An InView prepared by The Digital Insurer.

1. Opportunity Use Cases Initiatives

2. Data & Analytics Opportunities
Analytics Trends Improve Outcomes
Worldwide revenues for big
data and business analytics
will grow from nearly $122
billion in 2015 to more than
$187 billion in 2019
-IDC
More than 50% of large
global enterprises will
leverage analytics and
proprietary algorithms
on secure platforms
-Gartner
Source : http://www.infosys.com/industries/insurance/white-papers/Documents/transforming-big-data-analytics.pdf Source : http://www.mckinsey.com/industries/financial-services/our-insights/unleashing-the-value-of-advanced-analytics-in-insurance
Success FrameworkTransformation Opportunities

3. 3
360 Degree View of Customer
Optimize Claims & Fraud Mitigation
Optimize Operations & Decision Making
Insurance Use Cases
Optimize Pricing
Eliminate manual inspection to
quicken claims processing
Spot missed subrogation
opportunities
Examine past behavior, perform
Social network and stakeholder
analysis for near real time fraud
detection
Enabler for:
Personalized and targeted
marketing
Predicting Lifetime Value
Customer Segmentation
Cross sell opportunities
Predicting and preventing
customer churn
Accurate need analysis
Data driven dynamic pricing
Real life applications:
1. Telematics - Pricing on driving habits
2. Wearables – Pricing on healthy habits
3. Home Sensors – Pricing on safety
Leads to profit for insurer, affordability
for customers
Though, there are some privacy concerns
Data driven decision making –
Find, visualize, understand and
strategize
Channel optimization
Lead prioritization and demand
forecasting
Anticipate user expectations to
spot and ride next disruptive trend

4. 4
Snapshot Adoption
Value Proposition
Key Benefits
What is it?
By combining Data analytics
with mobile and cellular
communications technologies,
Progressive turns previously unusable
data into commercial advantage
Data driven business model enables
it to be well prepared to respond to
future disruptive trends
Since inception in 2008, 4
million drivers have tried
Snapshot
Progressive has collected
more than 15 billion miles of
driving data
Progressive wrote $2.6B in
Snapshot premiums in 2014
Snapshot is a voluntary discount
program in which drivers can save
money on their car insurance by
sharing a picture of their driving
habits with Progressive
Transition from educated guesses
to fact based underwriting
Reduced claims cost, promote
social good
Increase in customer acquisition
and quality customer retention rate
Improved customer and brand
loyalty
Gaining competitive edge
1. Progressive D&A Initiative
Snapshot Programme

5. 5
DSDP – Building Analytics Pipeline
Data to Insight to Outcome
Key Benefits
2. Mass Mutual D&A Initiatives
1. Haven Life 2. Data Science Development Programme
Haven Life – Get insured in 20 min
MassMutual is using Big Data
analytics to figure out who their
potential customers are, as well as
determining key metrics that
regulate their need for insurance
products. It also helps them identify
fraudsters who seek insurance,
hoping to scam the company.
Data Science Development
Program (DSDP) trains
promising, recent graduates to
become well-rounded data
scientists for MassMutual
DSDP shows how insurers can
embraces Big Data to better
reach potential customers
Haven Life combines customer
medical and financial data with
data from public database and
uses proprietary algorithms to
issue insurance decision in 20 min
An apt example of industry
disruption through analytics-
driven process improvements
Systematically estimating the risk
Improve business efficiency and
customer experience
Better customer service and
fraud mitigation with accurate
prediction and estimation
Critical differentiation and
competitive advantage

6. 6
Data Consolidation at its best
Big Data Big Outcomes
Key Benefits
Customer Centricity
The ability to see the big picture and
interact with all the information drives
better call centre experiences for
customers. Customer representatives
are able to quickly and efficiently
answer questions, manage claims and
offer relevant services or promotions
with reduced call and wait times.
The MetLife Wall integrates
information from 70 legacy
administrative systems into one
platform
Down to 1 screen with all the
necessary information from 15
Shows all the interactions that
customer had with MetLife across
its omni-channel touch points
MetLife Wall provides a
Facebook like timeline of MetLife
customer’s transactions - claims,
records, status, etc., making it
possible to easily access
customers information and cross-
sell products
Promotes customer centricity as
one of the core strategies of the
company
Enables the insurer's service
representatives to better serve
customers
Takes personalisation to a new
level
3. MetLife D&A Initiative
MetLife Wall

7. 7
Where human capabilities fail
From Data to Actionable Insight
Key Benefits
How Allianz Does it?
Fraud analytics turns data into
profitable information automatically
ultimately enhancing claims function
Analytical solution reduces the time
and resources required while
improving their success rate
Incorporates wide sources of siloed,
unstructured and structured data
Identified 1161 fraud cases worth
CZK 62 mn, compared to 426 cases
worth CZK 10 mn for previous year
Investigated 26% more cases
40 % more proven fraud cases for
criminal prosecution
Saved about CZK 110 million a
year by reducing the number of
fraudulent claims
Allianz Insurance in the Czech
Republic is using SAS Analytics to
identify and prosecute cases of
insurance fraud
Network and associative
analytics give representation of
links between fraudulent activity
and collaboration points
Efficient fraud detection reduces
annual claims payouts
Spot more fraud cases along with
anticipating new type of frauds which
might occur in future
Reduced false positive rate - boosts
employee productivity, minimizes loss
adjustment expenses and avoids
customer ire and legal hassles
4. Allianz D&A Initiative
Fraud Analytics

8. Contact The Digital Insurer: hugh.terry@the-digital-insurer.com
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