Insurance Europe

• The Trusted German Insurance Cloud (TGIC) is a secure cloud infrastructure for the insurance industry and its communication partners and customers. It is the first cloud solution certified by the Federal Office for Information Security. With standardised authentication mechanisms and strong data encryption, the TGIC provides a secure communication platform.

• Several new hybrid life insurance products have been developed in recent years that combine a higher degree of freedom of investment — and therefore a higher expected return — on the one hand, and, on the other, a minimum level of certainty and predictability of future pension benefits, as requested by customers who are members of the scheme.

• In 2016, the GDV launched an Accident Reporting Service (Unfallmeldedienst) to ensure that, if there is a road accident, help arrives as soon as possible, especially in rural areas. When an accident occurs, it activates a smartphone app, which automatically sends the vehicle’s position and a report on the severity of the crash to an emergency call centre. At the same time, it establishes a voice link between the car and a staff member at the centre. The biggest advantage of the system is that, unlike the eCall emergency call system that had to be installed in new cars from 2018, this accident reporting service can be added to any car with a 12 volt socket, such as a cigarette lighter socket.

• Together with its members, the GDV developed and implemented a voluntary transfer agreement for funded occupational pensions (Übertragungsabkommen, updated 2010). The agreement has proved to be successful.

• In 2009, German insurers founded a pension equalisation fund (Versorgungsausgleichskasse), to take over some pension products when old-age and disability entitlements acquired during marriage are split after divorce.

• Standardised General Terms of Agreement for household insurance products were developed in 2013 and have been adopted by several insurance companies. Their aim is to make insurance products comparable and transparent for consumers.

• Health insurers have created apps to provide education and guidance on healthier lifestyles for policyholders. Through the use of other platforms, such as Skype, some insurance providers offer free medical consultations by a general practitioner as a policy benefit, which is particularly beneficial for rural policyholders.

• Telematics systems are increasingly installed as aftermarket devices in motor vehicles by insurance companies, making it possible to provide consumers with tailored motor third-party liability (MTPL) cover, as well as other value-added services. At the end of 2021, 7 million vehicles had telematics systems installed for usage-based MTPL policies. The highest number per vehicles in Europe.

• The market has also seen the introduction of health insurance products linked to smartphones and other devices. The devices collect data on physiological parameters or parameters related to lifestyle, including heart rate, blood pressure, body temperature, weight, blood glucose levels, exercise and sleep. These devices help consumers to take care of their own wellbeing and may lead to a premium discount when they renew their insurance policy. In addition to new, flexible, modular products with extensive guarantees and assistance services, the companies have developed digital on-demand products that can respond promptly to the insured’s protection needs in just a few smartphone clicks. The companies have also developed policies to cover administration of the COVID-19 vaccine.

• There has been a significant increase in companies’ investment in technologies and tools (big data, AI, blockchain, IoT) to develop new insurance solutions and increasingly personalised services for policyholders or to streamline processes. Several partnerships have been signed with technology providers.

• Initiatives to meet the needs of SMEs are being taken, with flexible products that allow for the customisation not only of guarantees and capital, but also of deductibles and excesses. In addition, solutions have been devised to support specific categories of business (eg, wind energy suppliers, beekeepers, self-employed hauliers, nursing homes). There have also been several initiatives for “green” companies and the hospitality industry.

• Cover for the growing number of cyber risks and attacks is often included in modular family policies, but new, ad hoc products are also being developed.

• In 2015, home insurance products were introduced that not only provide insurance against damage, but also come with a device that can be installed in the house to prevent damage. It can detect gas, smoke or water leaks, the loss of electricity and acts of burglary by means of sensors. It allows consumers to monitor the risks remotely and is connected 24/7 to an operation centre for immediate emergency calls. In addition to modular policies, innovative products have been developed that adapt to customers’ lifestyles, as well as online home/motor packages that offer a wide range of optional property, health, pet and leisure cover. The insurance industry has also developed: products that reward sustainability with discounts; civil liabilities policies for the experts who certify if renovation works are eligible for the national fiscal incentives aimed at increasing the energy efficiency of buildings; and innovative pay-per-use policies that make extensive use of new technology.

• Insurers offer tailored pay-as-you-drive motor policies that use the data from telematics devices in vehicles to adjust policy premiums.

