EFMA–ACCENTURE INNOVATION

IN INSURANCE AWARDS 2018

TRANSFORMING
INTO LIVING
INSURERS

1 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

 The winners and nominees in the third annual
Efma-Accenture Innovation in Insurance Awards
show how leading insurance organizations—
innovative incumbent carriers and disruptive
insurtechs alike—are reinventing themselves as
‘living businesses’ striving to deliver hyper-relevant
services, products and solutions to their customers.

These organizations are using digital Insurance as a living business provides

technologies—from artificial intelligence
(AI) to the Internet of Things, advanced
video analytics, API architecture and an
increasing array of partnership models—to
become part of their customers’ everyday
lives. They are experts at change and
evolution, rapidly reshaping themselves
to keep pace with changing customer
expectations and ever-faster cycles of
technology-driven disruption.
a framework for insurers to address the
evolution of risk, bolster value-added
services, generate new sustainable
revenue streams, and give new markets
access to their services in trustworthy,
highly relevant ways. The time to look to
this model is now, when digital disruption
is putting the traditional business model
under pressure and simultaneously
creating exciting new opportunities.

Insurers that are living businesses show a

deep and constantly growing understanding
of their customers, and a corresponding
commitment to understanding the
evolution of risk. They deliver meaningful,
personalized propositions at the times
that matter. They recognize the potency of
ecosystems. And they have the energy to
keep pace with their customers, no matter
how their needs evolve.

Transformation to a living business

TARGETING DESIGNING BUILDING AND CONNECTING SUSTAINING

the desired living services ITERATING to diverse a fluid
value roadmap intelligent platforms ecosystems organization

2 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

The awards this year focus on eight trends paving the
way towards insurance as a living business:

1. Next-Generation 5. Frictionless Open

Underwriting Insurance

2. Data Veracity 6. Insurtech-Incumbent

Partnerships

3. Open-Eyes 7. Intelligent
Insurance Services

4. Internet of 8. T
 he Augmented
Thinking Insurer

The companies that we highlight to illustrate these eight trends are among the industry
leaders blazing a trail, leveraging new technology to capitalize on exciting new
opportunities, driving revenue growth, and ensuring their significance in a fast-changing
world. Becoming a living insurer is a daunting challenge, but there is little doubt that the
future of insurance will belong to those companies that make this shift.

EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 3

 NEXT-
GENERATION
UNDERWRITING
In an increasingly complex insurance industry, carriers need to
become efficient technology- and data-driven digital underwriters.
This year’s awards nominees are using next-generation underwriting
solutions and models to cater for rapidly evolving customer
expectations, products, competitors and distribution channels.

Humania Assurance (Canada) Max Life says multiple studies show that the
added value of screening through additional
Humania Assurance, supported by
medical tests is debatable, whereas the
Survitech, a fintech company the group
body mass index and the health declaration
owns, has developed a business rule engine
from an insurance physician or medical
(BRE) to automate the complex decision-
underwriter have strong correlations with
making processes that power an online life
mortality outcomes. Thus, the new approach
insurance purchasing platform. Its HuGO
speeds up applications without increasing
web platform uses predictive analytics to
risks for the insurer.
issue personalized life insurance instantly,
based on the risk profile of customers in
perfect health or at moderate risk.
Victor (US)
Victor in 2017 created Alternus, a retail
HuGO issues decisions in 15 to 45 minutes property insurance solution backed by
for more than 60 percent of applications, alternative capital. An underwriting team
when it used to take 30 days to issue a from Victor, along with property brokers
policy. Since the launch in 2016, close to at Marsh, collaborated with Allianz Risk
1,500 independent brokers across Canada Transfer and asset manager Nephila Capital
have opted to use HuGO. By February 15, to develop and launch this new capability.
2018, more than 6,400 transactions had
been performed, representing a capital total The innovation lies in providing risk
insured of more than $2.6 billion. managers with greater diversification in
the capital that supports their insurance
Max Life (India) programs. In addition to providing risk
managers with 10 percent property capacity
Max Life is doing away with traditional
on eligible accounts, Alternus also provides
medical examinations and tests for its life
a pricing discount from alternative capacity
insurance policies and enabling customers
providers that is passed on to the insured.
to consult a physician via telemedicine.
Risk managers benefit from greater stability,
This removes one of the major bottlenecks
predictability, control, and financial benefits.
people in India faced in accessing life
insurance and speeds up the time it takes to
issue a new policy.

