StudentHack: “AI and Big Data” Winning Solution

Innovation Project Summary Cookhouse LabS

StudentHack: “AI and Big Data” Winning Solution

The arrival of AI and Big Data to the insurance industry brings many opportunities and risks, which insurers must anticipate in order to stay relevant during the imminent digital transformation of the industry.

2

DAYS

ONLINE

2021

15

TEAMS

15

MVPs

Challenges

Under the theme “AI and Big Data”, we asked our teams to choose from these challenges and ideate a real business solution using our Design Thinking methodology:

Build trust

How might we leverage big data and artificial intelligence to increase consumer confidence, trust, and tailor the insurance experience?

Risk management

How might we leverage big data and artificial intelligence to help homeowners understand and mitigate risk to help prevent losses from happening?

Insure the uninsurable

How might we leverage big data and artificial intelligence to improve existing or develop new insurance products that benefit Canadian businesses?

Respond to changing consumers

How might we leverage big data and artificial intelligence to improve the insurance-buying experience to make it more engaging and less of a one-off transaction?

WHY?

Understanding Phil, a happily married Vice President in Toronto

The homeowner’s insurance industry is vast, and Team Jedis discovered that claims have gone up in the past years. Improper management of risks, unclear policy terms and uncertainty lead to losses for both the customer and the insurance providers.

PAINS

GAINS

DISCOVERY

While the claims settlement process is a red flag, the root of the problem is the unforeseen damages to the houses due to negligence. Thus, it is beneficial to predict and prevent rather than detect and repair.

There is uncertainty around the claims procedure, with confusion around what is covered and the amount of deductible paid.

Most homeowners have other financial commitments and bills to pay from their fixed income.

The prolonged process of claims settlement and uncertainty is an added burden on the homeowner.

SOLUTION

Team Jedis ultimately decided that the best way to educate the homeowner would be to incentivize them to use an integrated mobile app that variates their premium if the home is not properly maintained and proper precautions are not taken.

Problem statement

How might we leverage big data and artificial intelligence to help homeowners understand and mitigate risk to help prevent losses from happening?

INSURACONNECT

An AI-based mobile application that integrates with smart devices (such as smart fire alarms) and constantly monitors the health and effectiveness of these devices for the homeowner.

The user is allotted a ‘risk band’ based on their profile and the status of their devices. The AI-based system will compare and suggest smart home upgrades to improve the user risk profile, frequently pushing maintenance recommendations as needed. This incentivizes consumers to maintain their homes by managing key risks, as their ‘risk band’ and premiums will be affected by how quickly the user acts on the recommendations.

In the case of incidents or damages, an automated claim will be filed via the app and a smart bot will be available to answer questions regarding the status of the claim.

RESULTS

At the end of the 2-day ideathon, the 15 student teams submitted their ideas for review to a judge panel of Canadian insurance experts.

100+

Participants

16

Hours

15

Participating Teams

15

Empathy Maps

6

Expert Judges

15

MVPs

1

Winning Team

2

Runner-up Teams

PARTICIPANTS

We also offer intro sessions that provide insurance professionals with the opportunity to experience our Cookhouse Labs methodology and a sneak peek at what it’s like to co-create and collaborate with our global community. If you are not a Cookhouse Labs member and are interested in finding out more, check out our membership benefits!