The Swiss Insurance Innovation Prize is awarded annually by the trade magazine "Schweizer Versicherung", by the Institute of Insurance Economics at the University of St. Gallen, by the Swiss Brokers Association SIBA and by the auditing and consulting firm EY Switzerland. This year's prize was presented to the winners at a ceremony.

The award is not given for a single product or service, but for an innovative, holistic approach to driving product development forward thanks to cooperations, especially with InsurTech companies.

First prize to Basler Versicherung

"The customer of tomorrow is considered a 'digital native' and expects that all stages of the customer journey for insurance can be handled digitally. Compared to other industries such as music or tourism, the insurance industry still has some catching up to do in this respect," Professor Alexander Braun emphasized in his speech.

"Baloise goes Start-up" stands for a series of innovative insurance products around the topics of moving, living, cyber risk or luxury goods (specifically: luxury watches). The insurance product is characterised by:

- a fast and convenient closing (mobile, under two minutes)

- Use of modern technologies (image recognition algorithms, artificial intelligence)

- Animations and other features (emotional sales process)

The award winners 2017

1. Rank: Basler Versicherungen for product development thanks to cooperations
2. Rank: Zurich Commercial Insurance for Cognitive Computing
3. Ranking: Axa Winterthur for health care 

Special prize: CSS for "QualiCheck"; special prize: Roland Betschart for constant innovative strength.

About the Innovation Award

The three main objectives of this award are to provide a platform for insurance companies as well as brokers:

- to show that the insurance industry is an exciting sector that offers solutions with a high level of innovation

- in order to present themselves to their customers as an innovative supplier

- to position itself as an attractive employer both internally with existing staff and externally with potential employees.

The evaluation is carried out from a holistic perspective and on the basis of criteria such as pioneering work, customer benefits, benefits for the insurance company, overall concept, possible impact/market resonance. However, it is not a scientifically based award, but the result of the jury's opinion, based on the submitted documents and their own experience.

Upcoming dates

Deadline for product entries: September 3, 2018; Awards ceremony: late fall 2018.

www.innovationspreis-assekuranz.ch

economiesuisse is forecasting gross domestic product (GDP) growth of 1.0 percent in the current year and an increase of 2.2 percent for 2018, as chief economist Rudolf Minsch explained to the media today. The pick-up in the global economy is the most important growth driver for the Swiss economy. This applies above all to growth in Europe, where Germany continues to act as a locomotive and countries such as France and Italy have finally also embarked on the recovery path.

Better and worse prospects

The Swiss franc is still overvalued against the euro, but at a level that the value-added-intensive Swiss economy can cope with. According to Rudolf Minsch, the structural adjustments throughout the value chain of the Swiss export industry are now beginning to pay off:

More efficient processes, a focus on value-intensive activities and rigid cost management allow the company to benefit from the economic recovery while continuing to drive innovation. Especially in the machinery industry, where the turnaround already began in the first quarter of 2017, the upturn is strengthening significantly. The watch industry is also growing strongly this year and is cautiously optimistic for 2018.

In the textile industry, the upswing is being delayed somewhat and will not begin until next year. Finally, after two very difficult years, the hotel industry is able to make significant gains again and is also looking positively into next year. Switzerland's most important growth sector in recent years, the chemical and pharmaceutical industry, will continue to grow relatively unaffected by exchange rate changes.

Construction has passed its zenith

Different trends dominate in the predominantly domestically oriented industries: Industries such as the energy sector, the telecommunications industry and the printing industry, whose value added is declining for structural reasons, continue to struggle with a negative trend. Although these industries are also being helped by the positive economic stimuli, these cannot reverse the trend.

By contrast, the healthcare and mail order sectors are benefiting from a sustained positive trend. A stable but more moderate development is being recorded by the financial industry, with the insurance industry likely to grow somewhat more strongly than the banking industry in 2018. While the current year is developing positively for the main construction industry, the sector expects a slight decline in value added in 2018, even though construction volumes remain high by historical standards. This will have a delayed impact on the ancillary construction sector.

