Digital Insurance Trends in the

Global and Regional markets… Are you ready ?

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CHOKY L TOBING CFP CGIS AEPP AMRP QWP
Indonesian Senior Executives Association (ISEA)
IF YOU WERE THINKING OF WRITING A
BOOK ABOUT HISTORY IN INSURANCE,

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I WOULD SUGGEST YOU WAIT 5 YEARS..

MORE IS GOING TO HAPPEN IN THESE NEXT 5

YEARS IN THE INSURANCE THAN IT’S HAPPENED
IN THE LAST 350 YEARS !
(ROBERT CUMMINGS 2
GLOBAL VP INDUSTRY BUSINESS UNIT INSURANCE
S.A.P PARTNER EDGE)
The pase of rapid technological change ..

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https://youtu.be/_FyreOdFhmo
Robotics with 5G Technology

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Fintech has sparked a revolution
in insurance …

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The future is happening..
no one saw is coming!

• There are 633 AI Companies and thousands of start ups

• 25pct of world economy will be digitalized by 2020

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• Gen Z – Millenials – Tech – Faster reading to 50mio users
• Deep Learning – AI will controls by 2028
• Business world will be affected – Financials, Travels ( Virtual)
• AI Robots – No employees hotels, Lawfirms using RA in UK
• Self Driving Cars
• Our DNA is big Data – eventually stored in human tissue – no
more chips
• 90% of people talk about Digital Strategy but only less than 7
15% executing.
The Rise of Insurtech investment
(Ave per insurtech USD 5mio in 2011 rose to USD 22mio in 2015)
*McKinsey&CoFinancial Services March 2017

2015>

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2013 $2.7B
2011 $270M
$140M
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10 InsurTech Trends
at the Insurance Crossroads

Trend #1 – Automation will replace human effort across the entire insurance value chain

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(ZhongAn)

Trend #2 – Insurance premiums will become highly personalised based on greater tech enabled insight
on customers and their individual risk (Sherpa)

Trend #3 – The Blockchain era has begun and there will be a rapid shift from pilot to production of
distributed ledger technology (ChainThat)

Trend #4 – The lines between the old and new will blur into one as InsurTech becomes mainstream by
2020 (MunichRe)

Trend #5 – Digital engagement through lifestyle apps will change the relationship dynamic between
insurer and insured (Metromile)
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10 InsurTech Trends
at the Insurance Crossroads

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Trend #6 – The All-in-One insurance policy is here to stay (Getsafe)

Trend #7 New models will challenge the traditional insurance value chain (Amazon)

Trend #8 – Lemonade have set the pace in InsurTech 2.0; copycats will follow (Lemonade)

Trend #9 – Claims settlement will become an automated, self-service and quick to pay
experience for customers (Rightindem), the use of Drones, Face recognition

Trend #10 – Tech enabled loss prevention using AI, Algorithm will become a key feature in the
insurance
product(Surely) , Cytora.
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source :https://www.the-digital-insurer.com/blog/10-insurtech-trends-insurance-2018/
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The Best Digital Insurance Companies 2018
Best for Home Insurance: Lemonade
Lemonade is a digital insurer founded in 2015 offering home and renters insurance to
residents. Customers can buy insurance directly online without the use of an agent.
Best Digital Insurer for Auto Insurance Quotes: Insurify
Digital insurer Insurify uses artificial intelligence to provide you an auto insurance quote simply
by texting a copy of your car’s license plate. The company launched in 2016 and uses a virtual
insurance agency called “Evia.” Evia stands for Expert Virtual Insurance Agent.
Best for Autos with Low Mileage: Metromile
Metromile is a digital insurer founded in 2011 offering auto insurance to low mileage drivers
through a telematics device installed on your vehicle that measures the miles you drive.
Coverage is available in California, Illinois, New Jersey, Oregon, Virginia, Pennsylvania and

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Washington. The device you install in your car is called the Metromile Pulse and could
potentially save you as much as $500 per year on auto insurance. Drivers with 10,000 miles or
less could receive substantial saving on auto insurance premiums.
Best for Safe Drivers: Root
The auto app used by Root can save safe drivers as much as 52 percent on auto insurance rates.
The app tracks your driving habits such as hard braking, mileage, hard turn and more to
calculate your insurance rate. You can also purchase an auto insurance policy, get ID cards and
customize coverage through the app.

