Startup InsurTech Award-Hepstar

1. E-MERCHANDISING TRAVEL INSURANCE

2. Introduction to Hepstar:
“We e-merchandise travel insurance”
Hepstar is a global leader in personalised travel
insurance e-merchandising.
We assist online travel merchants, insurers and
airlines to optimise insurance sales through machine-
learning- driven personalisation, pricing optimisation
and advanced promotional tools, as well as
continuous AB testing.
Our focus is on maximising value creation for our
partners while improving customer experience
through a customer centric approach.

3. SOLVING THE PERSONALISATION DILEMMA…
Specialised merchandising services &
Easy to implement technology
• Real-time recommendations (machine-learning)
• Advanced promotional tools
• Continuous AB – testing
• Simple but powerful API
• Global content aggregation

4. Personalising ancillary products/services [alone] could
increase ancillary revenue (And Premiums) incrementally
by as much as
SOURCE: Sabre, The Evolution of Customer Data, How data-driven personalistion will change the game of airlines, 2015
THE OPPORTUNITY (according to Sabre)
How much is in it for me as an airline and
insurers?
22%

5. Generating recommendations through neighbourhood /
user-based collaborative filtering algorithms
Product 1 Product 2 Product 3 Product 4
User Profile 1 User Profile 2 User Profile 3
Machine learning: the Hepstar recommendation engine automatically learns and analyses purchasing behaviour of customer profiles.
Data from other users and product purchases is collected, compared and through the application of data algorithms, it returns a list of
recommended products based on the computed product weighting.

6. HEPSTAR USES DATA ANALYTICS
and machine learning to profile customers which drives premium uplift
API

7. Generic Travel Insurance
Travel with peace of mind
ANONYMOUS CUSTOMER 1?
INDUSTRY STANDARD,
each customer receives the
same product offering
Generic
One-fits-all Product

8. Snowboard 1
FAMILY TRAVELER
Bob is mostly travelling with his family and usually does
not purchase insurance. He recently experienced delays
and his wife loves snowboarding.
Bob
With Hepstar,
each customer knows that
we are paying attention to
their specific needs
Next
Best Choice
Top
Recommended Product
Ancillary Specific
Product for Bob
Personalized product offering with
Hepstar merchandising engine ->

9. Not eligible for
insurers products
Offered budget
insurance Product
Offered family
insurance Products
Not eligible for
products based on
residency rules
Non eligible
customers identified
and drive product
innovation &
development
process
API GAP
ANALYSIS

10. Case study: European OTA with markets in Asia
Understanding customer trends/profiles through
continuous data analysis
+
Adjusting the travel insurance product portfolio
and merchandizing strategies accordingly
=
Insurance revenue increase
300%

11. 0%
20%
40%
60%
80%
100%
0 1 2 3 4 5 6 7 8 9 10 11 12
No products returned
Weeks 2018
Increase the product portfolio to cater for new customer profiles & adjust merchandising strategies
0
1000
2000
3000
4000
5000
1 2 3 4 5 6 7 8 9 10 11 12
Traffic
Customers not being offered insurance products reduced by more than 60%, while the
average weekly website traffic did not reduce.
Weeks 2018
The result of more customers being offered insurance products is a higher overall conversion, leading to an increase in
policy issues. The outcome of the increased number of policies issued was a tripling (300%) of insurance premiums.
0
50
100
150
200
250
300
350
1 2 3 4 5 6 7 8 9 10 11 12
Policies issues per week
0%
1%
2%
3%
0 1 2 3 4 5 6 7 8 9 10 11 12
Conversion

12. Airline
Partner
Global
Partner
Global
Partner
OTA
Partner
HEPSTAR
we like insurance… but we technology!