A presentation about data disruption in insurance by Florian Douetteau (co-founder at Dataiku) during our event "Barbares Attaquent" at TheFamily, where we zoom in one industry disrupted by the barbarians from Silicon Valley.
6/6/13Dataiku 3DataikuWe help peoplebuild their datalab2013
6/6/13Dataiku 4Why a data lab ?Personalize for Survival+ Sale Price- Buy Price- Discount- Advertising Costs- Indirect Advertising Costs- Search Optimization Costs- Cloud Marginal Costs+ Recurrence+ Loyalty ?-----------Predicted Deal Value+ Sale Price- Buy Price~ SEO-----------MarginSimple Funnel Model Multiple Contact Points ModelE-Commerce 2001 E-Commerce 2013
} New Team } New Tech} New “M” Paradigm◦ Let the machine decide,not the meeting6/6/13Dataiku 5Data LabBusiness Guy Data ScientistTech Guy
Is your data lab ready ?6/6/13Dataiku 6Can you bring in …What is your ability to integrate a newsmart guy and give him anydata he would need and any computingpower he would need to enhanceyour product ??
6/6/13 Dataiku7Insurance is already data driven
Data Usage Evolution6/6/13Dataiku 8LinearGeneralizedLinearModelCART MARS Neural NetworksPricingBusinessScopeModelComplexityDataScopePricingUnderwritingRetentionPricingUnderwritingRetentionFraudRecruitmentInternalInternalDemographicsAgency DataInternalDemographicsAgency DataOpen DataReal-Time Flow1990’s 2000’s Soon
How do you combine data ?6/6/13Dataiku 9DATAPrice ScoreRetention ScoreAffiliate ScoreRisk Score…Combine atthe strategicor individuallevel ?
What is your practice w.r.t Churn ?6/6/13Dataiku 10DataProfitabilityAnalyticsKey DriversStrategic ObjectivesMarketing PlansEnhance ScorerEffectMeasurement1 year ? 5 years ?
Acquire, Manage, Releaseeach customer individually,throughout his life and keyevents} Gather all relevant data,even partial or inaccurate} Share methods andalgorithms between CRMand Risk Analytics} Run Global A/B Tests.Don’t decide fromreports.Churn: The Digital Way6/6/13Dataiku 11New HouseNew Girlfriend?Phone+MailCampaignLiked “Vodka”On FacebookNew CarSpecific RiskDetectedBirthDeathMobile InfoTravel To China?New Girlfriend?New CarChange BankDiscountOfferingSpecificRiskDetected
6/6/13Dataiku 15Insurance TelematicsNew Services New Product DeliveryNew Business Model Data Processing and Predictive CapabilitiesPerformance Monitoring+ Theft recovery+ Performance+ Oil SavingsProgressive (2011):2 billions miles of data
Progressive (Snapshot) - State Farm- AllState (DriveWise) - Nationwide(SmartRide) - Hartford (TrueLane) -Esurance (DriveSense) - State Farm(Ford Sync) - CSE (Save) - Elephant(DriveIQ) - Dtric (Akamai) - MetroMile - Insure The Box - ….Car Insurance Telematics: From 1997 to 2013 and beyond …6/6/13Dataiku 16Source: ABI Research, “Insurance Telematics”, Q1 2012
6/6/13Dataiku 20User Based Insurance Next : Health ?KyruusFind the most efficientdoctor for each patientValidicConnect mobilehealth appsPractice FusionFree, Web-BasedElectronic Web RecordsToday: Data Generation Health Digitalization StartupsTomorrowPersonalized Insurance ?Patient drivenplatform to share onlineinformation with physicianLinked-in for physicians