What do insurers and stand up comics have in common?
It's all about timing and delivery. Today's consumers want to cut through the clutter and go straight to what they need. And insurers are challenged to get their attention and keep it long enough to give them what they want.
The consumer has control, and that’s a good thing…
because when insurers take consumers on a comfortable, satisfying journey, they reward us with loyalty. When it comes to buying life insurance, however, the journey stops at our front door. Ours is often a "sold not bought" product. The insurance industry has rested too long in the security and familiarity of traditional, manual, even complicated methods of underwriting. The upshot: greater control but at the cost of the consumer experience.
To be fair, as re/insurers, we have the unique and very difficult task of essentially predicting the future and doing it on an industrial scale. These long-duration bets are naturally complex, and new trends and risks emerge virtually every day that demand vigilance. Simplification and speed come at a cost, but that cost can't be compromising on risk expertise.
At Swiss Re, we see a way forward, where complexity behind the curtain gives way to simplicity for the consumer. Where solid risk management and underwriting can coexist with speedy responses, simple processes and satisfying experiences. We know that consumers are willing to share data in exchange for something valuable, like a specially tailored solution or an easier path to peace of mind and more security.
We see the global pace of change accelerating and we're excited to see more and more of our clients helping to drive that change. We have moved beyond talking about the future to being ready for the future…now.
What do insurers need to be ready for the future?
Being “future ready now” means being able to draw upon new and diverse sources of data and combine them with the best powers of technology in order to redefine what it means to buy life and health insurance. It means building predictive models and finding new ways to use insights about consumers to deliver tailored products in a delightful way. It means smartly plugging together technology, new data and partnerships to close the protection gap with solutions that not only provide security but help consumers live a happier, healthier life. In the end it means building more meaningful, enduring and mutually beneficial relationships.
Swiss Re started building toward this future decades ago with the introduction of Magnum — our industry’s first of its kind automated underwriting system, originally designed to enable faster processing for the “easiest” cases. Today, our Magnum suite is a full platform for delivering underwriting solutions across a range of products and insurer ambitions. It powers more than 60 insurers around the world and processes in excess of 12 million policies every year in 20+ markets — and we’re pleased to soon add Japan to that list.
A faster, simpler way to be faster and simpler
Today we are proud to announce this Magnum brand of speed, simplicity and risk expertise is accessible to a wider range of insurers through the introduction of Magnum Go — a simpler version that offers easy system integration, online dynamic questionnaires and a rule base firmly rooted in Life Guide, the industry’s #1 underwriting manual. Today Magnum Go is available in select markets across Europe and Latin America and will eventually complement our offerings around the world. This means more insurers — and ultimately consumers — can enjoy a process that eliminates paperwork, exams, and delays and offers real-time decisions and coverage from anywhere, anytime, on any device.
Automation and decision-making speed are just two pieces of the future, but I see them as the first, and most essential components to make insurance just as easy to purchase as ordering up a new book on Amazon. This customer friendly foundation also supports broader efforts to develop new products and partnerships that will reach new cohorts of consumers — particularly those who might traditionally be viewed as uninsurable. The wildfire-like spread of health crises like Type-2 diabetes and obesity are a strong call for all of us to use our powers of understanding risk to create more holistic solutions that improve personal health journeys. We are partnering with insurers around the world and excited to see this already coming to life in many different forms — from blockchain-based automatic coverage for gestational diabetes in Singapore — to new, bundled offers that give people with Type-2 diabetes access to online tools and a community proven to lower hba1c levels and improve long-term health.
It’s an exciting time to be in insurance. Where else can you evolve and innovate, to be faster, simpler, and better at closing the world's protection gap? We're motivated by the ever-quickening pace of change and the progress it's creating. This domino effect is also opening more options, and we're excited to explore them together to help more life and health insurers on their journey to be "future ready now".