Best Health Insurance Wellness Incentives: Oscar Health

Oscar Health Insurance began in 2012 and offers health insurance to residents of New York, New
Jersey, Ohio, Tennessee, Texas and California. Coverage may soon be available in other states.
The Oscar app is downloadable and compatible with Android and iOS. The app offers 24/7
doctor-on-call services, free yoga classes and classes for expectant mothers.
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Best for Life Insurance: Ladder Insurance
Ladder Insurance is a digital insurance agency that has partnered with Fidelity Security Life &
HannoverRe to offer life insurance w/o the use of agents directly to consumers online without
charging any annual policy fees. The online process of purchasing a policy can be done in as little
as five minutes and you can sign any documents necessary for coverage with an E-signature.
oscar… digital health insurance -usa

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Ladder… Smart Life Insurance

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Lemonade – zero hassle Insurance! NYC

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Metromile ... Pay-per-mile car insurance!

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ROOT – Good driver insurance!

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trov… smart insurance from SF

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Getsafe..all in one Insurance policy Germany

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Sherpa… personal risk management..uk

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Cytora… DE-RISKING THE FUTURE (uk)

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Asian Digital Insurance..

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gobear – comparison made easy !

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ZhongAn, the company launched five years ago with offbeat, online, micro-policies
including one insuring against self-inflicted liver damage for Chinese football fans.
Another policy reimbursed people when temperatures hit 37C. One even paid out
for flight delays while customers were reportedly still at the airport.

So far the Shanghai firm has sold nearly 6 billion policies to 460 million people.
Valued at $10 billion, the company’s tech platform can process 13,000 policies a
second. Yet it still has less than 1 per cent of the market. Its rival PingAn is the
world’s largest insurer by market capitalisation; its shares have more than doubled 28
in a year. Zhong Ann investors are Ping Ann, Tencent and Alibaba
ZhongAn – Full Digital Ins.

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Drones .. in car insurance

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Drones – Insurance inspections

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Drones …. claims adjustments

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Drones.. speeding up claims process!

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Insuretech Start-up Companies in Indonesia

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Insuretech Start-up Companies in Indonesia

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Insuretech Start-up Companies in Indonesia

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Fintech Startups In Indonesia

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source : http://fintechnews.sg/fintech-startups-in-indonesia/
Payment Gate – Partnering with Fintech
gopayGO-JEK (PT. Aplikasi Karya Anak Bangsa) is an
Indonesian-owned and run technology start-up that
specialises in ride-hailing, logistics and digital payments.
GO-PAY is not only to pay for GO-JEK services but also
available to help you with new features and products. In
October 2017, GO-PAY transactions have contributed 30
percent of overall e-money transactions in Indonesia.

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OVO (PT Visionet Internasional), a fintech startup that builds
a digital platform aiming to simplify your life by providing
amazing rewards & deals through our merchant partners,
simple payment and smart financial services. In December
2017, Ovo officially announced their partnership with
GrabPay in Indonesia

Instead of paying with cash or debit card, customers can

now use T-Cash with a cellular phone to pay for various
services and goods and to transfer money with T-Cash.
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source : http://fintechnews.sg/fintech-startups-in-indonesia/
GO-PAY & Link in pasar…

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The 3 Indonesian Fintech UNICORN & 1 DECACORN
( there are only 7 in SEA )

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Capitalization Unicorn USD 1bio Decacorn USD 10bio
https://swa.co.id/swa/trends/technology/dampak-
positif-investasi-global-di-unicorn-indonesia
Recent Development:
# 1 Go-Jek, Traveloka and Tokopedia confirm invest USD 8M in
insurtech startup PasarPolis (10 Aug 2018)

Indonesian unicorns Go-Jek, Traveloka

and Tokopedia have officially announced
an investment in local insurance
technology (insurtech) startup

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Pasarpolis, confirming an earlier report
by DEALSTREETASIA

# 2 Peraturan OJK Nomor 13/POJK.02/2018

Inovasi Keuangan Digital Fintech di Sektor Jasa Keuangan , Regulasi Sandbox
menilai keandalan proses bisnis, model bisnis, instrumen keuangan, dan tata kelola Penyelenggar.
#3 Gojek received F seriefinancing from Google, Jdcom, Tencent,
Mitsubishi Corp and Provident Capital USD 1bio = Rp. 14 T.
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GoJek Singapore – GO-Viet - GET Thailand, GoJek Gurgaon India AirCTO

