CAA Club Group Report to Members. 2017

Transcription

1 CAA Club Group Report to Members. 2017

2 Table of Contents. Greenhouse Statements 4 Our 2017 Highlights Automotive and Membership Services 6 Insurance 8 Member Experience 10 Advocacy and Community 12 Corporate 14 CAA Social Responsibility 16 Key Performance Indicators 17 Corporate Governance 19 2

3 Message from the President and Board Chair. We often hear corporations talk about doing the right thing, but what does that truly mean? For CAA Club Group, doing the right thing for you, our Members, starts with your safety and well-being. While the organization has transformed immensely over the last few years, our growth has been grounded in our profound belief that if we do the right thing by our Members, success will follow. Take emergency roadside service (ERS) for example. It is what CAA is most known for. And while other auto clubs may view roadside service as a commodity service for us, it is vital to how we fulfil our promise of keeping Members safe. This past year, we made some significant technology investments into roadside service, starting with the replacement of our legacy system for dispatching calls. The new system, D3 was developed by AAA and used by over 90 percent of all AAA and CAA clubs. While we had some challenges during the transition period, the implementation was necessary to enable new capabilities and integrate new technology within our roadside operations. What we did next, would genuinely revolutionize the roadside assistance industry. Using advanced mathematical principles and statistical analysis, we developed a powerful predictive analytics engine that helps us get the right roadside service vehicles to the right place at the right time to rescue our Members. This system, called Geo-Temporal Gen 2, takes historical and real-time data from a range of sources including traffic, weather, vehicle GPS data, environmental conditions (and many more) and runs it through complex algorithms to predict ERS events. The technology allows us to position our roadside service vehicles where they are needed most, ahead of when they are needed, to reduce the time it takes to respond to a call. Geo-Temporal Gen 2 has been in operation since the fall of 2017, and we have already begun to see significant improvements in average wait times. We are now in conversations with likeminded auto clubs from across the globe to integrate Geo-Temporal Gen 2 with their roadside operations. Doing right by our Members extends beyond just roadside. It was the reason we started the Orion Travel Insurance Company almost five years ago. Orion was designed to be a different kind of travel insurance company, one focused Jay Woo President & Chief Executive Offi cer Amy Bryson Chair of the Board on protecting the Member, ensuring they had a better buying experience and, during their time of need, a better claims experience. We won t look for reasons to deny honest claims, but instead, focus our efforts to help those who need us most during an unfortunate emergency medical incident. Adhering to this principle is why Orion has grown from protecting just over 380,000 people in 2013 to now over 2.65 million in There are many more examples of how we continue to move the company forward while staying true to our fundamental beliefs and mission; many of which you ll find in this report. Our Members are the reason we strive to grow and improve. On behalf of the board of directors and senior management of CAA Club Group, we wish to thank you, our Members, for your support and patronage of CAA. For over 115 years, we have strived to take care of and do the right thing for you. We plan to continue doing so for the next 115 years. MESSAGE FROM THE PRESIDENT AND BOARD CHAIR 2017 Report to Members 3

4 Making bad days good. And good days better. Roadside Assistance. Insurance. Your CAA Membership protects you, the individual, not just your vehicle like many manufacturers roadside assistance plans. CAA Members can enjoy the peace of mind their membership provides no matter the vehicle they are in. Our trusted CAA App gives motorists the ability to become a Member, call for assistance and even track their service vehicle thanks to our Service Tracker tool. Our affiliation with other CAA Clubs, AAA in the United States and other auto clubs around the world, means Members are protected on almost every continent. For over 40 years, we have been offering comprehensive care, dependable coverage, competitive rates and responsive claims service for home and auto insurance. In 2017, we expanded to our broker network, with 41 in Ontario and two in both Manitoba and the Atlantic Region. Today, we offer a full suite of insurance products to protect Members and their families including Orion s comprehensive, hassle-free travel insurance to protect Members on their trips. 4

5 Savings and rewards. Member experience. Giving back to Members. In addition to keeping you safer on the roads and at home, we also look for ways to add value to your membership. Members can save more than the cost of a membership through our partner savings program, CAA Rewards (with over 124,000 partner retail locations and services across North America) as well as our CAA Dollars loyalty program. We are always exploring new partners and ways for our Members to save every single day. Member experience is at the heart of everything we do. From Roadside Assistance, to choosing the right insurance product or booking a travel adventure, we want you to have a memorable and pleasurable journey. With newly renovated stores in five locations, every CAA journey begins with a warm setting and a helpful Associate. No matter what you need, it s our promise to make your day better. We have been advocating on behalf of our Members since We aim to represent the interests of CAA Members to municipal and provincial governments, community groups and stakeholders. We also give back to the community through several initiatives focused on road safety, infrastructure and the safety of our youth in and around school zones. Additionally, our charitable initiatives support key partners in the community. These initiatives are built on our obsession with Member safety and extend to communities in need. GREENHOUSE STATEMENTS 2017 Report to Members 5

6 2017Automotive and membership services. HIGHLIGHTS CAA roadside and automotive services continued to leverage technology to keep our Members safe. We also increased our footprint of digital devices, enabled calls to go direct to tow truck drivers, minimizing Member wait times, and further expanded our predictive mapping knowledge. Being able to predict and navigate variables such as disruptive weather, traffic congestion and routes impacted by construction has given us the confidence and ability to optimize Member safety and reach those Members most in need sooner. We transitioned our dispatch system to D3, a system that aligns us with 90 percent of the AAA/CAA Federation. This system allows us to integrate more technology into our Roadside Assistance, so we can get the right truck to the right location at the right time. The D3 system is a proprietary system that is owned and operated by AAA and made available to all AAA and CAA Clubs. Planning took over a year to launch and implementation occurred June With any new system implementation, we had some pain points as we went through a transition period. We did go through some longer service times, but we have been refining the system to provide the best service to our Members. We are on our way to achieving optimal performance with the D3 system. We also added capacity to our roadside area and truck capacity to ensure that we keep our promise to Members in all situations. 6

7 Members surveyed: 89% satisfied with Roadside Assistance. Members surveyed: 88% satisfied with their Roadside Assistance driver min 131,893 # of calls tracked in D3 System. AUTOMOTIVE AND MEMBERSHIP SERVICES HIGHLIGHTS 2017 Report to Members 1,335,182 # of Roadside Assistance calls dispatched in average arrival time (in minutes) for Roadside Assistance. 1,504,759 # of Roadside Assistance calls received in

8 2017Insurance. HIGHLIGHTS CAA Insurance Company is focused on providing its customers with better service and products through more convenient service options. In November 2017, in partnership with the British Columbia Automobile Association (BCAA), CAA Insurance successfully launched the Optional Auto Insurance product in the province. CAA Insurance staff are providing underwriting and claims adjustment support to BCAA s front-line agents. At the end of 2017, we continued the expansion of our brokerage network to 41 new partners in Ontario, two in Manitoba and two Atlantic brokers. Our promise is to help people stay protected through unique products that satisfy many insurance needs. We aim to further our broker relationships in Ontario, as well as increase our presence in Atlantic Canada and Manitoba with additional broker appointments to better serve Canadians. CAA Insurance also introduced product enhancements, including Single Limit coverage, Bare Land Condo product, Antique and Classic vehicle product and Mini/Modular home products. We pride ourselves on providing personal care and exceptional service. We are committed to bringing comprehensive, flexible and competitive products that ensure you have the best protection for you and your family. 8

9 203,724 # of families protected with CAA Insurance. 11.3% average discount for safe drivers through CAA Connect. 7,500 # of policyholders enrolled in CAA Connect. INSURANCE HIGHLIGHTS 2017 Report to Members 54.2% CAA Insurance loss ratio. # of new independent Brokers with CAA Insurance. # of new CAA Insurance Broker locations. Lowest loss ratio in the industry. 9

