Video

How can insurance companies monetise value-added services?

Pega, Gjensidige Forsikring, buzzvault, LähiTapiola and Tribe

 

At Insurance Innovators: Nordics 2018 we interviewed Pega, Gjensidige Forsikring, buzzvault, LähiTapiola and Tribe to give their predictions on how the insurance industry can monetise value-added services.

It is widely accepted that premiums are set to decrease as risk becomes better understood and managed. This change undermines the core insurance business model as we know it, leading to a critical question facing the industry right now: how will insurers sustain their businesses in the future?

In light of this potential ‘cash-flow’ problem, many experts believe the insurance proposition is set to radically change from product-based to service-based. In this video, our experts discuss what this change means in reality and how services can be monetise – a move that some think is necessary if insurers are to futureproof their position in the market. Needless to say, many think it’s going to be a difficult transition, with technical issues and senior-level buy-in being among the top issues raised.

Our experts are in agreement that for this kind of business model to work, it is paramount that the customer remains at the centre of everything. Insurers must ask themselves what will really help customers? What do customers value most? It is only when the customer is at the heart of every decision that monetisation of value-added services can be achieved.