4 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

DATA
VERACITY
As insurance organizations push towards automated, data-driven
decision-making, the integrity and quality of their data becomes
critical. Many insurance organizations are making extensive
investments in ensuring they have reliable, accurate, timely data
that gives them a competitive edge and limits their risk of making
decisions based on poor information – these EFMA nominees
show how.

AXA Group Legal & General (UK)

With its GiveDataBack, AXA is offering
consumers access to much of its claims and
policy data so they can determine the risk
of water damage and theft at their homes.
The facility consolidates insurance data
drawn from Germany, Belgium, Spain, UK,
Italy, Switzerland and France. By entering
an address on the GiveDataBack website,
consumers can find out the probability,
likely frequency, most common months and
average cost of theft or water damage at
that location. In this way, data veracity is
enabling a new approach to risk prevention
and consumer confidence.
Pitney Bowes (US)
Pitney Bowes has developed a new software
application called Property Evaluator that
is designed to make underwriters more
productive. It does this by consolidating
nearly 100 data points about a property into
a single view. Property Evaluator analyzes
the data and alerts the underwriter to any
areas that require closer inspection. This
increases productivity and reduces errors in
the underwriting process.
While underwriters already have a wealth of
data available to them, it is often scattered
across multiple databases and source
systems. To have a comprehensive view of
a property, therefore, underwriters must
frequently combine data from a dozen or
more applications. Property Evaluator aims
to change this.
Legal & General has developed a
SmartQuote engine that uses 170 data
sources to automatically calculate a price
and underwrite a home insurance policy.
Customers no longer need to answer 30-
plus questions covering the type of locks or
roof tiles they have—they can get a quote
in less than 90 seconds with just five simple
questions. The hardest question a customer
must answer is “How many claims have you
made in the last five years?”
RGA (US)
Reinsurance Group of America (RGA)
has developed TransUnion TrueRisk Life,
a credit-based life insurance score that
uses behavioral attributes reflected in a
consumer’s credit report to better determine
an applicant’s risk profile and accelerate
the underwriting process. This removes the
need for time-consuming medical tests,
simplifies risk assessment and improves the
customer experience.
TrueRisk Life is highly predictive of mortality
and the likelihood the applicant will keep the
policy in force. The solution was validated
against 92 million population lives and to
date has been studied on more than 15
million insured lives. It provides a new,
previously untapped view of an applicant’s
true risk.
EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 5
 OPEN-EYES
INSURANCE
From video analytics to augmented reality to videoconferencing,
video and images offer insurance carriers powerful new ways to
address customer needs and optimize business processes. Several
nominees for the 2018 Efma-Accenture Innovation in Insurance
Awards have opened their eyes to the potential of video for customer
engagement and workforce productivity.

