TOKIO MARINE HIGHLAND
Driving an audacious plan for change DIGITAL REPORT 2021
LOGO/GRAPHIC IN BACKGROUND
DRIVING AN AUDACIOUS PLAN FOR CHANGE 2
tokiomarinehighland.com
TOKIO MARINE HIGHLAND
HQ: The River Point building in Chicago (far right) tokiomarinehighland.com
3
TOKIO MARINE HIGHLAND
CEO Patrick Blandford is joined by four other executives from Tokio Marine Highland to discuss its rebrand, digital transformation, and cultural alignment
A
mainstay in US-based property and casualty underwriting (P&C), Tokio Marine Highland has nurtured a celebrated industry reputation based on the breadth and quality of its speciality risk management solutions, such as private flood, construction and lenderplaced products. Originally founded as WNC Insurance Services in 1962, Tokio Marine Highland recently opted to rebrand in order to capitalise on the brand prestige of its parent company Tokio Marine Kiln (itself part of Tokio Marine Holdings), which completed its acquisition of WNC in 2018. “It's really enhancing the reputation that we’ve already built as WNC,” explains Joshua Clifton, Vice President of Marketing and Communications. “We see this as a great opportunity to enter new markets, attract talent, and seek new acquisitions and capacity partners.” At the helm guiding the company through this exciting time is Patrick Blandford, CEO, who originally joined in 2004 as a board member and took on the CEO role in 2018. Characterising his role as assembling the best team possible and overseeing Tokio Marine Highland’s overall performance,
4
tokiomarinehighland.com
“We favour niche markets where we can establish a leadership position by understanding them through the customer’s perspective” PATRICK BLANDFORD
CEO, TOKIO MARINE HIGHLAND
1962 Year founded
tokiomarinehighland.com
5
TOKIO MARINE HIGHLAND
Driving an audacious plan for change
“[On the company’s rebrand] We see this as a great opportunity to enter new markets, attract talent, and seek new acquisitions and capacity partners” JOSHUA CLIFTON
VICE PRESIDENT OF MARKETING & COMMUNICATIONS, TOKIO MARINE HIGHLAND
6
tokiomarinehighland.com
Blandford emphasises that achieving the dual objectives of digital transformation and “to be a good company” (the official Tokio Marine philosophy) remain his top priorities. “I saw [at Tokio Marine Highland] the opportunity to preserve a very strong entrepreneurial culture, but one that is backed by the strength and resources not only of Tokio Marine Kiln but also the broader Tokio Marine Group. This has been the most rewarding challenge of my career so far,” he says. Previously involved in other aspects of finance prior to his present appointment, particularly private equity investing, Blandford states that his background
TOKIO MARINE HIGHLAND
PATRICK BLANDFORD TITLE: CEO COMPANY: TOKIO MARINE HIGHLAND INDUSTRY: INSURANCE
gives him a unique perspective that helps guide Tokio Marine Highland’s strategic direction. “Successful private equity investors are able to understand market cycles, identify pockets of opportunity and get in front of risks. There is a natural sense of urgency when you have a three to fiveyear expected hold period. The beauty of our ownership is that we have a very long horizon but are still driven by that sense of urgency.” This experience has proven particularly invaluable over the past 18 months when a taxing blend of shifting customer expectations and COVID-19related market disruptions conspired to change the entire insurance sector.
EXECUTIVE BIO
LOCATION: CHICAGO, ILLINOIS, US Pat Blandford joined Tokio Marine Highland as a board member in 2004 to focus on growth strategies. He assumed an operating role in 2011 as the Managing Director of Strategy and Finance. In that role, he led acquisitions, product line expansion and relationships with key capital partners, including Tokio Marine Kiln. He was named CEO in 2018. Prior to joining Tokio Marine Highland, Pat spent 20 years investing in and advising growth services companies. He was a Managing Director of two private equity firms, Frontenac Company and CCCC Growth Fund. He led both firms’ financial services investments. He began his career at Goldman, Sachs & Co. and is a Chartered Financial Analyst.
KIRAN ACHEN TITLE: CHIEF INFORMATION OFFICER COMPANY: TOKIO MARINE HIGHLAND INDUSTRY: INSURANCE
Kiran Achen is responsible for defining and implementing a technology strategic vision aligned to Tokio Marine Highland’s growth and performance goals. He has oversight of the technology organisation and all technology initiatives. Prior to joining Tokio Marine Highland, Kiran Achen was Assistant Vice President in the IT organisation of CNA and focused on strategy, roadmaps, IT modernisation and simplification, digital innovation, customer experience and cloud computing. Kiran began his career with Deloitte Consulting. Kiran holds a Master of Business Administration degree from the University of Chicago Booth School of Business and a Master’s Degree in Computer Science from Northern Illinois University.
EXECUTIVE BIO
LOCATION: CHICAGO, ILLINOIS, US
Tokio Marine Highland prides itself on a strict operational focus within highly specialised P&C niches. Now holding a leading position for nearly three decades, the company is experienced at exploring new lines of coverage within these parameters and swiftly introducing a team of proven underwriters empowered with strong data resources and digital tools. "We are fortunate to be owned by our principal risk partner. It is natural that we put sustained underwriting profitability ahead of everything we do," explains Blandford. “We favour niche markets where we can establish a leadership position by understanding them through the customer’s perspective.” This approach makes Tokio Marine Highland’s mindset
TOKIO MARINE HIGHLAND
tokiomarinehighland.com
9
TOKIO MARINE HIGHLAND
230 Number of employees
10
tokiomarinehighland.com
TOKIO MARINE HIGHLAND
“Over the last 18 months, insurance has proven to be a very resilient industry that is attracting even more capital and, therefore, more opportunity, but a different set of challenges” NIRAV SHAH
CHIEF ANALYTICS OFFICER, TOKIO MARINE HIGHLAND
comparable to a startup, albeit reinforced by an established presence in the market that smaller companies would not possess. The relentless focus on customer outcomes is in recognition that service expectations are changing, a key observation in a traditionally conservative industry. Although outside of insurance, tech leaders like Google, Apple, and Amazon are rewriting how customers view modern business experience, and Tokio Marine Highland is determined to keep pace with the change. “Over the last 18 months, insurance has proven to be a very resilient industry that is attracting even more capital and, therefore, more opportunity, but a different set of challenges,” says Nirav Shah, Chief Analytics Officer. “Newer capital sources have very different expectations when compared to traditional providers. Therefore, insurance markets need to be a lot more agile to make the most of the influx of non-traditional capital into the marketplace.” In this new market, ‘the experience’ of a company has become a strong metric for quality and competitive differentiation. Kiran Achen, CIO, believes that driving Tokio Marine Highland’s wholesale
REASONS TO CELEBRATE 2020 Although 2020 has been a difficult year, Blandford still praises Tokio Marine Highland’s leadership and employees for providing so many reasons to celebrate nonetheless. Among his cited highlights are: The strong underwriting performance of the private flood team in spite of record hurricane activity. Achen and Shah’s respective teams in building the company’s data platform, ‘The Ark,’ capable of providing higher quality insights to underwriters. Recognised as one of the best places to work in insurance. "I missed the in-person interaction for much of 2020 and 2021, and it definitely made our transformation effort more difficult. I’m thrilled to be working side-byside with the team again, and you can see it in the velocity of our accomplishments."
tokiomarinehighland.com
11
TOKIO MARINE HIGHLAND
JOSHUA CLIFTON TITLE: VICE PRESIDENT OF MARKETING & COMMUNICATIONS COMPANY: TOKIO MARINE HIGHLAND INDUSTRY: INSURANCE
Joshua Clifton is responsible for the development and execution of Tokio Marine Highland’s marketing strategy to enable profitable growth and position WNC as the underwriting agency of choice within its target markets. Joshua is accountable for WNC’s web and social media platforms, and driving public relations and communications strategies. Joshua has two decades of experience in leading communications, content development and digital marketing initiatives in the financial services and publishing industries. He previously served as Communications Director of Content Strategy and Development for CNA. Joshua holds a Bachelor of Arts degree in journalism and political science from Indiana University.
EXECUTIVE BIO
LOCATION: CHICAGO, ILLINOIS, US
digital transformation will be crucial for pursuing this new focus; advantages gained elsewhere will be fleeting. “For me, the insurance industry is the last frontier that hasn't yet been disrupted. There is now an opportunity for carriers like us to partner with insurtechs, hire the right talent, and actually disrupt the industry from within.” Tokio Marine Highland’s digital transformation journey began in earnest in early 2018. The first step, according to Blandford, was shaping the leadership team and assembling resources in order to create a foundation of expertise and technical infrastructure. Unlikely assistance came in
the form of COVID-19, which, despite its obvious negative impact, actually helped concentrate the company’s efforts. “I think of 2020 as the year that we turned the corner,” he states. “The unfortunate environment enabled us to spend less timefighting fires and more time bringing our larger team into the transformation efforts.” Centering the change around robust datadriven insights, exceptional client interfaces and automated operations, Shah and Achen state that a special emphasis was placed on the cloud, low-code/no-code platforms, open-source, smart systems, AI (artificial intelligence) and ML (machine learning).
