Tech Trends 2016 Property and Casualty Insurance

The Team

Team Advisor Team LeaderDon Massenzio Michelle Kaarst-Brown

Consultants• Kathleen Seibert • Sargam Gupta• Yang Fu• Jash Mehta• Anvitaa Shetty

• Overview of Property & Casualty Insurance in 2016

• Key Tech Trends

• Closing Thoughts

Agenda

Property & Casualty Insurance Industry

Priorities for 2016

• Digital Leadership to take over transformation effort

• Increase transactions in Mergers & Acquisitions

• Cultivate a Culture of Continuous Innovation

• Focus on the Distribution Platform

• Differentiate the Product with Analytics

On the Road to Disruption

• Modernization to reinvent existing business processes • Core-related IT expenditures as a smart investment

• Improved efficiency, efficacy and results to match the higher-order initiatives

• Redefine business core performance to meet industry standard

• Customer-focused, outcome-driven core to achieve business goals

• Functionality, reliability and scalability to help develop a fitting design for new infrastructure

• Automation of legacy systems to drive innovation and growth

Note: IT budget visuals have been derived from technology benchmark studies performed by Novarica in 2016

Trend 1 : Reimagining Core Systems

• Autonomic Platforms uses virtualization and DevOps to provide

agility and flexibility

• Biggest challenge: Engaging customer wherever they are are

and whenever they choose

• Software Defined Everything - Virtualizing the computer

infrastructure

• Time to change cumbersome SDLC methodologies to DevOps

Trend 2 : Autonomic Platforms

• Operational byproduct to strategic boardroom concern

“What should I do?” → “What is going to happen?”

• The new role of Analytics

oUnderwriting results

oNew products & Refine Pricing strategies

oMarket Differentiator

• Apply proven analytics to the homeowners market

• Use analytics to manage commercial market risks

• Online Presence & Internet Sales - Customers’ demand!

• Pricing Life Cycle - Soft (2004-2011) -> Hard (2011-Present)

Trend 3 : Industrialized Analytics

Influence of Tech Trends in 2016• Businesses with benefit with effort directed towards

“Reimagining the Core”.

• This will give companies the hardware advancement in

addition to the benefits of agile methods and new

opportunities

• Automate platforms will help the business by running

it faster and more reliable

• Industrialized data analytics will essentially describe

information with predictive capabilities in the the future

Thank you