Zurich (UK) The platform allows insurers, third-party

adjusters and repair shops to see and
Zurich in the UK has developed FaceQuote
share claims information remotely. This
as a tool for engaging customers and
technology has the potential to improve
prospects about life insurance. Users are
customer satisfaction, reduce overhead,
invited to take a picture of themselves, and
decrease fraud, increase adjuster efficiency
then facial recognition technology estimates
and reduce repair times. An entire
their age. Based on this estimate, the app
assessment process can be completed
calculates how much a 10-year £100,000 life
without the adjuster ever leaving the office.
insurance policy would cost a non-smoker in
good health. The tool is meant to challenge
the idea that life insurance is complex and
Mapfre (Spain)
expensive by providing a quote in just Mapfre’s solution for digital supervision
three clicks. of property repairs allows repairers and
supervisors to make immediate repair
SightCall (US) decisions over a video call. A technician
can immediately connect with a supervisor
SightCall—the developer of a video cloud
or specialist for assistance when he or she
platform that enables augmented-reality-
needs assistance in resolving a complex
powered video assistance—enables insurers
repair. The goal is to speed up repair
to replace onsite field adjuster visits with
times and avoid the need for repairers and
video assessments. Insured individuals share
supervisors to make multiple visits to a
their mobile camera and the adjuster can
customer’s site. The platform is based on
control the live video feed, take photos,
SightCall’s technology.
pause the video, highlight and annotate
key items onscreen, save images to the
customer’s claim, take signatures, and file
claims documentation.

6 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

INTERNET OF
THINKING
Robotics, immersive reality, AI, and connected devices are bringing
a new level of technological sophistication to the physical world.
Several of this year’s award nominees highlight the potential returns
insurers can reap by embracing connected sensors and devices
to gather data about their customers and the risks they face,
personalize real-time services, and help customers to mitigate or
even avoid risks.

Tokio Marine & Nichido Fire (Japan)
Tokio Marine & Nichido Fire (TMNF) wants
to be there for customers when they are
involved in an auto accident. The insurance
carrier also hopes to leverage AI and the
Internet of Things to help its customers
reduce their risks of being in an accident in
the first place.
time, many are reluctant to share their
journey information with insurers and
other parties in real time.
To address this challenge, Caser has
collaborated with a Spanish product
design startup to create a new device that
geolocates the motorcyclist only at the time
of an accident.

To these ends, TMNF has developed a
device for auto insurance customers that
features two cameras, GPS, G-Sensor and
a 4G wireless connection. The unit records
video as the customer drives, providing
evidence if an accident occurs. It also warns
customers when they are approaching high
accident zones identified by AI from driving
records, time and weather.
The system gives drivers feedback about
how safely they drove after each trip and
sends TMNF a detailed monthly report about
the customer’s driving habits. Should the
customer be involved in an accident, he or
she can notify TMNF with a push of a button.
The customer’s information, location, and
recorded video are transmitted to TMNF
automatically.
Caser Seguros (Spain)
One of motorcyclists’ biggest fears is
getting stranded without help after an
accident while on a solo trip. At the same
The hope is that the technology will address
customers’ privacy concerns, while ensuring
that they can get prompt and potentially
life-saving assistance in the event of
an accident.
Allianz (France)
Allianz has partnered with technology
startup Monixo to develop a solution
that uses the Industrial Internet of
Things and machine learning to optimize
maintenance of industrial assets. The tool
enables organizations to monitor and
analyze industrial equipment in real time
to predict when a machine will break.
Allianz aims to help industrial customers
reduce the frequency and the intensity
of machine breakages and the related
business interruptions. The solution also
reduces maintenance costs by eliminating
unnecessary inspections and work.

EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 7

 FRICTIONLESS
OPEN
INSURANCE
Insurance carriers’ future competitive advantage will be determined not by
their internal strengths alone, but also by their ability to use open application
programming interfaces (APIs), digital platforms, and partnerships with other
organizations to extend their reach and create compelling living services.
These three award nominees provide examples of how insurers can use
digital technology to access massive pools of new customers, remove
friction from relationships with their customers and ecosystem partners, and
create powerful new experiences for consumers and commercial customers.