“For me, the insurance industry is the last frontier that hasn't yet been disrupted” KIRAN ACHEN
CIO, TOKIO MARINE HIGHLAND tokiomarinehighland.com
13
TOKIO MARINE HIGHLAND
“We’ve rolled out a new digital platform products to fit their lifestyle: they're more housing our difference in conditions (DIC) conscious of where and who they choose product,” says Tim Reilly, Senior Director to place their business with. We need of Digital Distribution. “Essentially, this to be flexible with our tech stack and platform enables straight-through ensure our products and services processing for earthquake and complement those already being landslide coverage. We’re also in used by other ecosystems.” the middle of a soft launch for our Although Tokio Marine Highland new flood product, which will be has the expertise and technology Revenue housed on the same platform.” In to drive its transformation roadmap in 2020 its quest to unlock additional value forward, Blandford is under no for its customers, Tokio Marine Highland’s illusion that the end is in sight, “this is approach to product development is a continuous journey.” Therefore, he exploratory and empathetic to their considers that the ultimate success or needs. “Our customers are looking for failure of the company’s endeavour will
$98mn
14
tokiomarinehighland.com
NIRAV SHAH TITLE: CHIEF ANALYTICS OFFICER COMPANY: TOKIO MARINE HIGHLAND INDUSTRY: INSURANCE
be determined by its cultural cohesion and the adoption of an inclusive and agile operating philosophy. Separating the business into dedicated squadrons, Blandford explains that each is encouraged to experiment, learn and improve on its own terms. Whether focused on product development, how the company collaborates with its partners, or diversity and inclusion, Tokio Marine Highland is continually exploring new ways to reinvent itself. “Obviously, key results have to align with the objectives, but every 13 weeks, we're looking at what has changed both internally and externally.”
EXECUTIVE BIO
LOCATION: LONDON, UK Nirav Shah is responsible for setting and executing Tokio Marine Highland’s strategy to become a data-driven business. He oversees the data and analytics functions and leads the Springboard Squadron, a team charged with reimagining what insurance looks like in the digital age through experimentation. Nirav started his career with RBS Insurance in the UK (now known as the Directline Group). He joined Tokio Marine Kiln in 2013 to join an embryonic Actuarial Pricing Team, eventually taking leadership of the team in 2017. He has a BSc in Actuarial Science from The Business School, City University of London.
TOKIO MARINE HIGHLAND
TIM REILLY TITLE: SENIOR DIRECTOR OF DIGITAL DISTRIBUTION COMPANY: TOKIO MARINE HIGHLAND INDUSTRY: INSURANCE
Tim Reilly is responsible for leading Tokio Marine Highland’s distribution strategy and delivering a common digital experience to enhance customer satisfaction and drive profitable growth. Prior to joining Tokio Marine Highland, Tim served as director of digital operations at H.W. Kaufman Group, where he managed product and distribution for operations pertaining to the Burns & Wilcox digital platform. He has also previously served as the digital engagement manager at Risk Placement Services. Tim holds a Bachelor of Arts in political science from the University of Iowa and a certificate of international relations and affairs from the University College of Cork.
EXECUTIVE BIO
LOCATION: CHICAGO, ILLINOIS, US
“We need to be flexible with our tech stack and ensure our products and services complement those already being used by other ecosystems” TIM REILLY
SENIOR DIRECTOR OF DIGITAL DISTRIBUTION, TOKIO MARINE HIGHLAND
In 2021, the company is fully embracing the "new normal" in more ways than one. The launch of a new fine art division headed up by industry expert Christiane Fischer (a hiring "coup," as Blandford describes it) provides an exciting opportunity to reconfigure Tokio Marine Highland's digital platform even further. "What you see in 2021 is the execution of our digital playbook," Blandford says. “You'll see our broader product portfolio apply the Tokio Marine Highland digital offerings.” Safe in the knowledge that through a united and focused culture, the company will prosper, he calls for setting “audacious” goals that
push the envelope of modern insurance and keep Tokio Marine Highland at the cutting edge where it belongs. “We have to enjoy our success and treat every setback as a learning opportunity. We also need to remain humble: our competitors are highly skilled, well-capitalised, and they're moving quickly.” However, by prioritising experimentation, corporate agility and customer-centricity, Tokio Marine Highland has the capacity to move even quicker.
tokiomarinehighland.com
17
Tokio Marine Highland 444 W. Lake Street Suite 1950 Chicago IL 60606 T 312-736-2344 tokiomarinehighland.com
POWERED BY: