Our figures show that the range of improvement in the combined ratio is from 4 to 7 percentage points, again driven by several value levers.
This is one of the most startling figures to come out of our research, particularly when taking into account the fairly low existing margins in the industry, which are in the broad region of 7-13 percent. In other words, digital transformation has the potenti . . .
Telematics—Six Critical Success Factors
Let’s continue our discussion of telematics for motor insurance by looking at some of the success factors—if you missed the earlier posts, you can catch up here.
Accenture believes there are six important success factors for insurers to bear in mind when developing a telematics strategy. These have varying degrees of priority depending on where an insurer is . . .
A recent article in PropertyCasualty360 proposes that Uber and Lyft are 2014’s “insurance story of the year.” I’d expand that to say that the sharing economy has been a hot topic in the industry, with many insurers waiting to see how the ongoing debate among regulators, legislators and the sharing companies turns out.
Consider some of the numbers associated with the sharing economy:
In 2014, the . . .
The key to effective cyber-crime prevention is not more data, but the right data – and using analytics to gain actionable insights. Getting it right requires three vital elements.
As I said in my two previous posts, the effective use of data is insurers’ best chance of combatting the fraud and other forms of financial crime that have become the scourge of the industry. But to do so they need to in . . .
Vehicle telematics is neither a fad nor a mere addition to insurers’ pricing and underwriting capabilities—it is the catalyst for a range of new business models for auto-insurers. Telematics provides the opportunity for insurers to get much closer to their customers and gain a far richer understanding of their needs and motivations.
Through the data derived from telematics, insurers can not only d . . .