La Parisienne Assurances (France) to launch a white label health product called

With its insurance product as a service
(IPaaS), La Parisienne Assurances built a
technology platform to enable companies to
easily bundle insurance with the goods and
services they supply. The platform, which
incorporates a portal for public APIs and a
private blockchain facility, allows product
and service providers to build and customize
reliable insurance offerings that support
their offerings. Having built an effective
and frictionless open insurance model, La
Parisienne has achieved, in less than two
years, the complete rotation of its business
model and a very high growth rate.
Nib (New Zealand)
Done. Fairfax markets Done through its
media platforms, and nib manages sales,
service and claims for Done customers.
Done was successfully launched in mid-
December 2017.
MicroEnsure (UK)
MicroEnsure builds simple microinsurance
products that address the risks faced by
tens of millions of people in Africa and Asia,
with the aim of preventing families sliding
into poverty following an accident, death or
health emergency. The company distributes
its products through network operators,
microfinance institutions, mobile money
companies and commercial banks.

Most health insurance policies in New
Zealand are sold through intermediaries
or obtained through an employer’s group
scheme. nib launched a direct-to-consumer
product in 2013, with the goal of disrupting
the status quo and making health insurance
accessible to the 75 percent of New
Zealanders who don’t have cover.
MicroEnsure’s technology platforms, and its
enrolment, policy administration and claims
infrastructure, are designed to handle real-
time data processing for millions of policies
a day. Its MicroEnsure Global Product
Platform can be fully integrated into a
partner’s infrastructure to facilitate delivery
of the product and claims processing.

The carrier has also forged white label
partnerships with organizations such as
Warehouse Money and the AA, which sell its
product branded under their names. It also
recently partnered with Fairfax Media—one
of New Zealand’s largest media companies—
8 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018
By the end of 2017, MicroEnsure was
covering over 25 million customers, with
more than 64 million people having enrolled
for its product over the prior five years.
Eighty-five percent of these customers had
never had insurance before and are part of
the underserved mass market in rural Africa
and Asia.
 FRICTIONLESS
OPEN
INSURANCE
continued

TAL (Australia)
Market research shows that more than 45
percent of Australia’s working population
want the convenience and ease of access
that comes with a digital experience rather
than having to go through a financial
advisor. However, they don’t want to
sacrifice their desire for a bespoke,
personalized product to achieve that.
To address this market, TAL created TAL
Cover Builder, an online life insurance
quoting tool that enables people to
purchase bespoke life insurance without a
financial advisor. Consumers can play with
options and tailor their cover to their needs.

9 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

INSURTECH-
INCUMBENT
PARTNERSHIPS
With increasing pressure to evolve and reinvent themselves in the
face of rising competition and heightened consumer expectations,
insurers are embracing relationships with insurtechs as a means of
accessing new technologies, testing creative business models and
driving innovation. These three nominees for the Efma-Accenture
Innovation in Insurance Awards demonstrate how incumbent-
insurtech relationships are moving beyond early investment to
thriving partnerships and mainstream success.

Zurich (Spain) implementation costs. Innosure.me contains

all the components needed to create,
Zurich Insurance in Spain has collaborated
connect, test and refine online products at
with New York insurtech CoverWallet to
a rapid pace, with no interaction with the
launch ZurichEmpresas.es, a new digital
legacy systems environment, and without
distribution channel focused on small
any impact on daily operations.
and medium businesses. Powered by
CoverWallet, the platform streamlines
policy purchases and management for
AXA Winterthur (Switzerland)
business owners. Businesses can analyze Veezoo worked with AXA Winterthur on
their insurance needs and buy customized a proof of concept to demonstrate the
cover in an online process that can potential of its conversational AI solution
be completed—from quotation to the for exploring and visualizing data. The
finalization of the sale—within one minute. solution democratizes big data and
advanced analytics by enabling the insurer’s
ERGO (Germany) agents to interrogate complex data in a
straightforward way. Decision-makers can
ERGO collaborated with insurtech enabler
ask the system natural language questions
Intrasurance to develop Innosure.me, a
such as ‘What is the age of customers who
platform to test innovative products and
cancel their contracts?’ or ‘How many
services in the market and learn from
new customers did we get over the online
the customer’s response early in the
channel since March?’ This new approach,
product development cycle. It supports
now in deployment phase, has achieved
the insurance group’s goal of accelerating
great adoption rates and shows the power of
its speed to market for new products and
AI to bring advanced analytics directly into
services.
the sales frontline.
This platform enables ERGO to develop
new products and services within weeks,
rather than months, and at low marginal IT-

EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 10

 INTELLIGENT
SERVICES
Leading insurers are using digital interfaces such as the Internet of
Things, mobile apps and AI to weave intelligent insurance services into
their customers’ lives and gather data in real time that helps them better
personalize their offering to each customer’s needs and context. These
award nominees are embedding personalized, on-demand services into their
customers’ daily lives.

Nexar (US and Israel)
Nexar was the winner of the 2018
Insurtech award. Its Automated Accident
Reconstruction smartphone app uses
AI and advanced mapping technology,
together with data drawn from smartphone
sensors, to assess information about motor
vehicle collisions. The data is automatically
retrieved once a collision occurs and a
report quickly generated for the insurer.
This accelerates the processing of claims,
curbs fraud, reduces costs and strengthens
the insurer’s relations with policyholders. It
shows that intelligent services can and will
transform insurance, particularly with regard
to claims processing.
Discovery (South Africa)
This multiline insurance group has
developed a set of smart products for young
adults that combines tailored risk protection
with a targeted, incentive-based behavior
change program.
Responsible Young Adult Insurance, the first
product, is a hybrid pay-as-you-drive and
traditional comprehensive motor insurance
product for drivers under 30 years old. It
rewards daytime drivers and discourages
nighttime driving, which is far riskier. Drivers
receive upfront discounts on their premiums
in return for comprehensive daytime driving
cover as well 24-hour cover for non-accident
perils. Those who choose to drive at night
are charged an additional ‘pay as you drive’
per-kilometer premium for trips taken
between 9:30pm and 5am.
The second product, the Smart Life Plan,
gives up to 100 percent of premiums back
for driving safely and leading an active
lifestyle through the Vitality Active program.
This encourages positive health and driving
habits, significantly reducing mortality and
morbidity risk in this age group.
Helvetia (Switzerland)
Mitipi, a Swiss startup, and the corporate
incubator at Helvetia collaborated to
develop a ‘virtual roommate’ called Kevin,
who protects your home while you’re away.
The smart device simulates presence in a
house with lights, shadows and acoustics to
discourage burglars from breaking in.
Kevin, which will ship at some point in 2018,
represents an investment into the emerging
smart home ecosystem by Helvetia. The
insurance company sees technologies such
as Kevin as an effective way to reduce home
insurance claims by helping customers to
minimize their risk of break-ins.

11 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

 INTELLIGENT
SERVICES
continued

Munich Reinsurance America (US)

This carrier has developed LossDetect,
a loss analytics tool that uses text
mining on unstructured data gathered
from commercial auto customers’ loss
portfolios to determine the cause of loss
and identify the potential to mitigate it.
The interpretation of the LossDetect data
enables an insurer to recommend innovative
solutions for the insured.

In the past, insurers reacted to losses

within their portfolios by changing pricing
and portfolio selections. With LossDetect,
they can prevent losses and reduce the
frequency and severity of collisions,
instead of merely reacting to them. As of
February 2018, the tool had been utilized
for 23 customers and had identified total
mitigatable losses of over $1.8 billion.
The model reduced the time for drawing
conclusions from the data from 15 days to
half a day.

12 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

AUGMENTED
INSURER
The real value of technology lies in how it augments human capabilities and
liberates an insurer’s employees from mundane tasks so they can focus on
creativity, relationships and adding value. Here are a few examples of award
nominees that are leveraging AI, virtual reality, and other technologies to
empower their workforces and unleash their true potential.

