Insurances are a very conservative business - not really sexy. But Oliver Bäte tried to gave the audience a deeper understanding of it. Oliver joined the Board of Management of Allianz SE in 2008 as global Chief Operating Officer. On May 6th 2015 he was appointed Chairman of the Board of Management.
Everyone in the industry, the government and even at DLD is talking about industrial revolution (3.0, 4.0, forget about the numbers). This revolution is driven by customers using amazon prime, Twitter, Snapchat etc. every day and want to have the same experience when it comes to insurances. Oliver Bäte would love to do so, but in reality "We are not ready yet" he said in conversation with Alan Murray (editor, Fortune Magazine). On the one hand you have some internal factors who can be changed, on the other hand you have external factors like strong regulations who may not allowed to send customers information via e-mail. We should all write letters to the regulators to change it, Oliver Bäte motivated the audience.
Another important topic for Allianz SE at the moment: the joint venture with China's web company Baidu. China's market is moving so much faster as the core in EU and even the US. Maybe they develop a new business model for the insurance company with a customer centered approach. Bäte said, insurance companies like all other companies have to learn more about what clients want. Understanding the customers and their needs. Delivering products customized to fit their needs will make insurance companies successful in the future. Nothing else are companies like Uber and AirBnB doing. Downloading of contracts via an app are possible now but often regulators are not allowing such thing that could make life easier. Yes, there's movement, Oliver Bäte explained. But is it the right direction? Regulations are different from country to country - a huge problem for global players like Allianz SE.
Oliver Bäte in conversaton with Alan Murray
Topics of Allianz SE
Big Data: Providing data can be a benefit for both customers and companies, e.g. feedback about driving behavior.
Health Insurance: What about my fitness tracker, asked Alan Murray. Will it have an impact on my health insurance when not walking 10,000 steps every day? Oliver Bäte's feedback is clear: you should not wear such things for an insurance. Steps and exercises only have a small impact on your health. It is much more important to invest in healthy nutrition. Even smoking is overrated, he said. A lot of people in the audience smiled and nodded about this information. Often those data is totally unethical to be used for health insurance, he reassured the audience. All the companies are in the very beginning in using data to give customers what they want, the customization has just started and it will take some time to change companies from B2B to B2C.
Risks: Geopolitics, legal problems, cyber risks, disintegration of the world are all risks for an global operator - but legal problems for example can be fixed. But what about climate change? There's often no framework existing to react and act sustainable. Governments invests more in digitalization and infrastructure at the moment, but we also have to ensure that all are allowed to invest in infrastructure to finally create Allianz 2.0, Oliver Bäte ended his talk with Alan Murray.