Côté AXA Number 30
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CÔTÉ AXA AXA Group shareholders’ newsletter No. 30 - December 2017 “ WE ARE BUILDING THE FUTURE OF AXA ACCORDING TO A CLEAR STRATEGIC VIEW, focusing on fewer countries, with emphasis on scale and potential. We will continue to shift our portfolio towards our preferred segments. We have identified three core segments for growth – Health, Protection and P&C Commercial lines – and are dedicating €200 million per year to innovation, from within our existing M&A budget.” Thomas Buberl, Chief Executive Officer Simplifying to accelerate AXAA Côté AXA No. 30 - December 2017 YOUR GROUP Simplifying to accelerate AXA organized an investor day during which it presented its strategic vision and its steps to simplify its organization and support its growth. XA is well on track to achieve its Ambition Securities and Exchange Commission (SEC), corporate center. This organization will give “A 2020 targets, and is taking important the first step towards its initial public offering more autonomy to the operational companies, steps towards making the Group simpler, while (IPO) for a minority stake in its US life insurance which are closest to our customers. Entities fostering growth”, confirmed Thomas Buberl, operations in the second quarter of 2018, will be empowered to take decisions on a local Chief Executive Officer of AXA, when opening subject to market conditions. level to help roll out Group’s transformation. the Investor Day event. AXA is also simplifying its organization in The Group, which is already able to count on AXA wants to focus on the countries where order to get closer to its customers. Its new and an efficient innovation ecosystem, has also the Group has critical scale and potential for simplified operating model will be based announced that it will be setting aside €200 mil - growth. The Group is looking to build its devel- around five geographies and a refocused lion for innovation within its M&A budget. opment around the 10 major markets that represent more than 80% of its earnings, and is moving forward with its growth in the six high potential countries identified. To support these measures and oversee this new operating model, a new Management Committee has been set up. AXA is confirming the realignment of its port- Thomas Buberl is now working alongside: Four new members are joining folio of activities around the growing the Management Committee: segments identified, focused on products with high frequency customer contacts and Gérald Harlin, Alban de Mailly Nesle, innovative additional services: health, protec- Chief Financial Chief Risk Officer, tion and commercial property and casualty Officer, appointed appointed Group insurance. The Group is focusing on traditional Deputy CEO Insurance Officer insurance activities and plans to scale back its exposure to financial risks. George Stansfield, Antimo Perretta, AXA has hence informed the market that it has General Secretary, appointed CEO filed a registration statement with the US appointed Deputy Europe CEO “ We have delivered a strong Benoît Claveranne, Astrid Stange, performance, allowing us to appointed CEO appointed Chief International and New reaffirm our confidence to Operating Officer Markets deliver annual underlying earnings per share growth. Mark Pearson, Gordon Watson, Our reliable and sustainable CEO of AXA US appointed CEO Asia from cash generation capacity January 1, 2018 supports our investment for Following the constitution of this new Management growth and sustained Jacques de Peretti, Committee, two appointments have also been Chairman and CEO of announced: Karima Silvent as Group Human attractive dividends.” AXA France Resources Director and Guillaume Borie as Chief Innovation Officer. Thomas Buberl AXA’s Chief Executive Officer AXAA Côté AXA No. 30 - December 2017 YOUR GROUP Better understanding and reducing risks thanks to Give Data Back To enable everyone to better understand and reduce the risks to their home, AXA is now sharing the benefits of its claims management experience on the Give Data Back platform. ne of the Group’s ambitions is to build Ostronger relationships with the 80% of AXA AND THE DATA its customers who do not have any claims during the year, and the Give Data Back initia- REVOLUTION tive has been launched in line with this goal. The Give Data Back website openly shares Big data is driving improvements in effi- AXA’s data on water damage and burglaries ciency in understanding risks and in six European countries (Belgium, France, managing claims. Firstly, data is enabling Germany, Italy, Spain and Switzerland). the Group to become a genuine partner for its customers. Both the insurer’s and Users can enter an address and access an customers’ interests are aligned, since interactive map and information presenting both want to prevent claims from the risks for water damage and burglary for occurring. their location: average frequency of claims, Big data will make it possible to improve most frequent periods and average claim