Falling immigration and rising vacancy rates are weighing on price trends and causing a slowdown in residential construction activity in Switzerland. In contrast, the economic recovery is having a positive impact on commercial construction. Overall, the domestic economy is developing solidly. Nominal wage increases in the order of 0.8 percent, falling unemployment figures and generally more positive prospects for the future are stimulating private consumption, which will grow somewhat more strongly than in previous years. The brighter economic outlook is also leading to higher investment in equipment.

Inflation in positive territory, falling unemployment

After two years of negative inflation rates, prices are now rising slightly again this year (+0.5 percent) and next year (+0.4 percent). The weaker franc is causing import prices to rise again somewhat. However, the Swiss National Bank's low interest rate policy will not lead to inflationary developments for the time being. economiesuisse expects short-term interest rates to remain in negative territory in 2018 and the turnaround in interest rates not to set in until 2019. Thanks to the good economic situation, average unemployment in 2018 will fall below the three-percent mark for the first time since 2012.

Downside risks due to bubble formation

The ultra-expansive monetary policy pursued by the major central banks in recent years is having side effects in the form of bubbles forming on various markets that could burst unexpectedly and drag down the global economy. For example, the price increases in the stock and bond markets in recent months are hardly sustainable. Particularly sensational is the performance of digital currencies, led by Bitcoin. In the event of a trend reversal, it will become clear to what extent non-bank or near-bank institutions are capable of absorbing even larger losses and whether there will be no chain reactions in the financial system.

The low interest rate policy has also led to a further increase in corporate and public sector debt. In the economic upswing, a start should finally be made on reducing debt, otherwise the players will no longer be able to act in the event of a hard downturn. Finally, the Swiss real estate market is so highly valued that a turnaround in interest rates could trigger further and larger price corrections.

However, these downside risks are not included in economiesuisse's current forecast, as the timing of their occurrence cannot be predicted. Due to the continued expansionary monetary policy and the ongoing investment emergency, imbalances may even continue to build up.

www.economiesuisse.ch

Is the time ripe for innovation and risk or are we limiting ourselves with more and more regulation to such an extent that change is excluded from the outset? Innovation needs entrepreneurial room for manoeuvre: this was demonstrated by examples from participating SMEs at synergy, an event for Swiss SMEs.

A new brand called "Home

Who invests in a Swiss cigarette factory, for example, in times when government prevention and paternalism campaigns denounce tobacco products and impose ever higher taxes? The entrepreneur Roger Koch took a chance and launched a new product with a combination of Swiss tobacco and hemp that really hit the market. For months the product was out of stock (currently it can only be ordered online) and yet there is potential for optimisation: not everything, e.g. the hemp, in this "special cigarette" comes from Switzerland.

How does Logitech remain successful?

Guerrino de Luca, Chairman of the Board of Directors of Logitech, shows that even large companies have to find new ways to stay ahead. Logitech is one of the most successful Swiss startups that has earned its place among the big players in Silicon Valley.

Missed innovations plunged the company into a crisis in 2008, from which Logitech only found its way out again thanks to new products and innovative brands. Digitization opens up opportunities for the company in innovation.

New platforms

New sources can be found via financing platforms such as swisspeers.ch by helpy expert Alwin Meyer in order to find investors for projects even with a higher risk. However, the new possibilities of digitalisation also make the economy and society more vulnerable to new dangers such as cybercrime.

Israeli cyber expert Shira Kaplan helps Swiss companies protect themselves against this. She brings her know-how with her from Israel, where a risk-averse start-up scene with a good environment and in cooperation with the army is doing pioneering work in this area. But does Switzerland need support from Isreal? To be innovative and entrepreneurially flexible these days, probably yes.

 www.synergy-schweiz.ch

The event on the "good and evil" of the implication and management of compliance systems was followed closely by around fifty participants. Using the practical example of Swiss Post AG, Markus Schumacher, Head of the Corporate Center, showed how the company set up its compliance system in 2015/16 and what experiences are emerging in the first year of operation in 2017.

Swiss Post understands compliance as a comprehensive system based on integrity and solid values; it achieves its goal - compliance with laws, standards and internal rules of conduct - by being consciously and informedly supported by all employees within the scope of their responsibilities. Successful implementation requires a clear approach: (1) A lean compliance organization that fits into existing structures.

Compliance is a management task

Compliance is primarily a management task and must follow the line; as it is also understood as a cross-divisional Group risk, close integration with risk management is essential: (2) definition of expected behaviors among employees (code of conduct) and suppliers (social and ethical code) and identification of external legal areas and internal requirements to be complied with; (3) risk-based selection of key compliance topics such as data and information protection; development of individual measures in these topics; (5) communication and training, differentiated by groups of addressees; finally, (6) control and monitoring with the involvement of internal audit, with a semi-annual report to the group's top management. Perhaps the most important recommendation is that there is no single right solution, but that the solution must fit the company and be linked to what is already in place.

International affairs

Katja Böttcher, Legal and Compliance Project Manager at the international law firm Lalive, took as her starting point the rapid change in economic and, above all, (criminal) legal conditions in recent times, which can be seen as the actual driver for the growing importance of corporate compliance worldwide.

Whereas in the past it was almost normal to pay bribes when awarding contracts and they could even be deducted from taxes, today there is zero tolerance. Important forces in this development are, for example, the legal rulings in the USA and the UK, which are also having an impact on other business locations, especially as the risk of corrupt activities being discovered has risen markedly in an increasingly globalised economy.

International organizations such as the OECD, which have issued new or stricter anti-corruption standards, and Transparency International, whose rankings and business principles are respected worldwide, also play an important role. Of direct importance for Switzerland is the revision of criminal law in 2003, which now makes the company itself subject to criminal liability (original criminal liability under Art. 102 para. 2 SCC), without the need to attribute an individual offence to staff.

The speaker concludes her presentation with a short excursus on the aspect of data security and storage as well as on the possibilities of digitally supporting compliance processes. The lively discussion after the official part can not only be read as a compliment for two highly interesting and insightful presentations, but also show that compliance - for better or worse - will remain a hot topic.

www.netzwerk-risikomanagement.ch

The knowledge initiative could meet with a great response. Leading politicians such as President Leuthard are currently aiming for Switzerland to move up from eighth place among the most digitised countries to the top five. In her opening speech at Zurich's main railway station on Swiss Digitaltag, Leuthard said that she was now firing the Swiss digital rocket. In her opinion, the federal government is also called upon to do this - especially in the area of e-government.

E-Government in the area of receivables management

In this context, the electronic Debt and Bankruptcy Act (eSchKG), which offers creditor companies digital opportunities in the area of online debt collection, is particularly important for corporate receivables management. To this end, all Swiss debt collection offices offer electronic interfaces that enable cost- and time-efficient online debt collection.

With its innovative robo-collection solution, tilbago AG has set itself the task of making better use of these new possibilities of digital collection. With tilbago, creditor companies not only receive efficient access to the electronic interfaces of the Swiss debt collection offices, but are also guided through the individual SchKG process steps in the online solution.

With tilbago, debt collection can thus be handled independently online and easily without external collection agencies. The entire debt collection process, from debt collection and seizure to the administration of loss certificates, is intelligently automated as far as it makes sense. tilbago CEO David Fuss explains the opportunities of digitalisation in the debt collection system:

"In the area of legal debt collection, digital disruption has fully taken hold and now enables every company to carry out debt collection digitally and thus faster and more cost-effectively. The modern way to digitally process and manage debt collection is our central concern. For this purpose, we have developed a robo-collection solution that supports our customers along the entire SchKG process and offers great opportunities for cost and time savings. “

Knowledge initiative for the digitalization of legal debt collection

To enable creditor companies to realise these opportunities, tilbago is now supporting interested companies with free workshops throughout Switzerland (see end of text for registration). During so-called brown-bag workshops over lunchtime, interested parties not only receive a free "brown bag" (lunch bag), but above all innovative knowledge about the possibilities of digitalisation in the debt collection system.

tilbago offers answers to the following questions:

• How does digitalization simplify legal collections?
• What are the advantages of using the eSchKG?
• What know-how is required?
• Why are no investments required for the solution setup?
• Why can tilbago be used immediately after registration?

www.tilbago.ch

The Swiss ICT Symposium showed: In order to illuminate the new media, software and hardware, to be able to safely tread digital paths in IT services, you need framework conditions, know-how, openness and critical questioning. In Switzerland, perhaps also a little more openness towards disruptive business models. This is how one could sum up some of the highly interesting presentations at this year's symposium. "Many see digitization as a threat," said Thomas C. Flatt, President of Swiss ICT, at a conference on the second day of the event. However, one should seize the challenges of the time and actively shape them in Switzerland as well.

No locks

"It makes no sense to declare war on economic sectors by imposing network blocks on online gambling," continued the President of Swiss ICT. In a globalised world, in a liberal society such as Switzerland, anyone who allows and orders blocks is putting protectionist motives above the freedom of the Internet, market ecology and IT development. As other symposium presentations revealed, the IT sector is now working specifically in interfaces between games and science, coordinated data networks and big data.

Even the head of the Reporting and Analysis Centre for Information Assurance MELANI in the Federal Department of Finance stated: "Network blocks would be the wrong approach in Switzerland. Such interventions - except in the case of violations of the law - should be carried out with restraint. After all, you only block the users, not the providers." Lukas Morscher, who gave his talk after Lamia, then also said: "Before critical lobbies want to ban digital models in the free market economy, they should consider three conditions: 1.) Legal guidelines; 2.) Public interest; 3.) Proportionality of a regulation.

Swiss ICT Award

Basically, the above-mentioned keynote speakers aim to sensitize different sectors of the local economy, but also small businesses, to new digital technologies and opportunities. Around 800 guests received insights, recommendations and motivational boosts on 14 November. For example, from the new honorary president of FC Basel, Dr Bernhard Heusler, to make the right decisions for their projects.

On the evening of the event, everything revolved around the ICT Award. The most important award in the Swiss IT industry went to two forward-looking companies: Nomos System AG. The AG developed a universally usable IoT automation software. Advertima AG won the Swiss ICT Newcomer Award 2017 for its experience management system based on learning algorithms. The audience award was won by SwissCognitive, "a hub to meet, exchange, connect, debate and in the future maybe even decide."

The Swiss ICT Award is moving to Zurich in 2018 and will have new organisers. Next year, the "Swiss ICT Award" and the "Swiss Digital Transformation Award" will be presented under the joint title "Swiss Digital Economy Award" on 21 November 2018 in Zurich's Samsung Hall.

www.swissict-symposium.ch

On 20 November 2017, "Mindfire", a project for artificial intelligence, was presented. The project is extremely ambitious. However, Switzerland is ideally placed to set an important signal for the future in this area. Switzerland is considered to be particularly innovative and has been a world leader for years.

The reasons for this are certainly the good and stable political and economic framework conditions as well as Switzerland's (economic) openness. The latter was an early attraction for innovative entrepreneurs and investors. Switzerland as a location for innovation now has the chance to once again make a mark in the field of artificial intelligence in keeping with its reputation as the "innovation world champion".

artificial intelligence

The creation of artificial intelligence is one of the most challenging technological and social endeavors of our time. Despite decades of research around the world, the creation of a machine that stores knowledge and functions for companies like a brain that knows the answer to every question remains visionary. That is about to change.

The "Mindfire" foundation set up by Starmind wants to bring the 100 smartest people from a wide range of industries and countries to Switzerland with the best-known international brain researchers. They have 14 days to crack the so-called "Human Brain Code". "Mindfire 1" is expected to start in May 2018 and is already supported by many renowned universities, cantons, associations and companies - including ETH Zurich, the Canton of Zurich, UBS, Accenture, Helsana and many more.

You can find more information about "Mindfire" at www.mindfire.global

Companies also have the opportunity to support and participate in the program. For further information please contact Mr. Carlo Schmid (carlo.schmid@mindfire.global) are available.

The checklist is intended to help find the right methodology in leak testing. For example, the (wrong) choice of leak test method, such as the water bath method, can cause the tester to miss leaks because he has not considered the deformability and volume change of the test part. Inficon has summarized which mistakes companies can avoid during leak testing in a top 10 checklist of avoidable leak testing mistakes.