• The Dutch Association of Insurers developed an online tool to help young people who recently left home and live on their own to check whether their insurance policies are up to date. By answering a set of yes/no questions, the young consumer is told which risks are not (properly) covered.

• All employees in the private sector who are members of a defined contribution pension scheme will have their former pension savings included into their defined contribution pension with their current employer. This own-pension account was introduced on 1 January 2021.

• By using telematic systems, insurers offer tailored motor insurance products, as well as other services.

• For non-MTPL motor liability lines, new policies have been designed for personal mobility vehicles, bicycles, etc. in which the coverage is activated when the vehicle is used.

• Defined contribution (DC) occupational pension schemes are normally member-run. Designated providers under collectively agreed schemes (covering approx. 90% of the workforce) have to offer products that fulfil certain criteria stipulated by the social partners. The products can be unit-linked insurance or traditional life insurance, or a combination of products, and may therefore include risk-sharing and a guarantee. This means that, and in spite of the fact that the scheme is DC, the designated providers may take over risk from the employee as a result of the product design.

• Insurance companies offer mobile apps/online options for buying insurance products and submitting claims. Some companies offer telemedicinе services.

European insurers constantly innovate to meet consumers’ evolving demands and needs. This interactive tool showcases examples of innovative and consumer-focused initiatives by the insurance sector. They were developed with specific national features in mind, such as the regulatory frameworks and local consumers needs, which — like companies — can differ significantly between EU countries. Insurance products and services are therefore not directly transferable from one market to another. Supervisors at national and European level should thoroughly assess regulatory, structural and cultural environments, as well as their existing powers, before considering new initiatives.

• A group of insurers have developed a motor-accident prevention programme that uses mobile phone technology to promote and reward responsible behaviour and risk-reduction while driving. This technology, which users voluntarily activate on their mobile phones, monitors driving style, excessive speed, sudden braking and mobile phone use while driving. The programme rewards good drivers, so users with the best ratings are provided with exclusive additional coverage when taking out a new policy. As part of the programme, a series of challenges and contests are held to encourage users to drive responsibly.

• In 2022, one insurer started to offer repairs of damaged property as an alternative to financial compensation. This innovative service in property insurance came at a time when it is increasingly difficult for clients to find tradespeople to make minor repairs after damage to their houses or apartments.

• One insurer reports growing interest each year in its mileage-based car insurance (pay as you drive).

• The collision insurance for cars over 25 years old offered by one insurer includes a product with a telematics element that allows the old vehicle to be under constant supervision.

• One insurer offers clients consultations with experts for health or social problems, ranging from dealing with a legal dispute to having psychological problems or just needing IT support. It will also send tradespeople to deal with uninsured home emergencies or provide household maintenance. This assistance is therefore not linked to a major life event, but is intended for everyday problems.

• One company includes free bicycle assistance in its property insurance. In the event of an accident or problem, technicians either repair the bicycle on the spot or take it to a service centre, the policyholders home or another location they specify within a radius of 50km. Assistance is also provided up to 30km beyond the Czech border.

• One insurer offers those who prefer to communicate in writing — especially people with hearing impairments — on online speech transcription service to use during phone calls and face-to-face in branches.

• In 2014, Assuralia developed non-binding sectoral questionnaires that are now used in sales discussions between intermediaries and their customers. These documents provide a way to analyse the customer’s demands and needs, as well as the suitability or appropriateness of products (where relevant) and record the final outcome of the conversation with the customer (advised or non-advised sale). The questionnaires were developed with the broking federations and the national supervisor to ensure they are easily understood by customers. In 2022, the questionnaires were updated to take account of the new suitability obligations under the EU Insurance Distribution Directive.

• An agreement between Assuralia and the Ministry of Defence gives more clarity and security to military staff on missions abroad about the conditions related to the preservation of death cover linked to a mortgage while on their mission.

• Insurers and pension funds have a sectoral agreement on the standard documents that are to be used for the transfer of individual pension reserves when someone changes employer.

• In 2013, there was a sectoral agreement introducing recommendations for a strategy to fight fraud in the insurance sector. Based on those recommendations, a claims database, focussing on motor claims, was developed in 2021 to fight organised fraud.

