Vision for the 21st Century Insurer

DXC Insurance Insights2019

Digital insurance platform

Digitally-enabled core services

ΔMcKinsey Global Institute 2017

Beyond tools and technology, partnership is key

Transform engagement model with key partner(s)

• Establish partnership agreement

• Create power couples as sponsors to own commitments

• Promote architectural alignment and strategic business plans

Insurers know what needs to changeUsing an outside in approach to drive product and customer experience towards a new model

Engage cloud partners to create foundational platform for innovation

• Co-create migration strategy to adopt platform

• Determine cloud provider with appropriate APIs and select for production target state

Digital insurance platform• The Digital Insurance Platform is an industry proven set of APIs and

microservices, plus an development and deployment environment designed to empower business analysts and actuaries to rapidly model, develop and deploy products to market

• DXC’s global partnership with AWS has resulted in an accelerated rate of innovation and development for our platform. By drawing on AWS’ powerful set of cloud based capabilities, we have simplified our client’s ability to innovate and consume cloud based capabilities such as AI, ML, just in time analytics and Alexa.

Persona-based insurance applications • Persona based insurance applications supporting highly

configurable customer engagement capabilities, enabling the right conversation at the right time

• DXC’s UX/UI framework provides rapid deployment of Persona based insurance application, which readily integrate with Gateway exposed API’s.

Profound Market Changes Changing Demographics Increasingly Digital World

Digital Natives

Cloud

Analytics

Social

Cyber

Insurers believe rapid product development is crucial for survival in the new world

Abandonment rate for insurers online channels

Insurers believe up to 20% of their revenue is at risk from InsurTechs

Insurers believe they have the necessary platform and capabilities

Abandon purchases due to onerous application process and too much information required

Insurers currently partner with InsurTechs and believe they are a source of innovation

Apps

Mobile

Rising Middle Class

Ageing Population

The world is changingDemographic, sociographic and psychographic mixes have all shifted radically

Consumerisation

New Business Models/Players

Virtual / Physical

Change / Disruption?

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Digitally enabled core services• The digitally enabled core is DXC’s Policy Administration System

(PAS) core. It provides an industry proven foundation for our Digital insurance suite

• DXC’s digitally enabled core readily integrates with DXC’s Digital Insurance suite whilst remaining flexible enough to integrate to our client’s existing insurance IT ecosystem.

Platform operations • DXC’s Platform operations is a set of industry proven services

designed to allow our clients to focus on the business of insurance and not on running an IT operation

• DXC is the largest global independent end to end IT service provider in the world. Our independence has provided us with the flexibility to work with the right partners for our clients but in the process, has created a wealth of partnerships resulting in a rich ecosystem of capabilities we now provide to our clients

• DXC’s partnership with innovation communities provide a rich source of rapid insuretech innovations which give our clients a path to rapidly accelerated innovation and more importantly effectively integrate them into production.

Co-invest and co-innovate on platform based on business prioritised needs

• Align investment roadmap with business needs

• Commit to co-investment for platform aligned with strategic plans

Test for value creation over short periods

• Use short cycles of innovation to test solution for business viability

• Realign strategic plan based on short cycles of findings from innovations

Industrialised proven capabilities to capitalise on scale

• Develop service design, governance and commercial models to support effective transition successful innovations to production

Three key areas to accelerate in the age of digital insuranceSpeed to market, Digital engagement and innovation

Customer centric products

Customer centric experience New business models Speed to market Speed of engagement Speed to innovate

Speed to market through product innovation requires three capabilities:

• centralization of product rules

• testing and production use of product models

• move modeling to the business

• Flexible engagement channels, anywhere, anytime and any device

• Flexible workflow, collect only the information needed for each stage of engagement, with reuse of existing data

• Persona based engagement models

• Platform extensibility, enabling rapid integration of InsurTech

• Cloud integration and/or deployment, enabling consumption of cloud services from major providers (e.g. AI, speech to text etc)

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82% 83.7% 56%

12% 34% 45%

Digital insurance reference model

Persona-based insurance applications

Consumer Broker Advisor AdjusterCustomer Service rep.

Digital Marketer EcosystemUnderwriter

• Public reference APIs• Insurance entity model• API gateway & manager

• Product • New business• Policy administration• Billing• Claims• Reinsurance

• Cognitive / AI / ML• Analytics & reporting• Analytics & Platforms• Data platforms

• Provisioning / de-provisioning• Monitoring & management• Hybrid cloud management

• Network management• Help desk / escalation• Scheduling/file transfers

• Cybersecurity monitoring• Capacity management• Versioning / patching

• Metering / billing• Logging / audit• Disaster recovery/ business continuity

Platform services• Telematlas / IOT• Digital claims• Digital Marketing• CRM

Technology services• E-signature• Notifications• Chat/voice• E-content

Business services• Travel & transportation• Health & fitness• Entertainment• Security & monitoring

• UI/UX framework• Enterprise MEAP• State manager

• Hybrid API adapters • Identity & access management

Product Marketing Distribution Servicing Billing Claims

Components

Platform operations

Systems of analysis Insurance ecosystem: Platforms & services

SaaS DeploymentCloudificationThrough modernization

Australia and New Zealand26 Talavera RoadMacquarie Park, NSW 2113T +61.(02)9034.3000www.dxc.technology/au

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Reflect and engage with DXC to help transform your company to a 21st century insurer At DXC, we know there is a world of difference between know-what and know-how and we believe the old approach of one size fits all is inadequate to solving challenges many businesses face today.

To begin your journey, we invite you to take a five step approach:

The path to success is achieved with 3 Ps• Platform must be purpose built for insurance

• People and methods must be field tested and proven to support migration at pace and with certainty

• Partnership must help support business needs, now and into the unknown future (create a vendor agnostic platform which can readily integrate new capabilities as business and markets demand them), and leverage an ecosystem of fintechs to accelerate innovation.

Reflect on the effectiveness on your digital transformation journey to date

Discover our solutions, capabilities and partner ecosystems and their potential to help accelerate your transformation journey

Consider the benefits of a partnering plan with DXC to co-create and co-invest to foster capabilities for your future

Plan and execute for growth instead of struggling to solve the same problems with the same old 20th century approaches.

Engage with us to discuss your working hypothesis against our global experience

About DXC TechnologyAs the world’s leading independent, end-to-end IT services company, DXC Technology (NYSE: DXC) leads digital transformations for clients by modernising and integrating their mainstream IT, and by deploying digital solutions at scale to produce better business outcomes. The company’s technology independence, global talent, and extensive partner network enable 6,000 private and public-sector clients in 70 countries to thrive on change. DXC is a recognized leader in corporate responsibility. For more information, visit www.dxc.technology/au and explore thrive.dxc.technology, DXC’s digital destination for changemakers and innovators.

© 2019 DXC Technology Company. All rights reserved. MD_9779a-19 March 2019