knowledge of customers and risk preven- resolution costs. Going even further, AXA analyzed and shared on the site, they have tion. AXA views its customers as the owners offers numerous tips for users explaining how been anonymized and consolidated. of their data, while it is their guardian, and to better protect their home. This advice it does not sell their data to any third comes from AXA’s experts, as well as other This is just the first step for AXA. In the near parties outside the Group. In certain cases, users, because the site is a collaborative future, the Group intends to connect the we may offer products to our customers platform on which all users can share their website to a whole ecosystem of services, working with other companies, but only tips and experiences. notably by connecting users and service when we are convinced that these prod- providers from its international partner ucts offer real added value for our With Give Data Back, AXA is harnessing its network. The Group would also like to expand customers. Lastly, AXA applies the “privacy data to benefit its customers and offering a the platform to include more countries and by design” concept to build in the security new service to help people better under- additional types of risks. of its customers’ data into the design stage stand and manage their risks thanks to a for its products and services. transparent, collaborative approach. To guarantee total confidentiality for the data Check out the platform at www.givedataback.axa AXAA Côté AXA No. 30 - December 2017 YOUR GROUP fizzy: simplifying insurance WHAT IS BLOCKCHAIN? Blockchain is a system for storing and transmitting information. This digital data management protocol integrates stan- The AXA Group has launched fizzy, a fully secure and automated dard features of a conventional database, but with improved reliability and security. parametric insurance platform enabling users to take out cover against Blockchain stands out from a conven- delayed flights. tional database because it is: transparent, fully open and public, and anyone can consult it. It is built around exchanges of information between users, making them his new type of insurance has been devel- “Thanks to the interdependent, without requiring a oped through joint work by AXA Next, AXA T trusted third party responsible for authen- Travel Insurance, AXA Global Parametrics and principles of ticating transactions. Secured with several AXA Corporate Solutions. AXA is the first backups on different computers across major insurance group to offer insurance parametric insurance, the network, this protects blockchain cover using blockchain technology. fizzy offers a against hackers. This innovative system, a core focus within AXA’s research, has the Thanks to a range of secure tools, an auto- transparent policy potential to transform a number of mated process and a transparent policy, fizzy sectors. will reimburse you immediately if your plane with clear conditions.” is more than two hours late. When you buy flight delay insurance on the fizzy platform, your transaction is recorded in a tamperproof network – the Ethereum blockchain. This is connected directly to global air traffic data- The policy’s conditions are clear and, when bases, which makes it possible to automati- you take out the policy, you know exactly how cally trigger compensation as soon as your much compensation you will receive, what- flight delay has been recorded. ever the reason for the delay may be. By combining a parametric policy with block- chain technology, we are able to offer an insurance product with a simple user experi- ence: as soon as the database records a delay with your flight, your compensation is paid WHAT IS PARAMETRIC out automatically with no need to report your INSURANCE? claim. Parametric insurance is based on the use fizzy is already available for flights between of indexes that are correlated with trigger Roissy-Charles de Gaulle Airport in Paris and factors for claims, such as temperature, the United States, and the platform will be wind speed or even transport delays. rapidly ramping up its services to include Payments are triggered automatically other airports and destinations. New part- when the selected index reaches a given nerships with airlines, travel agencies and threshold. A wide variety of risks can be airports will make it possible to further covered with this type of insurance, such improve the experience for large numbers of as adverse weather affecting harvests, travelers by offering easy access to a simple delays with construction projects, and secure insurance product. reduced visitor numbers for amusement parks, etc. This initiative illustrates the changes that are By creating AXA Global Parametrics in being driven forward by AXA, capitalizing on March 2017, AXA has put in place a dedi- its innovation ecosystem and further invest- cated independent entity for parametric ments to offer new products and services that insurance. are simpler and more transparent for its customers. AXAA Côté AXA No.