NORDEA (Sweden) AXA (Belgium)

This financial services group has greatly
accelerated the payment of disability claims
by applying a variety of AI technologies
to its claims management processes. In
particular, it uses these technologies to
read letters, understand text, carry out
tasks, make decisions and detect fraud. It
has cut the time taken to settle some claims
from several months to just a few days,
showing the power of intelligent automation
to improve both customer service and
processing efficiency.
Mapfre (Spain)
Mapfre has piloted the use of virtual
reality (VR) to deliver training to its auto
loss adjusters and plans to scale up
implementation over the course of 2018.
The solution enables the insurer to reduce
the cost of training loss adjusters in
assessments of electric vehicles, since it no
longer needs to have a physical car on site
for them to interact with.
This carrier has launched an email
handling system that employs natural
language processing to read and sort email
automatically. Optical character recognition
is used to read text on the attachments and
perform even better classification. Following
a successful proof of concept, the insurer
has decided to extend the AI system to all
inbound email.
AXA trained the solution using 6 million
emails from previous years. The tool will
allow for the automatic classification of
around 30 percent of inbound emails
with a precision level of 98 percent. An
experienced human operator can achieve
precision of only 95 percent. The solution
will allow employees to spend more time
on value-adding tasks, while bringing more
consistency to the sorting of emails.

VR makes it affordable to train adjusters on a

wide range of vehicle models. Inexperienced
adjusters can also learn without exposing
themselves to electrical hazards. The insurer
anticipates VR will have an important role
to play in loss adjuster training as new
automobile technologies such as connected
and autonomous cars become more
commonplace.

EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 13

 ABOUT THE
AWARDS
The Efma–Accenture Innovation in Insurance Awards were launched in 2016
to recognize and promote innovation in the industry. Encouraging insurers to
explore new ways of growing their business, the awards celebrate the best
new ideas that are transforming our industry—and serve to spark
further innovation.

This year, 320 submissions were received from 237 organizations in 45

countries across the globe. The winners of the Efma-Accenture Innovation
in Insurance Awards 2018 are as follows:

Tokio Marine & Nichido Fire Insurance
Co. (Japan) was named Global Innovator
for several innovative products it brought
to market in the last year, including its
Connected Safety Drive Support and
Rescue System; its Insurance Hero Marine
edutainment smartphone app, designed to
teach youngsters about insurance products
via Otaku-Anime cartoons; and an entire
series of innovative insurance products
designed to support social movements.
AXA Winterthur (Switzerland) won two
awards: the Artificial Intelligence award, for
its SIRI-Bution, which uses natural language
processing to provide quick answers to
employee questions; and the Connected
Insurance & Ecosystems award, for its
FlexCash platform, which helps small and
medium-sized enterprises manage their
cash flow.
KBC (Belgium) won the Best Disruptive
Product or Service award for its Digitization
of the KBC Home Policy. The data-driven
platform simplifies the process for getting
homeowners insurance by asking customers
just three questions and providing them with
an immediate quote.
Bank Millennium (Poland) won the Claims
Management award for its Travel Assistance
mobile app button, which instantly connects
customers with the institution’s insurance
agents, even without an internet connection,
so customers don’t bear the cost of
international roaming.
PZU (Poland) won the Customer Experience
& Engagement award for its Speech and
Language Translator contact-center service
for deaf customers.
Nexar (Israel) won the Insurtech award for
its Automated Accident Reconstruction via
Mobile Phone Application, which uses AI
and the onboard sensors in smartphones to
capture collision footage and data and then
generates collision reports in minutes as
opposed to days.
Victor (USA) won the Underwriting award
for Alternus, the first-ever retail property
insurance solution backed by alternative
capital.

To find out more about the Efma-Accenture Innovation in Insurance

Awards, including all the nominees and winners, visit the Awards Portal.

14 EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018

ABOUT ACCENTURE
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EFMA-ACCENTURE INNOVATION IN INSURANCE AWARDS 2018 15