than 4. 10

41、AXA, “Innovation: Making a difference together,” accessed August 2020. InsurTechs help to catalyze insurers crisis-mode digital transformation The InsurTech landscape is vast. So in 2018, as part of our inaugural World InsurTech Report, we created a categorization methodology based on the strength o

42、f an InsurTech firms value proposition, impact on customers, effect on insurers top and bottom lines, ease of integration, scalability of their offering, and on the opportunity costs of not partnering with them. We found three overarching InsurTech categories: Enablers, Distributors, and Full Carrie

43、rs. AI-based platform helps policyholders make informed physician-selection decisions Singapore HealthTech startup DocDoc offers a virtual network of physicians and hospitals to help customers find quality medical care. Operating in eight countries with more than 23,000 in-network doctors, the firm

44、combines AI functionality, telemedicine, and digital third-party administrator services into a single platform. Business case: Healthcare costs across the globe are on the rise. And in Hong Kong, medical inflation is on track to increase more than 8% this year.11 During the COVID-19 crisis, the need

45、 to reduce healthcare costs and drive positive outcomes became particularly critical. Through a Hong Kong pilot program, DocDoc sought to quantify its ability to deliver superior CX while cost-effectively steering insureds healthcare decisions. Solution: DocDoc developed HOPE (Heuristic for Outcome,

46、 Price, and Experience), an AI-based platform to help policyholders make informed decisions. It works by collecting network doctor information over 500 data points to understand their unique expertise. The HOPE platform analyzes the data points to match patients with the best-suited physician based

47、on each individuals medical needs. Personalized HOPE recommendations help policyholders make quality- and-cost-based choices. DocDoc and a Hong Kong bancassurance provider tested the HOPE platform to quantify its effectiveness. Results: All recommended physicians scored higher than the median outcom

48、e and below the median fee structure. More than 85% of participants in the pilot test chose the doctors recommended by DocDoc, resulting in an average 39% reduction of overall medical costs. 72% of the policyholder participants said they were delighted by the experience and were willing to recommend

49、 it. Source: Capgemini Financial Services Analysis, 2020, World InsurTech Report 2020 Executive Interviews, 2020. Insurers need to change the way they interact with customers. In addition to being a claims/solutions provider, firms should offer policyholders a sense of well being. Eduardo Guedes, VP Technology and Operations, Seguros SURA InsurTech categories Enablers Enablers are InsurTechs that provide a software solution to incumbents. They are attractive partners for incumbents seeking to improve their technology capabilities and optimize thei