{ "docId": "019dd923-5de0-76bd-a168-e1181c84938a", "docSlug": "46c568218da7f83f", "documentTitle": "Blurred lines: How FinTech is shaping Financial Services", "authorId": "PwC", "authorName": "PwC", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "landscape", "aspectRatio": 1.414, "pageNumber": 16, "pageCount": 37, "prevPage": 15, "nextPage": 17, "slideType": "industry_trends", "function": "summarize", "density": "overcrowded", "nDataPoints": 0, "notes": "PwC Global FinTech Report page 15.", "elementsJson": [ "paragraph", "icon_grid", "callout_box" ], "metadataConfidence": 0.9, "imagePath": null, "slideHref": "/slides/019dd923-5de0-76bd-a168-e1181c84938a/16", "deckHref": "/decks/019dd923-5de0-76bd-a168-e1181c84938a", "deckJsonHref": "/decks/019dd923-5de0-76bd-a168-e1181c84938a.json", "deckAnchorHref": "/decks/019dd923-5de0-76bd-a168-e1181c84938a#slide-16", "components": [ { "bbox": { "h": 0.1, "w": 0.25, "x": 0.7, "y": 0.5 }, "kind": "callout", "text": "The telematics-based solution that enables pay-as-you-drive is one of the first models to emerge and is gaining momentum.", "attrs": null, "subkind": "primary", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5c249eb1-8bad-4a66-bd43-424eacc61e40", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.25, "x": 0.7, "y": 0.23 }, "kind": "image", "text": "Car telematics icon", "attrs": null, "subkind": "illustration", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "4b5b2497-7e0a-413f-be6d-763b2bb315fe", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.35, "w": 0.3, "x": 0.36, "y": 0.27 }, "kind": "paragraph", "text": "Customers with new expectations and the need to build trusted relationships are forcing incumbents to seek value propositions where experience, transaction efficiency and transparency are key elements. As self-directed solutions emerge among competitors, the ability to differentiate will be a challenge. Similarly, usage-based models are emerging in response to customer demands for personalised insurance solutions. The ability to access and capture remote risk data will help to develop a more granular view of the risk, thus enabling personalisation. The telematics-based solution that enables pay-as-you-drive is one of the first models to emerge and is gaining momentum; new approaches are also emerging in the life insurance market where the use of wearables to monitor the healthiness of lifestyles can bring rewards and/or premium discounts among other benefits.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "30d2e2f5-b084-48a4-b73b-193a231e7411", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.3, "x": 0.36, "y": 0.63 }, "kind": "paragraph", "text": "Leveraging new data sources to obtain a more granular view of the risk will not only offer a key competitive advantage in a market where risk selection and pricing strategies can be augmented, but will also allow incumbents to explore unpenetrated segments. In this line, new players that have generated deep risk insights are also expected to enter these unpenetrated segments of the market; for example, life insurance for individuals with specific diseases. Finally, we believe that, in addition to social changes, the driving force behind innovation in insurance can largely be attributed to technological advances outside the insurance sector that will bring new opportunities to understand and manage the risk (e.g. telematics, wearables, connected homes, industrial sensors, medical advances, etc.), but will also have a direct impact on some of the foundations (e.g. ADAS and autonomous cars).", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5eb180b5-9e4f-4386-a635-56e2481f0a34", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.3, "x": 0.05, "y": 0.56 }, "kind": "paragraph", "text": "Remote access and data capture was ranked third by the survey respondents according to the level of importance (see Figure 9). Deep risk (and loss) insights can be generated from new data sources that can be accessed remotely and in real-time if needed. This ability to capture huge amounts of data must be coupled with the ability to analyse it to generate the required insights. This trend also includes the impact of the Internet of Things (IoT); for example, (1) drones offer the ability to access remote areas and assess loss by running advanced imagery analytics, and (2) integrated IoT platforms solutions include various types of sensors, such as telematics, wearables and those found in industrial sites, connected homes or any other facilities/equipment.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "ebd5c8e2-b9ad-4568-a1a2-09173e07f497", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.25, "w": 0.3, "x": 0.05, "y": 0.27 }, "kind": "paragraph", "text": "Current trends also show an increasing interest in finding new underwriting approaches based on the generation of deep risk insights. In this respect, usage-based models – rated the second most important trend by survey participants (see Figure 9) – are becoming more relevant even as initial challenges such as data privacy are being overcome. Auto insurance pay-as-you-drive is now the most popular usage-based insurance (UBI), and the current focus is shifting from underwriting to the customer. Initially, incumbents viewed UBI as an opportunity to underwrite risk in a more granular way by using new driving/behavioural variables, but new players see UBI as an opportunity to meet new customers' needs (e.g. low mileage or sporadic drivers).", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f92fe30b-c96d-4372-ba4e-37f4dca3867f", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.3, "x": 0.05, "y": 0.23 }, "kind": "title", "text": "Usage-based insurance is becoming more relevant", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "a8462bc1-7431-4e29-98be-f3a7a9eee623", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.3, "x": 0.05, "y": 0.52 }, "kind": "title", "text": "Data capture and analytics as an emerging trend", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "b4043263-c8d7-4f1b-87e8-b2cce4bebca9", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.3, "x": 0.36, "y": 0.23 }, "kind": "title", "text": "So what? – Differentiate, personalise and leverage new data sources", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c808f70d-8e61-4627-8e01-270ad692f2dd", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [], "arcBeats": [ { "to": 20, "from": 6, "beatId": "e635e57f-68c7-4656-bafa-cf7a9857fbfc", "arcName": "Problem-Agitate-Solution", "arcSlug": "problem-agitate-solution", "beatName": "Industry Trends", "beatSlug": null, "evidence": "The document outlines various FinTech trends and their impact on Financial Services.", "position": 1, "confidence": 0.8, "parentBeatName": null, "parentBeatSlug": null } ], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }