InsurTech Simulation

In the simulation, participants will:

• Pitch to secure initial venture capital funding.

• Define a disruptive InsurTech product and target customer segment.

• Make quarterly strategic decisions on pricing, technology investment, and market expansion.

• Analyze real-time performance dashboards (loss ratios, combined ratios, customer growth).

• Negotiate reinsurance treaties or tech partnerships.

• Respond to randomized market "shocks" and competitor actions.

• Present a final strategy to "investors" showcasing growth and financial sustainability.

• Understand the core drivers of profitability and disruption in the insurance sector.

• Develop the ability to build and price insurance products using modern data sources.

• Experience the critical balance between growth, risk management, and regulatory compliance.

• Enhance strategic decision-making and financial analysis skills in a dynamic, competitive environment.

• Foster teamwork and communication through collaborative executive-level planning.

1. Strategic Decision-Making Each quarter, teams analyze their comprehensive dashboard, featuring financial statements (P&L, balance sheet), key metrics (loss ratio, combined ratio, customer acquisition cost), market share reports, and a live news feed with regulatory updates and competitor actions.

** 2. Input and Execution** Based on their analysis, teams make simultaneous, interdependent strategic choices for the coming quarter. Setting premiums and coverage terms for specific product lines, allocating capital across marketing, technology R&D, and compliance, purchasing reinsurance or forming tech partnerships, entering new geographic or demographic markets, responding to specific market events.

3. Real-Time Engine Processing Once all decisions are locked in, simulation engine processes the inputs. It models complex market interactions, competitive dynamics, regulatory impacts, and randomized risk events (natural catastrophes, cyber-attacks) to calculate new market outcomes.

4. Results and Feedback Teams instantly receive updated financial reports and market standings. They see the direct consequences of their choices on profitability, growth, and risk exposure, enabling rapid learning and iterative strategy refinement.

5. Progression and Final Review This cycle repeats for 6 to 8 simulated quarters. The simulation culminates in a final review where teams present their strategy and performance to a panel of "investors”, defending their decisions based on the financial and market results achieved.

• What is an InsurTech simulation? An InsurTech simulation is an interactive business simulation that replicates the challenges of launching and running an insurance technology startup, allowing learners to practice strategy and finance in a risk-free environment.

• What business skills does this insurance simulation improve? This simulation sharpens skills in financial modeling, strategic planning, risk assessment, data-driven decision-making, and competitive analysis within the insurance context.

• Is this simulation suitable for beginners in finance or insurance? Yes, it is designed to be accessible with guided instructions, while offering deep strategic complexity that will also engage those with finance or insurance backgrounds.

• How long does the InsurTech simulation take to complete? The experience is flexible, typically run as a 3-4 hour workshop or extended over multiple sessions in a university course.

• Can this simulation be used for corporate training? Absolutely. It is highly effective for training executives, analysts, and high-potential talent in insurance companies, banks, and consulting firms on disruption and innovation.

• What is the ideal team size for the simulation? We recommend teams of 3-5 participants to encourage debate and collaborative decision-making.

• Do we need to install any software? No, the simulation is 100% cloud-based and runs on any modern web browser (Chrome, Safari, Edge).

• How is the winning team determined in the InsurTech simulation? Performance is measured by a balanced scorecard of key metrics, including profitability, market share growth, risk-adjusted capital position, and strategic consistency.

• Clarity, coherence, and persuasiveness of the valuation memo and presentation

• Ability to adapt and revise valuations in light of news shocks or changes

• Collaboration, division of work, integration of roles, and final coherence

• Rating by peers and self-reflection on approach and decisions