Frictionless open insurance

Efma feature

03 December 2018

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 2018 Efma-Accenture Innovation in Insurance Awards 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)

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)

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.

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—to launch a white label health product called 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.

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.

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.

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.

Submit your innovations on the Efma-Accenture Innovation in Insurance portal before 6 December to win the December 2018 Insurance Innovation of the Month. The winner will be automatically selected as a nominee for the 2019 Efma-Accenture Innovation in Insurance Awards. Participation is free of charge and open to all insurance players.


 

Keywords : API/Open banking , Business strategy/Model , Insurance Products & Services

Geography : International