Error 1: The wrong method for the leak rate to be tested

A common error with the water bath method is that the tester does not detect bubbles even though there is a leak. Problematic: A basic condition for determining whether a leak test or leak detection method is suitable is the limiting leak rate. Often, however, companies do not pay attention to this in practice. For example, they inspect plastic parts using the pressure decay method without considering their deformability and the volume change caused by the compressed air. The leak rates of the integral leak test and subsequent leak detection must match.

Error 2: Incorrectly selected test time in the production process

At what point in the production process does a leak test make sense? This should be considered carefully. It is usually helpful to check subcomponents before they are assembled. If the pre-assembled components fail the series test, the effort is significantly higher - and the working time invested in the assembly is lost.

Error 3: The test part is contaminated

The following applies to all test methods: Leak tests should always be carried out on completely new test parts. If a component was already in operation beforehand and, for example, filled with oil or water, small leaks may have become clogged. Before a leak test, companies must clean the test parts and then dry them.

Error 4: Temperature changes are not taken into account

For integral leak tests based on the principle of pressure drop or differential pressure measurement, temperature fluctuations are serious. Minimal temperature changes can alter the measurable leak rates by several orders of magnitude.

Error 5: The test pressure fluctuates

Companies should always fill the test part with the same constant pressure during the leak test. Caution is advised, however, as for some test parts correct filling is only possible after prior evacuation. In helium testing, for example, tracer gas concentrations are reduced in order to lower testing costs.

Mistake 6: Creep leaks and groble leaks are underestimated

Creep leaks consist of capillary-like passages. For a successful test, it is necessary to consider how long it takes for the tracer gas helium to distribute itself in such a way that it also escapes from creep leaks. Therefore, there should be sufficient time between filling and testing to be able to reliably identify creep leaks.

Error 7: The auditors do not know how to measure

For an integral leak test, it is recommended to use a reproducible measurement method instead of relying only on the perception of the tester. But one should consider how one measures and with which test medium. For example, leak rates are specified for air, but helium has a slightly higher dynamic viscosity than air. Therefore, a conversion is needed for the exact leak rate.

Error 8: There is no calibration of the test equipment

Companies should regularly check the functioning and accuracy of a system with a reference leak (e.g. a test leak in a glass capillary), which always causes the same leak rate due to its defined size. If this leak rate is not determined in the test, the plant has a problem.

Error 9: The maintenance of the test equipment is neglected

If companies do not measure leak rates at a test station for days or even weeks that are greater than those at which the test part still passes the test, this is either a sign of the immense quality of the product - or also an indicator of an inadequately functioning test facility. For this reason, companies should regularly check joints, hoses, test part fixtures etc.

Mistake 10: "We can do it ourselves"

This is something you should think about carefully. It is better to turn to experts for comprehensive advice. Choosing the right test method, configuring equipment correctly and making test processes as foolproof and reliable as possible is a major challenge - which is why professional support is recommended.

The top 10 most common leak testing mistakes are an excerpt from Inficon's free e-book, "Leak Testing of Refrigeration, Air Conditioning and Heating Systems - A Guide," which you can download at here free of charge.

www.inficon.com

The partnership between Siemens and Tenable combines the two companies' areas of expertise. It can help users better understand when they are at risk and identify where OT assets are vulnerable. On the one hand, the new solution is based on Tenable technology: the first specialized vulnerability assessment for OT (Engl.: Operational Technology), which provides customers with continuous insight into their greatest risks. On the other hand, it's Siemens' industry knowledge and operational expertise. Together, the solution can help customers compensate for the lack of knowledge about critical assets.

Cybersecurity for critical infrastructure has never been more important. Attacks are on the rise globally and OT is increasingly becoming a target - now accounting for 30 percent of attacks. According to a Ponemon study on the state of cybersecurity in the U.S. oil and gas industry, these attacks significantly impact productivity, uptime, efficiency and security.

While companies are implementing cybersecurity measures, they are unable to keep pace with digitalization in the oil and gas industry. As a result, companies are not able to adequately understand and classify cyber risks at all times. This results in a significant cyber exposure gap.

