Carrot CMO Andrew Brown Allan - Christmas QA

This QA - first appeared in Insurance Age: Carrot is a client of Certus 

Which insurance issue has defined 2019?

Dual pricing.


What has been the year’s most surprising moment in insurance?

That in the first half of the year, $2.2 billion dollars were invested in insurtech businesses. It’s a truly astonishing number, and UK businesses are well-represented within it. Including ours. 


Which product launch has made the most impact?

ByMiles is a brilliant example of how to innovate in insurance. They’ve got a relentless focus on the customer and execute brilliantly, and are no doubt destined for great things. 


How has technology changed insurance this year?

There’s nothing that stands out as particularly revolutionary, although the use of AI and personalisation through usage-based insurance continues to gather pace and deliver positive outcomes for both insurers and consumers. 


What has been your biggest professional achievement in 2019?

Working with North American customers of our other Trak Global Group company, INMS, to help them think differently about how to engage their personal lines customers. The opportunity to export what we’ve achieved in Carrot to our partners across the Atlantic is an exciting prospect for 2020. 


2020 predictions


What issue will define general insurance in 2020?

Dare I mention…Brexit??! Who really knows? Hopefully something positive, as there have been some pretty unsavoury stories doing the rounds this year that do nothing to improve the image of the industry. I hope this can change with the turning of the decade – let’s banish archaic behaviours to the past.


Do you expect the market for broker acquisitions to be more active or less?

Consolidation looks set to continue, and I think we’ll see more insurers and brokers deciding to accelerate their ability to innovate through M&A activity. Quickest way to avoid being disrupted by disruptors is to have them inside the tent!


How do you think the Financial Conduct Authority will rule on dual pricing?

Whatever it rules, it’s hard to argue against the notion that the fairest way possible to price motor insurance, for example, is based on an individual’s actual behaviours and mileage.


Which lines of business will have the most challenging year?

I don’t think that it’s going to get any easier for motor. New car sales are in decline, traditional ownership models look less attractive and people’s relationships with the car are certainly changing in favour of more flexible, usage-based mobility modes. Insurers that succeed long-term will be those that innovate in line with these evolving macro trends, and recognise that the traditionally-priced, 12 month motor policy is a product with an ever-shortening runway.


What overlooked trend in insurance will gain greater prominence in 2020?

Could 2020 be the year that the benefits of UBI (both for insurer and policyholder) finally start to become more mainstream? People have talked for a long time about telematics breaking outside of young driver in the UK (as it has in the US), but perhaps 2020 will start to see this materialise?