10 2017Member experience. HIGHLIGHTS Whether it is a face-to-face conversation at one of our CAA Stores, with a service provider at the side of the road, or over the phone or online, our end goal is to exceed our Members expectations in the service they seek. Simply put, going above and beyond their needs every single day contributes to an even better day. This experience is being enhanced through five redesigned CAA Stores in Brampton, Markham, Cobourg, Kingston and Stoney Creek in The stores have improved Member convenience through free Wi-Fi and easier-tonavigate, more accessible spaces. Our Travel teams were also busy making days better for Members. In October, we surprised some lucky CAA Members with dream vacations. We also held exciting Travel Awards event in Manitoba and South Central Ontario and a Travel Expo in Manitoba with over 40 travel suppliers and 1,600 guests in attendance. Our Members now have even more reasons to pull out their CAA card beyond Roadside Assistance. We ve added over 10 new loyalty partners offering savings and rewards from some of Canada s top brands in retail and entertainment such as Telus, RW&CO. and the Toronto Argonauts. 10

11 12 NEW loyalty partners added for CAA Members. 295 # of new Moneris devices at CAA Stores. MEMBER EXPERIENCE HIGHLIGHTS 2017 Report to Members THE FRESH DIFFERENCE # of redesigned CAA Stores. 11

12 2017 Advocacy and community. HIGHLIGHTS CAA has been advocating on behalf of its Members since We represent the voice of our Members and ensure that it is heard by government, while keeping Members informed about the issues that affect them. Government relations. Our government relations team meets regularly with provincial and municipal officials and industry stakeholders about key issues, including road infrastructure, traffic safety, roadside assistance, mobility, the environment and consumer protection. In 2017, our focus was on consumer protection and towing regulations across Ontario, discussions on legislation addressing cannabis use, road safety, distracted driving and pedestrian safety. Traffic safety. From drug-impaired driving to speed limits, CAA works with police and safety partners to help ensure that Ontario s roads are safe. Our focus on education and awareness covers the safety issues important to all roadusers, including distracted driving, cycling, Slow Down, Move Over, pedestrians and impaired driving. In addition, we continue to offer resources for stranded drivers, winter driving, teen driving, road safety education in the classroom and other timely information. CAA Worst Roads. This campaign asks drivers, cyclists and pedestrians to identify the roads they think are in the most need of improvement be it potholes, congestion, safety concerns or poor road signs. Almost 16,000 people participated in the 2017 CAA Worst Roads campaign, by nominating over 3,000 roads. CAA uses the results to engage with politicians and decision-makers in government across Ontario to make a positive change. Cycling safety. CAA is committed to keeping our roads safe for everyone using them, whether on two or four wheels. As more cyclists take to the roads, it is up to all road users to watch out for one another. Our Watch for Bikes campaign acts as a constant safety reminder for motorists and encourages everyone to share the road safely. Over 65,000 Watch for Bikes decals were distributed in For more information on all our advocacy programs and initiatives, please visit caasco.com/advocacy. 12

13 School zone safety. Our CAA School Safety Patrol program has approximately 20,000 student patrollers devoting their time before and after school to help their peers stay safe in school zones and on school buses each day. As a reliable safety partner for all ages, the CAA School Safety Patrol program continues to develop and nurture student leaders. In 2017, CAA held the Ontario School Zone Safety conference, bringing together school zone safety experts from all areas, including injury prevention, public health, enforcement, engineering and planning, research and public policy at both municipal and provincial levels of government. The conference was a forum to share knowledge, inspire solutions and collaborate on actionable priorities to make school zones an actual and perceived safe place for children. People who voted 77% People polled by Ipsos are concerned about road safety following legalization of marijuana. 85% said potholes and crumbling pavement were the reasons a road was Ontario s worst. OVER # of Watch for Bikes decals distributed to remind motorists to watch for cyclists. roads in Ontario were nominated in the CAA Worst Roads campaign. Nearly 16,000 people participated in the CAA Worst Roads campaign. ADVOCACY AND COMMUNITY HIGHLIGHTS 2017 Report to Members 13

