Session 23 PD, How Small Companies Can Outperform. Moderator: Terry M. Long, FSA, MAAA. Presenters: Doug Baker Jenna Lauren Fariss, ASA, MAAA

Transcription

1 Session 23 PD, How Small Companies Can Outperform Moderator: Terry M. Long, FSA, MAAA Presenters: Doug Baker Jenna Lauren Fariss, ASA, MAAA SOA Antitrust Disclaimer SOA Presentation Disclaimer

2 How Small Companies Can Outperform Session 23 Terry Long, FSA, MAAA Jenna Fariss, ASA, MAAA Doug Baker October 24, 2016

3 SOCIETY OF ACTUARIES Antitrust Notice for Meetings Active participation in the Society of Actuaries is an important aspect of membership. However, any Society activity that arguably could be perceived as a restraint of trade exposes the SOA and its members to antitrust risk. Accordingly, meeting participants should refrain from any discussion which may provide the basis for an inference that they agreed to take any action relating to prices, services, production, allocation of markets or any other matter having a market effect. These discussions should be avoided both at official SOA meetings and informal gatherings and activities. In addition, meeting participants should be sensitive to other matters that may raise particular antitrust concern: membership restrictions, codes of ethics or other forms of selfregulation, product standardization or certification. The following are guidelines that should be followed at all SOA meetings, informal gatherings and activities: DON T discuss your own, your firm s, or others prices or fees for service, or anything that might affect prices or fees, such as costs, discounts, terms of sale, or profit margins. DON T stay at a meeting where any such price talk occurs. DON T make public announcements or statements about your own or your firm s prices or fees, or those of competitors, at any SOA meeting or activity. DON T talk about what other entities or their members or employees plan to do in particular geographic or product markets or with particular customers. DON T speak or act on behalf of the SOA or any of its committees unless specifically authorized to do so. DO alert SOA staff or legal counsel about any concerns regarding proposed statements to be made by the association on behalf of a committee or section. DO consult with your own legal counsel or the SOA before raising any matter or making any statement that you think may involve competitively sensitive information. DO be alert to improper activities, and don t participate if you think something is improper. If you have specific questions, seek guidance from your own legal counsel or from the SOA s Executive Director or legal counsel. 2

4 Presentation Disclaimer Presentations are intended for educational purposes only and do not replace independent professional judgment. Statements of fact and opinions expressed are those of the participants individually and, unless expressly stated to the contrary, are not the opinion or position of the Society of Actuaries, its cosponsors or its committees. The Society of Actuaries does not endorse or approve, and assumes no responsibility for, the content, accuracy or completeness of the information presented. Attendees should note that the sessions are audio recorded and may be published in various media, including print, audio and video formats without further notice. 3

5 How Small Companies Can Outperform Session Overview 1. Introductions 2. Vendor Perspective 3. Life Insurance Company Perspective 4. Closing Remarks and Questions 4

6 Contact Information Terry Long, FSA, MAAA Lewis & Ellis, Inc

7 How Small Companies Can Outperform Jenna Fariss Actuary and CISO Session 23 Panel Discussion

8 The Story 1997 Intern 2

9 Considerations Less Bureaucracy Flexibility Seize Opportunities Move Quickly Unique Assets/Employees 3

10 The Story Just 4 people, actuaries 1997 Intern 4

11 Considerations Ask for help Lack of knowledge not necessarily a disadvantage when it forces you to seek out a true expert Focus on Mastery, Outsource the rest Can go both ways 5

12 The Story Just 4 people, actuaries 1997 Intern Y2K 6

13 Considerations Nimble Ability to Innovate See the problem and a way to fix it Creative Solutions Reaction Time, quickly enter or exit markets Leap into new opportunities Or sit back and learn from the market early adapters Step back and train Forces Prioritization 7

14 The Story Systems for Policy Administration Just 4 people, actuaries 1997 Intern Y2K 8

15 Considerations Reinvent yourself No coattails or large team of people to employ Grow at a rate of Bite Size Chunks 9

16 The Story Systems for Policy Administration Just 4 people, actuaries 1997 Intern Y2K Third Policy Administration 10

17 Considerations Many Hats Less ability to delegate Hand in each piece of the puzzle Procrastination=Thinking Scenario Testing, backup plans 11

18 BOUGHT, NOT SOLD

19 We are a small fraternal insurer Based in Toronto; founded in 1939 Provincially regulated until 2008 in Ontario Expanded from 1 province to full Award-winning online application completely underwritten online Continuous improvements launched through 2015 Brought in white-label partners national licensing in 2015

20 LESSONS FROM GIN GIN IT S A JOURNEY NOT A DESTINATION

21 WE LEARNED A LOT ALONG THE WAY

22 STAYING COMPETITIVE Punching above our weight ADVANTAGE: our size DISADVANTAGE: our size Confront our strengths and weaknesses Never rest

23 OVERCOMING BARRIERS WIIFM marketing what s in it for me? Helping policyholders remove all friction Disrupt their complacency Support through self-service

24 SMARTER Must differentiate BUDGETS and target better

25 SMALLER BUDGETS MUST BE SMARTER Know the policyholder you want and can get Be clear on what makes you different Invest in removing any additional pain points Invest in insights you can use

26 INSIGHTS WE USE: EDUCATORS & LIFE INSURANCE 37% think insurance is a luxury they can t afford 60% would prefer a free iphone over free insurance for a year 29% are afraid to get a medical exam 9% higher than general population 54% are overwhelmed by the choices 9% more than general population

27 NEXT CHAPTER Insurance that is bought, not sold

28 OUR GOAL: INSURANCE THAT IS BOUGHT Advancing on digital marketing: hyper-targeting using mobile geolocation to find our audiences Investing in analytics data collection is a big step forward for us Automating more personalized communications Automating communications: administration, forms and white-label marketing

29 KEEPING OUR MOMENTUM GOING TECH INVESTMENTS BEYOND 2017 Deeper investments in data & technology New white-label services & support Improved Launching a CRM for a growing firm back office & administration

30 IT S A JOURNEY IT S A JOURNEY NOT A DESTINATION NOT A DESTINATION There is no build it and they will come Their last best experience with us online is what they expect next time Investments in technology must be supported by changes to people, processes Small insurers can succeed work our advantages