Presentation delivered at the Innovation in ASEAN insurance 2017 conference January 2017

1. Social Media, Social Good & Good Business
Can they fit together?
Philippe Danielski
24th January 2016

2. Why Are We Here?
2
To be the most professional financial
services organization in the world,
providing strong, reliable, trustworthy and
forward-thinking solutions for our clients’
most significant financial decisionsTo bring peace of mind
and build prosperity to
millions of Indonesians
To be the preeminent specialty
global property and casualty
insurer by providing coverage
and service that exceed our
customers’ expectations
Help Customers Understand and
Protect Themselves From Risk
To help customers live their
lives with more peace of
mind by protecting them,
their relatives and their
property against risks, and
by managing their savings
and assets

3. 3
Indonesia
Demographic
Dividend
Wealth
Creation
PopulationExplosion
InfrastructureSpend
Why Are We Here?

4. ©ZurichInsuranceCompanyLtd
Source: Lloyd’s Global Underinsurance Report, 2012
Huge Insurance Gap
& Opportunity
High Protection
Needs
Low Insurance
Understanding
Why Are We Here?
GI Underinsurance as a % of GDP and in US$ billions

5. 5
Banda Aceh, Dec 2004
Why Are We Here?
<$0.5B of $4.4B
reported damages
insured
167,540 Indonesian dead
or missing. 99% had no
life insurance
Source: RMS Special Report, 2005 & NOAA publication, 2004
After Tsunami

6. Why Are We Here?
"Innovation in ASEAN Insurance -
Exploring practical strategies to ensure
success in a changing technological
landscape"
Image source: http://www.marriott.com/hotels/travel/jktjw-jw-marriott-hotel-jakarta/

7. Why Explore Innovation?
7
Without innovation margins fall,
commoditization occurs, efficiency gains stop,
Entropy is reached.
Innovation moves the curves up and right
New demand,
Increased margins,
New markets and
segments.
supply
demand
price
quantity
new demand

8. Innovation and the Customer Journey
Digital Innovation &
TransformationDigital
Insurance
Technological
Advances
Online Claims
Data Analytics Mobile
Technology Advocacy
Loyalty
Satisfaction
Selection
Consideration
Awareness
Knowledge
* Source: Financial Literacy Survey by OJK in 2013
OJK says* only 18% know what insurance is.
A private survey of upper middle class to
mass affluent shows <1/2 the market knows
what General Insurance is and >1/2 of them
are WRONG

9. To fill the enormous gap in
insurance we need first to
build awareness of risk and
knowledge of insurance.

10. Over 100 Million Internet Users
Indonesia: Social Media Mania
82 Million
Users
Source: APJII, 2016, TechinAsia, 2015, www.consumerbarometer.com
308 Million Mobile Connections
People spend
27 hours/week
on their smartphones
50 Million
Users

11. Indonesia: Social Media Mania

12. Until it rains..
From Social Media to Social Good
12
People get much more concerned about risk.
The feeds change.
On the last two truly big flood days in Jakarta (9-10 Feb ‘15) there were
872,905 tweets mentioning flood events reported by @petajkt

13. ©ZurichInsuranceCompanyLtd
From Uninsured to Insurable
Zurich decided to harness this
Zurich Insurance Group was already committed
>USD 5 million 5 year (2014 – 2019)
Flood Resilience Program
13
• Increasing community flood resilience
• Enhancing effectiveness of disaster risk reduction solutions
• Informing policy makers and donors on disaster risk reduction
• Flood Resilience Measurement Tool

14. A Mobile application free to all 10+ million residents of Greater Jakarta
An early warning system to increase risk awareness,
inform and mitigate the effect of disasters/incidents.
Z-Alert: Social Media for Social Good

15. ©ZurichInsuranceCompanyLtd
Z-Alert: Building Awareness & Knowledge
15
Jakarta per annum averages:
>6k serious traffic accidents
>1,300 reported fires
>1,000 floods
Lloyds City Risk Index ranks Jakarta #20

16. 16
1. Customer:
Incident alerts increasing protection
Proactive service in claims
2. Partner & Distributor:
Innovation and differentiation
3. General Public:
Increase risk awareness
Build understanding of insurance need
4. Government Agencies & NGO’s
Tool to help manage and communicate
5. Insurer:
Big data
Reduced losses
Increase brand awareness
One application: many beneficiaries

17. Awareness – recognize risk and need to face it
Knowledge – what is insurance and why is it important
Technology
New Devices
Innovation
New Invention
Social Media
Digital
Mobile

18. 18
Let's innovate to raise awareness
and knowledge of insurance
Earthquake, Aceh 2016
Social Media, Social Good & Good Business
Can fit together!
>11,668 buildings & houses damaged and destroyed
Only 1,324 insured

19. Thank you