When USAA began providing automotive insurance for enlisted soldiers in Europe in 1996, AIG, one of their top competitors, had a choice. They could continue to do things the way they always had and watch their market share decline, or they could radically rethink their personal auto product line and see where that road led. They chose the latter. And within a matter of months, sales turned around, thanks to an Illinois grad who brought a little American thinking to the German auto scene. And now he’s changing things again, trading his seat at the office for spot at the front of the class. 

For nearly 35 years, Bob Quane enjoyed a successful career in insurance with many interesting challenges. It started in 1990 when he graduated from the University of Illinois Urbana-Champaign with a bachelor’s degree in actuarial science and landed a job at Allstate. For the next six years, he worked for the company in Northbrook, Illinois, not far from his home in Chicago. And then a new opportunity opened up halfway around the world.

“I always wanted to live abroad,” said Quane, who had a taste of that experience in college, thanks to a study abroad program that put him at the heart of Europe at a very exciting time. “I studied in Vienna, Austria, when I was an actuarial science major at Illinois. That was amazing, because it was in the fall of 1989 when the Berlin Wall came down.”

Ever since then, he had wanted to return to Europe; in 1996, he finally got the chance, landing a job at AIG’s office in Frankfurt, Germany. The wheels of the plane had barely touched down when USAA made its big move. And it provided an excellent opportunity for Quane to showcase his actuarial skills.

“When USAA joined the market, we had around five rates for liability, and we did actual cash value for physical damage,” said Quane. “But that wasn’t very predictive. Minivans were very expensive, so it cost a lot to insure them. Camaros, on the other hand, were cheap, so they weren’t expensive to insure.” Quane changed that by moving to a system based on the make and model of each vehicle, which also factored in the type of owners who drove them.

“I used an actuarial approach and implemented a full-fledged American pricing system,” says Quane. And that turned everything around. “Instead of shrinking, we grew; the product got a lot more profitable; and the agents were very excited. So, it was really a fun time to be there and contribute to revitalizing a product that had been there since the end of World War II.”

For the next 13 years he traveled across Europe, working in Frankfurt, Paris and London before moving to New York in 2009. While in New York with AIG, Quane had senior roles as Head of Global Personal Lines, Global Accident & Health and then Global Commercial Property.  In 2019, he joined AXIS Capital as chief underwriting officer, and that’s when he reconnected with his Illinois roots.

“AXIS was highly engaged with Gies College of Business, and I grabbed that opportunity with both hands,” said Quane, who was excited to learn more about the school’s innovative program. “I was intrigued, because I saw how far the university had come and also how far the students had come. They were so engaged in wanting to understand real-life business. When I was at the university, it was 100% academic.”

In 2018, Gies Business launched the AXIS Risk Management Academy. Thanks to a generous investment from AXIS Capital, participating students get access to hands-on learning through projects and practicums. The Academy gives students a chance to explore professional development resources, receive mentorship from industry professionals, and network with successful business leaders.

Quane has also been impressed with the consulting groups at Gies Business, including Illinois Business Consulting, the largest student-run, professionally managed consulting organization in the country. He was also impressed with the school’s growing reputation. It seemed like every time he turned around, he was having a conversation with a colleague or old fraternity friend who had great things to say about Gies. So, when an opportunity opened to teach on campus, he decided to take the plunge.

Quane, who will be teaching FIN 433: Corporate Risk and FIN 530: Foundations in Risk Management, said he’s excited to share his experience in the industry and encourage others to pursue an interest in the field.

“I think the insurance industry is amazing, but I think it’s underappreciated by young students,” said Quane, who’s making it his mission to change that.  In his last role as Chief Underwriter Officer at Beazley, the largest Lloyds syndicate, Quane often took advantage of opportunities to speak on the merits of insurance and encourage young talent to explore. 

“I want students to be energized by the industry and get them to consider it more seriously than they were before,” said Quane. “And for those already considering it, I’d like to give them more insight so they can make more informed decisions on what they want to go into, whether that’s life or casualty or reinsurance.”

“I’m also hoping to increase their understanding of the technical side of insurance,” added Quane. “And by that, I don’t necessarily mean the mathematical perspective. I mean understanding the concepts very deeply. My entire career was spent pricing and underwriting, which is really the core of insurance. If I can help students understand that, they can handle whatever life throws them next.”