• Assuralia is involved in prevention campaigns such as the longstanding BOB designated driver campaign, in collaboration with the Vias institute for road safety, in order to promote safe and responsible road behaviour and best practice in raising awareness about driving under the influence of alcohol.

• Assuralia launched its consumer information website, ABCAssurance/ABCVerzekering, in 2013. The website provides consumers with information on prevention, insurance contracts and claims handling. It includes checklists that guide consumers step-by-step through particular situations, such as building a house, starting a business or coping with a flood. Further information is provided in brochures, videos and FAQs.

• A database has been in place since 2010 that provides the authorities with 24-hour-a-day contact with insurance companies that provide assistance to drivers who have been involved in an accident or breakdown.

• In 2021, Assuralia, in collaboration with financial sector association Febelfin, launched the Club Invest website with clear, consumer-friendly videos and brochures to help individuals define their investment profile and needs.

• Assuralia has created a “Towards sustainability” label to help all types of retail and institutional investors looking for more sustainable savings and investment solutions, as well as to encourage financial institutions to offer a diverse range of quality sustainable products.

• A sectoral agreement on advertising and product information documents for life insurance was reached in 2007 by Belgian insurers. The agreement lays down rules on marketing communications, such as the obligation to provide clear, not misleading information and minimum requirements with regard to the information that needs to be included in these communications. The agreement also contains an obligation to provide consumers with financial information sheets.

• Assuralia launched its consumer information website, ABCAssurance/ABCVerzekering, in 2013. The website provides consumers with information on prevention, insurance contracts and claims handling. It includes checklists that guide consumers step-by-step through particular situations, such as building a house, starting a business or coping with a flood. Further information is provided in brochures, videos and FAQs.

• To respond to major events such as floods or the war in Ukraine, Assuralia provided checklists, brochures and information on its website ABCAssurances/ABCVerzekering. This includes information on hosting refugees here and on floods here, where customers can also find a mapping of areas at risk of flooding.

• Students aged between 16 and 18 and teachers can use the educational website ”Beter Zeker” that has been developed by Assuralia to educate about insurance. Teachers can construct a lesson about insurance that fits the needs of their students, as they follow a virtual lesson about insurance with examples such as what to do about the financial consequences of a skiing accident. The lessons are currently only available in Dutch.

• A company offers usage-based motor insurance that works with an app. The insurance is activated and deactivated when a GPS device is used. While using the GPS device, there is also the possibility to buy casco insurance.

• One home insurer covers the cost of psychological counselling to help customers cope with a burglary, robbery or fire.

• The ABI has published guides and case studies to help firms adapt, and illustrate how firms are adapting, to evolving rules on communication in the retirement market. These include “Communications through the life course”, “Finding the Right Path”, “Future proofing the freedoms”.

• The DB2P database provides information on occupational pension arrangements. Since 2016, members can also learn about their individual pension rights from this database.

• In 2015, insurers and pharmacists launched the “AssurPharma” project, which facilitates the (additional) compensation of medication by private medical insurers. Thanks to “AssurPharma”, consumers no longer have to send their insurer a paper certificate that is filled in by the pharmacist. Instead, the certificate is sent digitally and securely from the pharmacy where the medication is purchased directly to the insurer. This significantly reduces the administrative burden for consumers.

• An interactive app was created by Assuralia in 2014 to help victims of physical injury receive compensation.

• Assuralia launched its consumer information website, ABCAssurance/ABCVerzekering, in 2013. The website provides consumers with information on prevention, insurance contracts and claims-handling. It includes checklists that guide consumers step-by-step through particular situations, such as building a house, starting a business or coping with a flood. Further information is provided in brochures, videos and FAQs.

• In cooperation with the Ministry of Agriculture and the Agency for Payments in Agriculture, Fisheries and Rural Development, the HUO implemented a project to connect insurers with the ARKOD database, the national record of agricultural land use, to make it easier for farmers and insurers to finalise policies.

• Cooperation between the HUO and the Ministry of the Sea, Transport and Infrastructure has enabled insurance companies to connect to the ePlovilo application, giving them access to better quality data when concluding compulsory liability policies for owners or users of motorboats and yachts or settling claims.