14 2017 Corporate. HIGHLIGHTS In 2017, we made an investment into CAA Club Group by implementing three new technology platforms to further our commitment to Member safety. In May, we launched Harmony, a travel agent desktop that enabled our Travel Consultants with a one-stop shop for customized profiles of customers and an integrated interface for quicker bookings. Harmony provides a more robust and enhanced process for our customers and Associates when booking travel. Lastly, in November, we successfully launched SAP, an industry leading business software. SAP is our new core operating system and it allows us to better service our Members. This system enables us to further understand our Members so we can serve their needs more quickly, safely, and identify opportunities for making days better. SAP is also a platform that gives us the ability to grow as a company and bring new exciting products to market for our customers. We recognize the changing demographics in our market and this system allows us to respond to the changing needs of our customers. The integration of these three distinct systems provides a more seamless experience for our Associates and Members, further reinforcing our promise to make bad days good and good days better. CAA Club Group continued to show why it is a preferred destination for employees across the Greater Toronto Area (GTA). Reinforcing this is our recognition as one of GTA s Top 100 Employers by The Globe and Mail for the ninth year running. Last year, we received two awards for our employee wellness program the Venngo Award of Excellence for 14

15 Financial, Physical and Mental Wellness at the Canadian HR Awards and the Best Health & Wellness Program Award at the Benefits Canada Workplace Awards. Our Learning and Development team was also recognized by the Institute for Performance and Learning with the Award of Achievement for our D3 system launch training programs. We continued to give back to the communities we are a part of through our ninth annual CAA Charity Golf Tournament. The event raised $153,060 for the SickKids Foundation in Toronto. Since the inception of the tournament, we ve raised over $880,000 for the Foundation. OVER $20,000 $100K donated to local charities through our Casual Charity Weeks. Pledged our support with a donation to our corporate charity. CORPORATE HIGHLIGHTS 2017 Report to Members $153,600 raised at the annual CAA Golf Tournament in support of SickKids Foundation. 15

16 CAA social responsibility pillars. As Canada s largest CAA Club, our goal has always been to be a leader in social responsibility amongst the CAA Federation and within our industry. Our commitment to uphold ourselves to the highest ethical standard drives everything we do and is reflected within these four distinct pillars: Environment. Market place. Community. Associates. We strive for a more sustainable business model by constantly challenging ourselves to reduce our environmental footprint. We are conscious of our impact on the planet and continually work to sustain the places we live for ourselves and future generations. As we come face-to-face with you, our Members, our commitment is to provide options and products that are eco-friendly and services that are convenient and accessible. CAA Club Group recognizes that we are part of a greater community, and as such, we aim to give back and cultivate strong relationships in the communities where our Associates and Members live, work and play. Our Associates thrive in a workplace that is respectful, safe and engaging. We aim to develop an organization that is both socially responsible and nurturing for our Associates to meet the needs of our Members. 16

17 CAA social responsibility. KEY PERFORMANCE INDICATORS Reduce waste and energy consumption. Reduced CAA Club Group s carbon footprint through the enablement of over 180 work-from-home Associates that work across the country. Replaced 14 aged HVAC fan coil units at 60 Commerce Valley Drive East in Thornhill as part of a systematic, multi-year program for interior building HVAC equipment renewal, aimed at replacing old units with new, energy efficient ones that reduce maintenance and operating costs, while increasing comfort. Continue to configure and update the Enterprise Building Integrator (Building Automation System) at 60 Commerce Valley Drive East, as part of the system plan to take full advantage of the product s capabilities towards operating the building in an increasingly energy efficient and cost-effective manner. Modernized the two 25-year-old elevators at 60 Commerce Valley Drive East with new cabs that are energy efficient and remedied ongoing issues that have plagued them for the past several years. Renewed the 25-year-old parking lot at 60 Commerce Valley Drive East (replaced subgrade drainage pipes and catch basins, repaved and regraded with new asphalt and concrete, refreshed painted lines, markings and parking lot signage) to provide proper storm water management and drainage and ensure pedestrian and vehicle safety. The landscaping was also rejuvenated for improved overall plot drainage, with more low-maintenance drought and salt-resistant plantings. Replaced all parking lot lighting for 10 and 60 Commerce Valley Drive East with energy efficient and low maintenance LED fixtures, while making the underground lighting wire networks in the parking lots safer. Renovated the 60 Commerce Valley Drive East lobby, including installation of window film for improved energy efficiency, privacy and aesthetics. Began the 60 Commerce Valley Drive East Backup Generator Replacement Project, with target completion date in autumn The replacement with a higher-efficiency unit (with the same power output) will not only reduce energy consumption and maintenance needs, but also a higher level of reliability in extreme cold weather. SOCIAL RESPONSIBILTIY PILLARS AND KEY PERFORMANCE INDICATORS 2017 Report to Members 17