Convergence of IT and OT

"Enterprises deploying Operational Technology face a fundamental security challenge: understanding total cyber exposure in the context of modern, ever-changing attack surfaces," said Amit Yoran, CEO of Tenable. "We have seen the rise of cloud, mobile and IoT. Now we are adding the convergence of IT and OT, making critical systems vulnerable to increasingly aggressive criminals and attacks.

Tenable is the only provider that helps companies close their cyber exposure gaps - whether it's traditional IT, cloud, IoT or OT assets. The cooperation with Siemens is the logical next step and together we enable customers to monitor and understand their attack surface in its entirety. This allows them to discover their vulnerabilities and protect the systems at risk and the people who rely on them."

Vulnerability Detection

"The number of cyber-attacks on oil, gas and utility companies is constantly increasing, and their quality and aggressiveness is growing daily. Passively monitoring all assets in their respective environments is critical to identifying and remediating vulnerabilities before they can be exploited. This is especially important for essential public services such as electricity, gas and water," said Leo Simonovich, Vice President and Global Head, Industrial Cyber and Digital Security at Siemens Energy. "With Siemens' extensive OT expertise and Tenable's leading cybersecurity technology, this partnership is perfectly positioned to expand critical infrastructure protection and protect businesses that depend on industrial systems."

Part of this offering is Industrial Security from Tenable. The solution provides secure and reliable asset discovery and vulnerability detection specifically for Industrial Control Systems (ICS) and Supervisory and Vulnerability Data Acquisition (SCADA) systems. The OT-focused solution takes a non-intrusive approach based on passive network monitoring with Tenable's Nessus Network Monitor.

Companies can thus identify and prioritize OT risks in order to secure safety-relevant assets in production and ensure their functionality.

Industrial Security

Industrial Security is offered by Siemens as a security service to help customers understand the current status of their assets. They get the information they need to understand and reduce their cyber risks. For the first time, companies can assess their cyber exposure across the modern attack surface with a single solution, covering both IT and OT assets.

www.siemens.com

Not only large companies such as banks, insurance companies or the pharmaceutical industry are threatened by cyber attacks from the Internet. Swiss SMEs are also exposed to a growing number of cyber attacks. The Lucerne University of Applied Sciences and Arts took this as an opportunity to survey small and medium-sized enterprises on the topic of information security last year.

Now the two authors Oliver Hirschi and Armand Portmann from the Department of Information Technology have published the results of the study. Lead author Hirschi summarizes the results as follows: "In many SMEs, there is a lack of knowledge on how to deal with the topic of information security." This is despite the fact that around 40 percent of the companies surveyed had recently - i.e. in the 12 months prior to the survey - been affected by cyber attacks such as malware or phishing emails.

The study is based on an online survey that the researchers conducted among 230 SMEs. These included companies from a wide range of sectors such as services, consulting, trade and healthcare. Almost two-thirds of the companies allow their employees to edit business emails on private devices. Just under a third allow access to all IT applications. "That, of course, increases the attack surface," Hirschi said, "as does the use of cloud services," such as data storage that can be accessed from anywhere at any time. Almost 60 percent of companies use these in some form.

Great damage due to misuse feared

If a company is affected by cyber attacks, this leads to it becoming more involved with the topic of information security. The focus of interest is on safeguarding business operations. This happens against the backdrop of a great demand for confidentiality: over two-thirds of companies assess the damage that would result from the improper publication of their confidential data as great or very great.

Protective measures are therefore important. "Nevertheless, the vast majority of companies stated that they allocate no or only minimal resources to the topic of information security," says Armand Portmann, co-author of the study. Many companies also reported that they had not trained their staff in dealing with threats in the year prior to the survey.

Accordingly, the management and control of information security is weak in many places: not even half of the SMEs regularly check their security measures for effectiveness. This also explains why standards or guidelines for information security are rarely used. The situation is better when it comes to technical measures. These include backups, virus scanners and firewalls. According to the survey, almost all of the companies surveyed use these.

Wanted: more staff, more training

In view of these results, the two study authors see a need to catch up, especially in the organizational and personnel areas: In order to improve the situation in Swiss SMEs, the companies would have to provide more resources for information security and better prepare their employees for the dangers of cyber attacks in training courses.

For the full survey analysis on cyber security - and training among SMEs, go to here