Read more at: https://www.dealstreetasia.com/stories/go-jek-traveloka-tokopedia-pasarpolis-104509/

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Indonesia Digital market Potential
( CB Insights Research Feb 1, 2019 )
1. One of the Biggest Digital Market potential in the World!!
2. Population of 265.4M (Half under age of 30 ; 79.5M Millenials age 17 to 35 yrs)
3. By 2050 Indonesia is projected to have 3rd largest middle class.
4. Mobile/Smartphone penetration growing to half of population own at least 1
mobile phone by next year
5. Indonesia the largest (USD 27B in 2018) and fastest growing (49% CAGR 2015-
2018) internet economy in SEA (study by Google & Temasek) – Platform
recorded 63.7M orders, or daily ave 700,000 in Q3 2018. 12M orders on

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Indonesia National online Shopping Day in December 2018.
6. Leading mobile payment GoPay, Ovo, Dana expanding and integrating with e-
commerce platforms incl Bukalapak, JD id and Tokopedia.
7. Ovo 1 B transactions for the year or 75X increase since November 2017. While
Dana acquired 1M users in 3.5months.
8. Indonesia has 3 Unicorn Fintech and 1 Decacorn ( Gojek ).
9. “ By 2023 people will have almost access to internet and own more than 1
mobile phone-all driven by digital technology” ( World Economic Forum )
10. Insurance penetration fell 17.7% to 15.8% in 2017 ranks lowest in world <2%
11. Life insurance USD 12B dominant segment ie 2/3 of the sector, NonLife is driven 43
by Property & Motor 54% of the General market. Indonesia is 2nd only to India
fastest growing P&C Markets by premium and the fastest growing market for life
premium (Munich Re). Bancassurance grew 74% but 6% in tradional Agents
Millenials

• Young dynamic Millenials are taking over from the baby

boomers.

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• This Digitally savvy segments are less Company-loyal.
• Treat Financial products&services including Insurance as
interchangeable as long as they fulfil personal needs.
• They value convenience.
• They like to execute transaction remotely if possible without
direct interaction with the institution.
• The use of 24/7 Digital Channels to receive an insurance
quote or submit a claim is preferable to branch or office visit. 44

(Mckinsey Financial services Insurtech – “the treat that inspires”)

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https://www.slideshare.net/wearesocial/digital-in-2018-in-southeast-asia-part-2-southeast
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https://www.slideshare.net/wearesocial/digital-in-2018-in-southeast-asia-part-2-southeast
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https://www.slideshare.net/wearesocial/digital-in-2018-in-southeast-asia-part-2-southeast
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https://www.slideshare.net/wearesocial/digital-in-2018-in-southeast-asia-part-2-southeast
Challenges in Digital Insurance

1. Technology and Big Data

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 New technology and big data readiness and critical value 49
 IT Capabilities/Digital Specialist and Cyber risk exposure
 Confidentiality of open datas
2. Growth

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 Low growth in mature economies with the potential
for high growth in emerging economies.. 50
 Digital impact on employment in advanced countries
3. Customer service to Customer experience..

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 Create better, more comprehensive customer
relationships and make it easier for customers 51
 Impact of Digital Transformation on Employment
 Customer data confidentiality
4. Regulations

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 Operating under multiple regulatory
jurisdictions and complying with changing rules
 Drone permits 52
 Aggregators and Comparisons startups
 Cross border/nations/Global – Bima ins, Grab.
BIMA insurance … microinsurance reaching the
the unreacheable people in the emerging market worldwide..

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5. Leadership

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 Discomfort regarding the adequacy of talent pipelines 54
for effective leadership in the future.
 Innovative and Creativity is key factors
How traditional Insurers 300 yrs old compete with Insurtech 300days
• Key takeaways:
• Develop your overall innovations agenda –where insurtech sits
within it
• Embrace innovation as part of your everyday business across

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all your business
• Promote the right corporate culture to foster innovation
• Draw inspiration and learning from retail banks fintech journey
and look beyond the financial services space
• Do not feel threatened by startups whose cultures or working
practices seem radically different to your own. Work with them 55
on strategic partnerships.
*Accenture research report January 2019
China already working on .. 6G

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the future of insurance…

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"Most eminent impact
in Digital Disruption
is in Banking Sectors,
but The Greatest Impact
of Disruptions is in
the Insurance Industry”

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(World Economic Forum 2016)

HOW ARE YOU RESPONDING.?

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The Future is coming…. 6G

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