1. MIS 3090: IT for Financial Services Insurance Systems and Online Insurance June 21, 2015

2. 2/22 Back Office Insurance IT Systems  Submissions and quotations – Link to customer and risk databases  Policy management – Cancellations and reinstatement – Multiple lines of business and range of carriers  Premiums management – Billings and payment inquiries  Claims processing – Incident tracking, claims adjuster, repair bills  Information aggregation for risk management purposes

3. June 21, 2015 3/22 Cable TV Subscribers in Orange County

4. June 21, 2015 4/22 Dairy Sales by competing firms in Wisconsin

5. June 21, 2015 5/22 Shows concentration of households with low income, high population density, large family size and large number of renter occupied dwellings. Demographic Analysis of LA County

6. June 21, 2015 6/22 Evaluating Insurance Risk when the BIG ONE Comes

7. June 21, 2015 7/22 FRI Video Clip --- “The Big One”

8. June 21, 2015 8/22 Insurance Marketplaces  Direct: Allstate, Geico, Progressive, etc.  Quote aggregators and lead generators (intermediaries)  Often more than just personal auto – Homeowners – Renters – Life  Examples: – InsWeb – Quicken Insurance – Insurance.com – Insure.com – Esurance.com

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13. June 21, 2015 13/22 An insurance agent…

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21. June 21, 2015 21/22 Pure-play Wannabe’s  Internet-only Carriers – View the internet as more than just a distribution channel – See opportunity to build more efficient ways to sell and service insurance products – Changing the paradigm of control in the insurance purchasing process  Examples: – eCoverage – ePolicy

22. June 21, 2015 22/22 eCoverage  Formed in 1999, based in San Francisco  Began selling online in CA in September, 1999  Offered auto insurance products in about 8 states  Planned to offer product to 25-30 states by 2000  Blue Chip Investors and Board of Directors – SOFTBANK Venture Capital – E*TRADE Group – RRE Ventures, co-founded by Jim Robinson III (American Express) – David Coulter, (CEO, Bank of America) – Ken Langone, (Founder, Home Depot) – Chris Larsen, (Chairman & Founder, E-LOAN) – Accel Partners

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24. June 21, 2015 24/22 ChoicePoint Acquires Epolicy in 2006

25. June 21, 2015 25/22 For Last Class…  Reminder: − We will review the course − We will also do our class evaluations