Reimagining aged care. - Swiss Re Group | Swiss Re9b917f2e-baa2-4149-9df0-184531… · Curois...

Reimagining aged care.

Scalemodel – Privileged and Confidential

What we will cover today

• Dynamics of elderly care

• Importance of care delivery at-home

• Quick intro to Curo and behavioural monitoring

• How to make an insurance pilot work

• InsurTech and the challenges of startups working with insurers


Demographic shifts placing extraordinary pressure on already strained Aged Care services sector

Healthcare spend per person(A$K)

Population growth by age group (2015-2021) (%)

Baby boomers growing at nearly twice the rate…

…and are the most expensive age group to treat

Note: Healthcare spends includes expenditure by governments, individuals and non-governments sources (e.g. private health insurers) Source: ABS; AIHW

Australian Market


The Aged Care market is large, and evolving, both in Australia, and around the world

Note: Non-gov. funding includes private and other sources Source: Deloitte access economics; ACFA 2013-16; IBISWorld; Palliative Care Australia

Care Type Home &Community Care Home Care Residential Care EOL Hospital &

Hospice Care

Description Home support services to promote independent living

for longer

Services to help seniors remain at

home when in poor health (medical,

domestic & community)

Accommodation and comprehensive day support, spanning

medical & non-medical services

Purpose built facility for complex healthcare

only

Annual Gvnt. Spend ($B)

$1.9B $1.3B $10.6B ~$3B

Annual Total Spend ($B)

$2.1B $1.4B $16.1B ~$3B

CAGR (‘12-’15) 11% 8% 5% ~3%


Receiving Aged Care in your own home is a universally better outcome

Note: Non-gov. funding includes private and other sources Source: Deloitte access economics; ACFA 2013-16; IBISWorld; Palliative Care Australia

Physical Health Mental Wellbeing

System Costs Personal Preference

1. 2.

3. 4.


Two major trends are redefining the provision of Aged Care, in Australia (and other global markets)

Residential Care & Hospitals

Care & Wellness @ Home

Time & Materials

Outcome-FocusedCare


These changes present a range of opportunities to health insurers among their older member cohorts

• Increased opportunity to take a more direct, ’hands on’ role in care delivery

• Ability to build outcome-delivery into product design

• New [insurance] products designed to support older cohorts with independent living at home

• Greater adoption of new technology to support the wellbeing of members


Curo is re-imagining the way in which technology is used in the Aged Care industry

Lack of outcome-focused

decision making

Under-invested in technology as

tool for efficiency and cost-reduction

Excessive, wasted cost

across the Care Ecosystem

Technology that delivers care outcomes,rather than simply supporting operations

Radical shift in care delivery

(CDC regulation, Feb 2017)


Curo’s puts in-home sensors in the homes of aged adults to passively monitor their behaviour


Curo measures behavioural data, and adherence of an individual to a predictable pattern of activity

Curo collects 1000’s of pieces of data from a single home in a day.

We visualize data in an intuitive way that relates to behavior, not technology.

Behavioural tasks are customisedto every senior, and their current level of independence


We share this information in the form of actionable insights, with family members and professional carers

Cloud platform

Family

Providers

Carers


Curo is a data and analytics business; we share actionable insights that provoke reaction

Changes in wellness score are the best indicator that something is wrong.


Curo’s rich behavioural data set delivers benefits for every participant in the Care Ecosystem

• Real time insight into what happens when you can’t be there

• Prioritise visits and care needs through Wellness Score

For Care Workers For Providers

For Families For Insurers

• Efficiently prioritize and manage client care

• Reduction in individual care costs, through insight

• Peace of mind from understanding of what is happening at home

• Personalised alerts to provide guidance when something has changed

• Directly impact health outcomes for senior members

• Lower disbursement costs through reduced hospitalisation rates


We are currently piloting our monitoring product with providers, insurers & health systems in US & Australia

Outcomes(health & wellness, system-wide cost

reduction, time spent at home)

