Interesting article by Nicholas Michellod of Celent. Nicholas invites us to 'consider a car insurance market where all new contracts go through online aggregators and that we assume all the car’s information (vehicle brand, type, category, plate number, etc.) and potential insured data (driver’s name, age, address, historical claims, etc.) is standardised, packaged to include all relevant information needed by an insurer to price a motor insurance risk, and instantaneously electronically transferred to an aggregator as soon as the car is purchased (payment triggers the packaged data transfer, quoting, binding, and contract sealing). With today’s technology and connectivity, this quote and bind process can be done in less than a second.'  Nicholas calls this high frequency underwriting.  See Link -

Nicholas asserts that this is what will allow insurers to differentiate - by being fastest

It seems desirable but wait!

Perhaps customers would like to personalise their product, has questions to ask and options to consider.  Perhaps the customer would like to retain control of their customer journey.  And yes, perhaps they would like all that to happen in a swipe!

Perhaps insurers would like to manage the underwriting decision based on the customer lifetime value, the current performance against target of the business... and respond in a way that would win the customer’s loyalty for longer that the first (perhaps loss-leading) year.

What if speed is not the only possible differentiator?

What if...

...there was a real-time arbitration, decision engine that could allow both customer and insurer interests to be taken in to account.  And decisions to be made contextually and in real-time with personalisation and TCF, all factored in, to a real-time decision?

Funnily enough, this decisioning capability is already working well for Telcos, Media organisations and Banks.  It lends itself very well to the complex insurance domain – Pega Customer Decision Hub.

See Pega site: