1.
Rethinking the Insurance Business !
in a Connected World
Praveen Velichety
| praveen.velichety@uk.ibm.com | @velichety

2.
“The Internet of Things is just a very technical term
and doesn’t really mean anything to people.
The things don’t matter and they are just the
enablers of experience and that’s what we should
be talking about”
- Connecting Makers
(https://vimeo.com/158548052)

3.
experience has emerged as the only sustainable source of
growth and differentiation
Source: IBM Applied Insights

4.
1. Which business should we be in?
2. How can we create value?
3. How can we capture value?
Today is about briefly outlining how can we Rethink our Business in
a Connected World

5.
With the Society for Grownups,
which business is Mass Mutual in?
Image Credit: IDEO

6.
Image Credit: Keun Wook Ji
When we Connect Things …
Business Models Change

7.
When we connected networks
.. we had the internet
When we connected people
.. social media
We are now about to connect devices and things
.. this is exciting

8.
IoT enabled Under Armour to transform from a Sports Goods business to a Health & Fitness Business

9.
With the Industry Lines are Blurring, so which business should we be in?
Image Credit: H.Samuel

10.
1 Start with the User, Apply Design Thinking
2 Find and Deliver Insights that Matter
3 Collaborate in Ecosystems
Key enablers of effective value creation

11.
GE Healthcare transformed from Designing a Remarkable Product ..!
to Designing the Experience
Image Credit: crossindustryinnovation.com

12.
Source: Medtronic – Functionality shown is for Demonstration only
Predicting a hypoglycaemic event up to 3 hours in advance matters to a diabetic

13.
Demonstrating Value Creation in the Business Model
Key Partners Key Activities
Key Resources
Value Propositions Customer Relationships
Channels
Customer Segments
Cost Structure Revenue Stream
Keep My
Family
Safe
Live a
Healthier
Life
Help Tackle
Child
Obesity
Help Me Be
a Safer
Driver
Ensure I will
be Stable in
Retirement
Look after
My Elderly
Mum
Take Worry
Free
Holidays
Protect My
Digital
Identity
Psychographic Segmentation
!
Based on preference !
for the channel of engagement !
Psychographic Segmentation
!
Based on preference and adoption
of technology!

14.
1 Reduce Claims Cost by Changing Behaviour and !
Early Detection / Prediction of Loss
2 Increase Revenue through New Products (incl. PAYD, PHYD)
3 Improve Margins from Engaged Customers
Key drivers to capture value

15.
Demonstrating Value Capture in the Business Model
Key Partners Key Activities
Key Resources
Value Propositions Customer Relationships
Channels
Customer Segments
Cost Structure Revenue Stream
Articulate the Cost Impact
- incl. Devices, Platform, Service and Net Claims Cost
Articulate the Revenue Impact
- incl. New Business, Retention, Cross-sell, Uplift from Ecosystem

16.
1. Which business should we be in?
2. Can we add value to our Customers?
3. Will we make money from it?
We need to Rethink our Business in a Connected World

17.
@VELICHETY ;-)