Commercial Models(Provider subsidised, MBS funded, private pay, member benefit, etc)

Satisfaction levels(Aged adult, families, care giver, HF

member)


CASE STUDY: Insurance Co. Pilot Program

Pilot Program Dynamics Key Outcome Measurement

• 500+ pilot participants

• Range of age cohorts, starting at 65

• Engaged family members to engage with data and insights

• Curo managing recruitment, installation and execution

reduction in hospitalisation(rate, cost)

reduction in overall member claim costs

increased rates of member satisfaction

increased level of family engagement in care giving

%

%

Australian Insurer


PROGRAM CONCEPT: Operational AlignmentAustralian

Insurer

Insurer Curo

• Scaled membership adoption

• High level of member utilization

• Ease of launch & maintenance

• Multiple use-cases

• Designed for home; intuitive functionality

• Passive technology (no user interaction)

• Simple deployment; low-touch utilization

• Diverse insight capabilities


“InsureTech” investment is growing, but seriously lagging “Fintech” by deal volume and magnitude

Source: CBInsights, September 2016; ”Pulse of Fintech”, KPMG, September 2016

No. dealsDeal value ($M)

$109 $161

$496 $483

2430

52

78

0

10

20

30

40

50

60

70

80

90

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

$1,000

2013 2014 2015 2016

$ #

$9.9B

2016FinTech

>80% investment into classic business models with new edge


The insurance industry is ripe for massive disruption over the coming three years

Source: Leading Edge Forum, 2016 (http://www.computerweekly.com/opinion/The-pace-of-digital-disruption-varies-widely-by-industry)

0% 25% 50% 75% 100%

Approx. Global market share (disruptors)


Close to half of insurance executives don’t anticipate digital disruption in 2017/18

Source: “Digital Pulse 2015”, by Russell Reynolds & Associates


Engaging with early stage businesses can help insurers in a range of ways


SupportInnovation PR

agenda

§ Create PR/brand halo§ “Innovative” work place – tool for employee recruitment/engagement

Learning +education

§ Insight on key trends & emerging technologies to inform strategy§ Identify and recruit scarce talent§ Exposure to new ways of working & structures

Scaledevelopment &

commercialisation

§ Actively participate in the disruption of insurance industry through sponsorship of new products, services & business models

Support growth & diversification

§ Support material future growth plays§ Proactive management of economic outcomes through the cycle

Pure financialreturns

§ Deliver material ($$), above average returns (>25% IRR) on capital deployed§ Invest into categories/deals where insurer brings unique capability


Start-ups working with larger corporates is fraught with challenges


For Insurers For Start-ups

• Feels unstructured, and high-risk

• Hard to engage a large internal team

• Requires deep self-reflection (to sponsor cannibalisation)

• Internal processes typically cannot accommodate new ways of working

• Feels slow and cumbersome

• Challenging to get to the right people

• Large scale projects can consume lots of critical resources


A [potential] recipe for success


• Start with a clear, agreed understanding of objectives and measures of success for innovation

• Align activity (internal, external) to these objectives

• Choose activities carefully, but commit to them hard

• Recognise the barriers that start-ups face when working with larger companies, and work to address them

Basic Copyright Notice & Disclaimer

©2017 This presentation is copyright protected. All rights reserved. You may download or print out a hard copy for your private or internal use. You are not permitted to create any modifications or derivatives of this presentation without the prior written permission of the copyright owner.

This presentation is for information purposes only and contains non-binding indications. Any opinions or views expressed are of the author and do not necessarily represent those of Swiss Re. Swiss Re makes no warranties or representations as to the accuracy, comprehensiveness, timeliness or suitability of this presentation for a particular purpose. Anyone shall at its own risk interpret and employ this presentation without relying on it in isolation. In no event will Swiss Re be liable for any loss or damages of any kind, including any direct, indirect or consequential damages, arising out of or in connection with the use of this presentation.

Reimagining aged care. - Swiss Re Group | Swiss Re9b917f2e-baa2-4149-9df0-184531… · Curois...

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