18 Community investment and engagement, aimed at making our communities safer. In 2017, Associates voted for the charities we will support for the next three years SickKids Foundation, the Canadian Cancer Society and the Ontario SPCA. Over $20,000 was donated through our 2017 Associate Charity Casual Weeks to these great causes. CAA continued to support our corporate charity, Hope Air. Hope Air is a charity that arranges and provides free flights to Canadians who are in financial need and must travel to health care. Our donation is making a difference. We have helped over 1,800 Ontarian s from Sault Ste. Marie, Timmins and Sudbury travel for specialized medical care to places like SickKids, Princess Margaret and the Ottawa Hospital. Without Hope Air, they would ve travelled by car or bus (four to 12 hours each way), cancelled or postponed their critical care appointment, or borrowed money to purchase their own flight. CAA and Hope Air continue to make a huge difference in these people s lives. In 2017, $100,000 was donated to Hope Air. Over 6,000 CAA School Safety Patrollers were rewarded with exclusive movie day events across nine communities. CAA continued as title sponsor of the driver education focused Sweet Life Road Show, providing full-day, hands-on learning and key safety strategies to over 4,500 students in 26 high schools across Ontario. During the 2017 edition of CAA s Worst Roads campaign, 3,000 Ontario roads were nominated. Hamilton s Burlington Street East was voted as Ontario s Worst Road for CAA hosted the inaugural Ontario School Zone Safety conference, where over 100 experts came together to learn, share and collaborate on solutions for safer school zones in Ontario. Over 1,700 articles were published by journalists mentioning CAA s advocacy efforts, helping to spread the word about road safety and other issues. 65,000 Watch for Bikes decals were handed out by CAA and stakeholders, encouraging drivers to be mindful of cyclists. 750 signatures were secured on a petition that was sent to Queen s Park. The petition expressed support for a proposed bill that would help improve how accident scenes are managed in Ontario. After years of CAA s advocacy on improving tow safety and consumer protection for motorists, the Ontario government implemented new rules regulating the tow industry in With safety being top of mind for many Ontarians, CAA conducted several surveys on current and emerging issues on Ontario s roads. Topics included school zone safety which showed that about one-third of parents consider school zones to be unsafe; Ontario s towing industry which highlighted that motorists are largely unfamiliar with their rights, and support the province establishing consistent rules across municipalities; and drug impaired driving indicating that cannabis is seen as dangerous as both alcohol impairment and distracted driving on our roads. Community engagement. KEY PERFORMANCE INDICATORS 18

19 Back row (L-R): Don Main, Marrianne Bridge, Anthony Salerno, Ethel Taylor (vice-chair), Paul Jacuzzi, Sheila Kingston. Front row (L-R): Rehana Doobay, William Graham, Amy Bryson (chair), Janet Lafortune, Bill Ladyman, Reeta Coburn. Corporate governance. The Board and the Management team of CAA Club Group are committed to a high standard of corporate governance. The mandate of the Board of Directors is to govern the organization on behalf of its Members to ensure continued financial viability, a commitment to CAA Club Group s constitution and the fulfillment of its mission/vision. Through its Committees, and as a whole, the Board acts as a cohesive team with shared responsibilities which are clearly defined and understood by all Directors. The Board also periodically assesses its own effectiveness, the performance of the board committees and the contribution of individual Directors. For more information about the Board of Directors, including biographies on each member, please visit caasco.com/about-us/corporate-information. KEY PERFORMANCE INDICATORS AND CORPORATE GOVERNANCE 2017 Report to Members 19

20 Making bad days good. And good days better. Visit your local CAA Store caasco.com Trademarks and registered trademarks are property of their respective owners. CAA trademarks owned by, and use is authorized by, the Canadian Automobile Association. Making bad days good. And good days better. is a registered trademark of CAA Club Group. ( /18)