• One insurer asks clients after every interaction how satisfied they were using a five-star rating system. If clients give a rating of three stars or less, it calls them for an explanation.

• An insurer offers digital inspections of vehicles, rather than physical ones, when arranging insurance. No app is required, photos are simply uploaded via a link sent by SMS or email.

• An online client zone allows clients to find information about their policy, pay their premium or get in touch with their advisor. An online sales area contains forms for most products that are available on any device and the possibility to sign a policy with a digital signature. Payments can be made physically via an mPOS (mobile point-of-sale) device on the seller’s mobile phone or remotely. A digital card called Yourpass is available to install on the client’s mobile phone, which offers additional services, such as:
• Advanced warning of impending adverse weather events near the insured property (in cooperation with Meteopress)
• Travel insurance: telephone number for assistance, confirmation of liability insurance
• Self-photographing of vehicles when arranging breakdown insurance

• F&P developed the Forsikringsguiden (Insurance Guide) website in 2001 in cooperation with consumer organisation Tænk. It helps consumers to choose the right insurance policy by providing them with a quick and easy comparison of insurance conditions and prices for the most common types of insurance. The website also aims to create transparency in the insurance market. 23 companies participate in the Forsikringsguiden, representing more than 87% of the Danish market. Once the consumer has completed the comparison, the site can guide the consumer directly to their preferred insurance company. The tool is continually being improved and more insurance companies are getting involved. Improvements are being made, for example, to ensure a better user experience and to develop a comparison of dog insurance.

• PensionsInfo, which was first launched in 1999 and which is run by F&P, is a comprehensive tracking tool allowing each Dane to access an overview of all their pension entitlements in pillars 1, 2 and 3. Thanks to this service, pension providers can also flag dormant pension rights to the individual and prompt them to check whether it would be profitable to transfer the pot to a new scheme. The tool also presents related insurance covers.

• “Fakta om pension” (Facts about pensions) is a web portal run by F&P which shows comparable information on fees, net returns and levels of service and advice for all pension companies.

• The association’s “Pensionsmåler” (Pension painter) tool allows the consumer to calculate in a few easy steps how large their pension payments will be in relation to their present salary payments. Consumers can calculate the effect that extra contributions to the scheme would have on their future pension.

• Following a “cost initiative” (2007-2010), each pension company provides a calculation tool (Omkostningsmåler) on its website showing the total costs that can be expected when joining a particular pension scheme.

• An electronic system to allow customers to change insurer smoothly and efficiently was set up by F&P 15 years ago and is continuously being improved.

• The online registration of new cars, including third part liability insurance, began in 2012.

• F&P concluded a partnership with the Danish Road Safety Council in 2015. The goal of the partnership is to minimise damage and traffic accidents during working hours, as 30% of all work-related fatalities occur in traffic according to the Danish Working Environment Authority. Therefore, awareness of road safety principles was raised with the top management of insurance companies, so that these principles are embedded in the companies’ strategies and practices. The partnership has contributed to the development of free online tools that businesses can use to work towards a safer workplace.

• F&P has developed a mobile phone app that warns consumers about heavy rain and storms. Consumers can register any postal address, such as the address of their house or summer cottage, and get a warning on their mobile phone when bad weather is forecast for that area. The aim is to limit the amount of weather-related damage by warning consumers of bad weather in time for them to prepare.

• Estonia’s motor third-party liability (MTPL) business operates online. Offline sales of MTPL policies are illegal and prohibited by law. The Motor Insurance Bureau operates a central MTPL database connected to state registers that includes the complete life-cycle of vehicles and insurance history of owners, as well as detailed information about cover and claims. The information is available to insurers.

• There have been several initiatives to improve public safety and awareness of traffic-related risks. These include a vehicle claims history webpage where people can check for free whether a vehicle has been involved in a traffic accident to avoid fraud in used car sales. The Motor Insurance Bureau also has webpage where people can check whether a vehicle is insured.

• In 2022, the EKsL and the Motor Insurance Bureau launched an app for reporting accidents via a mobile phone. It is available in Estonian, Russian and English. It takes only 10-15 minutes to register an accident and the app imports data automatically from different national registers. Once complete, the claim is automatically sent to the designated insurance company. The app is available on the website avarii.lkf.ee and a video about it is available here.

