Webinar for August 2018 Technology infrastructure for global insurers

1. Webinar: technology infrastructure for
global insurers

2. Our Panelists
Moderator: Will Pritchett
Partner, KPMG
Host: Les Wong
Head of Europe,
The Digital Insurer
Yoshi Makita
Director, Technology Strategy & Performance,
Insurtech Leader, KPMG Australia
Tomasz Kurczyk
Digital Transformation
Director, AXA Singapore
Young Yang
Director of International
Markets, Zhong An Tech
Jacob Abboud
Chief Information Officer,
Allianz

3. Discussion Agenda
Young Yang
Zhong An Tech
Lessons from Zhong An
Tomasz Kurczyk
AXA Singapore
Accelerating Business
through Technology
Yoshi Makita
KPMG
Technology
Infrastructure for Global
Insurers
Strategy
Jacob Abboud
Allianz
How Allianz are designing
infrastructure for the
future
Topics for discussion
• 4 presentations
• 5 rapid fire polls and Q&A throughout– wisdom of the crowd
• 20+ minute panel discussion with your Q&A
• 75 minutes in total

4. Questions & Answers
How to participate:
If you have a question please type into the Q&A area
If you have a comment please type into the chat area
Session format:
The moderator will use a combination of his own questions
and those from the audience
Each presentation will have a Q&A and poll

5. Yoshi Makita, KPMG
Technology Infrastructure for Global
Insurers

6. 6© 2018 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG name and logo are registered trademarks or trademarks of KPMG International. Liability limited by a scheme approved under Professional Standards Legislation.
Document Classification: KPMG Confidential
CompaniesareinvestinginXaaSmodels
23%
16%
27%
38%
33%
49%
IaaS PaaS SaaS
Current Year Year 1-3
Harvey Nash / KPMG CIO Survey 2017
Global IT leaders continue to invest in the XaaS model.
CIOs responded to “planning to invest significantly in XaaS models for
current year and next 1-3 years”
1%
1%
3%
5%
4%
5%
15%
29%
5%
6%
8%
11%
14%
17%
37%
52%
Digital leaders are more likely to be significantly investing in cloud
technology than others.
How would you characterise your investment in the following technologies?
Significant
Cloud
Mobile Solutions
Artificial Intelligence / Machines Learning
On-demand Marketpace Platforms
Internet of Things
Robotics Process Automation
Augmented Reality / Virtual Reality
Blockchain / Distributed Ledger
Harvey Nash / KPMG CIO Survey 2018
Digital Leader
Others

7. 7© 2018 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG name and logo are registered trademarks or trademarks of KPMG International. Liability limited by a scheme approved under Professional Standards Legislation.
Document Classification: KPMG Confidential
Collaborationandpartnershiparekeyforgrowth
46%
47%
47%
48%
50%
52%
57%
60%Make products and services available via an online
platform provider (e.g. social media platforms)
Set up accelerator or incubator programs for start-up
firms
Partner with third-party cloud technology providers
Join industry consortia focused on development of
innovative technologies
Corporate venturing
Collaborate with innovative start-ups (e.g. FinTech,
InsurTech, HealthTech firms)
Partner with third-party data providers
Increase investment in disruption detection and
innovation processes
2018 Global CEO Outlook, KPMG International
Global insurers are looking at partnership / collaboration to
accelerate growth in the future…
Does your organization intend to undertake any of the following actions over
the next 3 years to help in pursuing your growth objectives?
…however, global leaders are aware of the challenges pertaining to
legacy assets.
16%
19%
19%
21%
25%Difficulty sharing data securely with third
parties
Challenges measuring ROI from third-party
partnerships
Our procurement processes are lengthy
and complex
Concerns about sharing commercially
sensitive data
Our legacy IT systems are incompatible
with nimble approaches by start-ups' such
as cloud-based systems
Which of the following challenges represents the biggest barrier to your
organization extracting value from networks of third-parties?
2018 Global CEO Outlook, KPMG International

8. 8© 2018 KPMG, an Australian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG name and logo are registered trademarks or trademarks of KPMG International. Liability limited by a scheme approved under Professional Standards Legislation.
Document Classification: KPMG Confidential
Focusingonthe“core”
Customer
Distribution
Product
Business Process
Data
Business Application
Infrastructure
Innovation
Source
capabilities from
3rd parties with
competitive
advantage
Business Model
Economies of scale
Operational expertise
Access to capital
M&A / integration
Functional expertise
Solution delivery
Economies of scale
Regulatory resilience
Commercialise
internal capabilities
where there is
competitive
advantage
Evolving Customer Needs
• Tech-savvy millenials
• “Non-linear” purchasing decision making
Rise of Insurtechs
• Insurtechs enabling incumbents’ capabilities
• Increasing scale and maturity of platforms (e.g. data,
analytics, consumer reach)
Increasing “Openness”
• Industry-led open initiatives (open banking, blockchain)
• Open architecture and infrastructure
Changing “Sense of Ownership”
• Increasing maturity and adoption of cloud
• Blurry boundary between real and virtual
Opportunities to focus on investing in “core” capabilities from both
demand and supply sides.
Relative competitive advantage drives the “build / buy / partner /
commercialise” discussion when calibrating the operating model.

9. Snap Poll
9
Q. Imagine you are a large insurer with legacy technology. Which of
these options would you find most attractive?
1. Dumb down the back-end and add a micro services platform on front
2. Replace the legacy back-end with a modern policy admin solution
3. Leave broadly “as is” and build new models on a greenfield platform
How to participate:
Just respond to the question when it appears on your screen

10. Tomasz Kurczyk, AXA Singapore
Accelerating Business through Technology

11. August 2018 Singapore
The Digital Insurer
Webinar: Technology
Infrastructure for Global
Insurers
Tomasz Kurczyk

12. What is Insurance-as-a-Service (IaaS)
12
Insurance
Product
Technology
platform
Business
model
Insurance
Product Innovation and
new type of risks enabled
by and shaped by
technology
Flexibility and Scale
Technology enables delivery of
products and services and go-to
market strategy
Business model
Driving adoption and
commercial success,
leveraging ecosystem
distribution
Core of Insurance-as-a-
Service
The Digital Insurer Webinar| Tomasz Kurczyk

13. How IaaS is accelerating our business
13
How it fits into our business?:
• Product and LOB agnostic
with GI, Health, Life,
Commercial lines and EB
products already
implemented
• Channel agnostic support
for B2C, B2B2C, B2B
including traditional
channels e.g. agents and
brokers
• All services available
through preferred
touchpoint: web, mobile
apps, social, voice etc.
How we are using it?
• Single platform and
integration point to
abstract complexity of
insurance
• Internal services or
support for partners
requiring API
integration to
distribute or service
customers
• On-board a new
product for
distribution in days
reusing existing
components
The Digital Insurer Webinar| Tomasz Kurczyk

14. Digital organization supporting end to end value chain
5
Growth and
Analytics
Digital Commerce CRM
Digital Operations Digital Services and
Customer Engagement
The Digital Insurer Webinar| Tomasz Kurczyk

15. Alignment of the organization objectives with the strategy
15
Share of
revenue enabled
for
other
Channels (%)Digitally
originated
Revenue ($)
Revenue
from Digital
Partnerships ($)
The Digital Insurer Webinar| Tomasz Kurczyk

16. Snap Poll
16
Q. If your third-party provider for an IaaS platform were companies
similar to the likes of Amazon or Google (who may enter and compete in
the insurance industry in the future), how likely would you use them?
1. Likely
2. Unlikely
3. Undecided
4. Set up own private cloud
How to participate:
Just respond to the question when it appears on your screen

17. Young Yang, Zhong An Tech
Lessons from Zhong An

18. Overview of ZhongAn International

19. Introduction of ZhongAn Insurance (06060.hk)01
Engineers & technicians
accounting for 54.3%
of our employees3
technical investment during
last three years is
2.8%, 6.3%, 8.7%
5
major ecosystems
307
ecosystem
partners2
Largest
online-only insurer in
China
432 mm
policyholders and
insured1
China's First
licensed online
insurance
company

20. 5 Major Ecosystems02
F
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Our products extend beyond traditional insurance to address consumer needs
Ecosystem EcosystemProductProduct
Ecosystem
Partner
Ecosystem
Partner

21. Technology Evolution03

22. THANKS
谢 谢 聆 听

23. Snap Poll
23
Q. What % of consumers treat insurance now as an add-on secondary
commodity purchase?
1. Over 75%
2. Between 51% -75%
3. Between 25% - 50%
4. Under 25%
How to participate:
Just respond to the question when it appears on your screen

24. Jacob Abboud, Allianz
How Allianz is designing global
infrastructure for the future

25. 25

26. 26

27. 27

28. Snap Poll
28
Q. The use of Cloud technology is growing in popularity, how confident
are you to store your data and information?
1. Confidence level 75% - 100%
2. Confidence level 50% - 75%
3. Confidence level 25% - 50%
4. Confidence level 0% - 25%
How to participate:
Just respond to the question when it appears on your screen

29. Panel Discussion and Q&A
29

30. Snap Poll
30
Q. Can the insurance industry achieve the success enjoyed by the
New entrants who have integrated and efficient IT infrastructures.
1. Yes – in the next two years?
2. Yes – in the next five years?
3. Yes – beyond five years.
4. No – too many legacy issues to overcome.
5. No – industry does not lend itself
6. No – other reasons.
How to participate:
Just respond to the question when it appears on your screen

31. https:///
Announcement: LIVEFEST 2018
31
livefest2018.the-digital-insurer.com

32. Post webinar activities
Link to the recording will be emailed to registered participants
Our next webinar will be on 26th September on the topic of Insurance Innovation
Registration is now open: Go to Events / Webinars from the home page!
Please give us your feedback
If you would like to follow up with any of the panelists
- Les Wong: les.wong@the-digital-insurer.com
- Will Pritchett: Will.Pritchett@KPMG.co.uk
- Yoshi Makita: ymakita1@kpmg.com.au
- Tomasz Kurczyk: tomasz.kurczyk@axa.com.sg
- Young Yang: yang.yang@zatech.com
- Jacob Abboud: jacob.abboud@allianz.co.uk