• The EKsL and the Motor Insurance Bureau have published an online map of traffic accident black spots with data dating back to 2009. It shows where accidents occurred and the causes and consequences. The data from the 2022 app for reporting traffic accidents feeds into the map, which is a valuable tool for public authorities to improve road safety.

• An online MTPL aggregator is available for consumers so they can compare motor insurance prices.

• Finance Finland surveys retail insurance customers’ habits, experiences and expectations every two years. A major change in behaviour has happened over the last decade. In 2010, 23% of customers said their most common way of handling their insurance affairs was via the internet. In 2022, the figure was 57%. In 2022, 27% of retail customers said they sometimes handle insurance business via an app.

• Insurance companies have been developing mobile apps to stay in contact with their customers 24/7 to complement the other channels already available (such as agents, call centres and websites). These apps aim to:
• Simplify consumers’ daily management of their insurance contracts (by providing an overview of their contracts and allowing them to monitor payments and refunds).
• Provide permanent access to relevant information (for example, in case of emergency, when they need support, to access insurance company contacts or to download certificates).
• Make claims-handling easier (by allowing consumers to report their claims online and by informing consumers through geolocation — pinpointing the place where the damage occurred — where the closest partners are in order to benefit from negotiated advantages).

• To make it easier for policyholders to report a road accident, insurers launched an official, free mobile phone app in 2014 (e-constat auto). This app was the first joint digital initiative by the French insurance industry. It can also speed up the processing and settlement of claims. Since 2014, over 250 000 accidents have been reported through it. 7 000 accidents are reported through the app each month. New features will be added at the end of 2022.
  

• Since 2010, MABISZ has operated an MTPL aggregator website, Díjnavigátor, which allows customers to calculate and compare the MTPL premiums of all insurance companies in a transparent way.

• An accident report form app was developed by MABISZ, which makes it easier to report a road accident to insurers mobile phone.

• The use of geo-coding/geo-location technology is widely used by insurers, along with their individual claims experience, to analyse risk when providing household insurance. The use of such technology has allowed insurers to identify a person’s exact address and provide a quotation for their home instead of just the general area in which they live. By assessing a risk at a property level, insurers have the ability to underwrite business they may have previously declined. There is a very high penetration rate for flood insurance in Ireland compared with other European countries, with 98% of household policies providing flood cover.

• Insurance Ireland has created an innovation taskforce focused on the customer experience under the headings of simplification, education, industry perception and radical-/game-changing. This work is being supported by collaborations with the Massachusetts Institute of Technology and CeADAR, the University College Dublin Centre for Applied Data Analytics, to support the application of technology, including blockchain, in member companies for the benefit of customers.

• The ANIA Foundation for Road Safety’s “Black Point” project addresses the fact that accidents are often caused by the presence of construction/maintenance faults in existing infrastructure. The project aims to provide information on the role these defects play in road accidents, allowing for a more thorough analysis of the phenomenon of such “Black Points”, where there is higher probability of accidents occurring. An app facilitates the reporting of a Black Point via a smartphone/tablet, increasing the database of such spots. The ANIA Foundation passes the information to the bodies responsible for road and infrastructure maintenance and publishes reports on the Black Point website.

• ANIA has set up an dedicated webpage for representatives of consumer associations to use in conciliation procedures. The webpage enables them to get directly in touch with the right person in each insurance company to discuss any cases brought to the associations by customers following a car accident. The webpage also has a section for the general public. It provides information on how the conciliation procedure works and allows consumers to send online conciliation requests to the consumer association of their choice.

• ANIA has set up a webpage called “Ricerca Polizze Vita” for people who wish to check whether they are potential beneficiaries of life insurance contracts, both expired and unclaimed. Individuals fill in a web template about themselves and the person insured, which ANIA forwards to all Italian life companies, who check whether a policy exists and contact the applicant to settle any claim.

• Health insurance policies and individual health insurance cards are provided via mobile phone apps and are no longer needed in paper form. Claims are filed via the apps.

• Insurers offer online medical consultations and the purchase and delivery of medicines via mobile phone apps.

• Since 2019, the Ombudsman uses an online system for complaints. A complaint is filed electronically and the Ombudsman’s decision is entered into the system.