Join the world’s largest InsurTech community hosting 13,000 Executives, Entrepreneurs and Investors each year…
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Insurtech Insights is the world’s largest insurance technology community. It offers unprecedented connection to the most comprehensive and global gathering of InsurTech entrepreneurs, investors, and insurance industry incumbents.
Over the course of two days at its conferences, the industry gathers to showcase the forefront of innovations and form the partnerships of tomorrow. The unparalleled networking experience, with thousands of meetings, is a staple at any Insurtech Insights event.
“The biggest feat was the sell out crow of 4,000. Seeing so many from across Europe and the US was just brilliant!”
Nigel Walsh, Managing Director – Insurance, Google
Gain insights from over 400 expert speakers include representatives from Zurich, Allianz, Lemonade, Zego and many more…
“Such a great event with such a great level of attendance”
Steven Zuanella, Group Chief Digital & Innovation Officer, Generali
Insights
Improve your knowledge on challenging and strategic issues relevant to any organisation. Stay on top of future trends and seize new opportunities. Expand your toolset and effectively solve the challenges of today and tomorrow.
Inspiration
Challenge your way of thinking with new perspectives. Expand your professional horizon by meeting with and listening to leading insurance experts. Equip yourself with ideas and knowledge that adds value to you, your team, and your organisation.
InsurTech Networking
Expand your network by meeting with 6,000+ executives, entrepreneurs and investors from all over the world. Create new opportunities leading to a stronger and more global network. Meet with and attract the talent of tomorrow.
The UK-Australia Insurtech Pathway has been introduced as a joint effort to support insurance technology firms seeking expansion opportunities in…
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The UK-Australia Insurtech Pathway has been introduced as a joint effort to support insurance technology firms seeking expansion opportunities in both markets.
The programme was launched in Australia on 18 February 2025, while a launch event is scheduled in the UK on 20 March 2025.
It has been developed through a partnership between the UK’s Department for Business and Trade (DBT), Insurtech UK, and Insurtech Australia. The initiative is designed to help Insurtech companies navigate regulatory frameworks, establish business operations and connect with investors and industry stakeholders.
InsurTech Pathway
The pathway will offer structured support to selected firms looking to enter either market, addressing key challenges related to compliance, business development, and market integration.
The UK and Australia both have well-established insurance sectors that encourage innovation through regulatory structures and technology adoption.
The Insurtech Pathway aims to lower entry barriers for firms by providing targeted guidance and fostering industry collaboration.
The initiative builds on the UK-Australia Free Trade Agreement (FTA), which took effect on May 31, 2023. The agreement is intended to reduce trade restrictions and facilitate easier market entry for businesses, including through streamlined visa pathways, expanded access to government procurement, and lower investment barriers.
Facilitating cross-border market access
Louise Cantillon, Deputy Trade Commissioner for Australia and New Zealand, said the initiative reflects both regions’ commitment to strengthening trade ties in financial services and technology:
“By working together, we can unlock new opportunities for insurtech companies in both markets, driving innovation and supporting job creation.”
Insurtech UK CEO Melissa Collett said the initiative aligns with UK firms’ interest in the Australian market:
“Insurtechs consistently feedback to us on their appetite for the Australian market due to its strong insurance industry, wide-spread insurance uptake and anglophone ties.”
Simone Dossetor, CEO of Insurtech Australia, further highlighted the pathway’s benefits:
“The UK is the top-rated market for global expansion for our insurtech members and with Australia being the fourth largest market for Lloyd’s there are strong synergies between the two regions.”
The program will provide tailored support, including regulatory and compliance guidance, networking with insurers and investors, trade delegations, and engagement with key regulatory authorities to streamline market entry.
EY Insurance Leaders: Isabelle Santenac (Global), Jeff Gill (Americas), Anita Sun-Young Bong (Asia-Pacific) & Philip Vermeulen (EMEIA)
Published
7 March 2025
Estimated Read time
6Mins
EY Insurance Leaders Isabelle Santenac (Global), Jeff Gill (Americas), Anita Sun-Young Bong (Asia-Pacific) & Philip Vermeulen (EMEIA) present EY’s Global Insurance Outlook 2025 report. Learn how insurers can embrace InsurTech to accelerate value creation from gaps to gains
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Even as shifting global dynamics challenge insurers, EY’s 2025 Global Insurance Outlook Report shows there have never been more viable paths to innovation-led growth across the industry. Indeed, the huge gaps in protections against cyber and climate threats – with 99% of losses from cyberattacks and 60% from natural disasters uninsured – plus the massive shortfall in retirement savings present compelling value creation opportunities. Strategically orienting the enterprise around richer data and fully modernised technology is one critical step.
Uninsured Losses
99% of losses from cyber-attacks are uninsured
60% of losses from natural catastrophes are uninsured
But whether insurers prioritise new product development, M&A or geographic expansion in their growth strategies, a few key actions can unlock growth through innovation.
1. Design purposeful products
The biggest protection gaps – retirement savings and climate- are poised to get even bigger. The global retirement savings gap is set to grow from US$106 trillion in 2022 to US$483 trillion in 2025. Thanks to longer lifespans and aging populations worldwide, there is greater need for products that deliver income for older citizens. That’s how insurers can promote financial security across society.
The “silver tsunami” – the huge demographic wave of Baby Boomers reaching retirement age – will cause a spike in demand for financial estate planning services as well as life and health insurance augmented with wellness programs. In the US alone, those aged 65 and over will grow from 58 million in 2023 to 82 million in 2050. Leading insurers will need to position themselves for the coming transfer of assets by demonstrating clear value propositions.
Global Retirement Savings Gaps
$106t in 2022
$403t projected gap in 2050
Purpose can also provide the motivation to deliver climate solutions with more robust coverages and tailored prevention services for the huge populations – over 40% worldwide, according to Geneva Association – that live in high-risk areas. Strengthening climate protections necessitates rethinking traditional approaches to risk management, pricing and claims modelling. Purpose can also fuel positive collaborations and partnerships with governments and other stakeholders, an important step given the increasing likelihood of new government mandates.
US Citizens Aged 65+
58m in 2023
82m in 2025 (projected)
2. Personalise offerings to expand share of wallet
Usage-based products, modular add-on features and tailored pricing demonstrate to consumers that you are committed to serving their unique needs – a proven way to promote loyalty and engagement. Artificial intelligence (AI) tools can help in this area with tailored messaging, more accurate pricing and faster underwriting and binding processes.
On-demand coverage and real-time risk prevention are other ways that personalisation strategies can add value. AI and advanced analytics can also target the highest-potential customers for product bundles and other offerings that maximise customer value.
Technology Boost
10-25% increase in operating profits for insurers with successful data and analytics strategies
35% increase in employees’ underwriting capacity from generative AI (GenAI)-enabled automation
3. Seek innovation at scale
With a lean and highly automated operating environment, insurers can look to scale low-margin products to new segments via partners and ecosystems and other channels. The rapid expansion of embedded offerings demonstrates what’s possible.
Parametric insurance – policies that pay out when specific events occur – expands the type of attractive products insurers can deliver to new customers and is expected to grow to US$29.3 billion by 2031. Parametric solutions have gained traction in the agricultural industry and as protection against natural disasters, but can also be applied to business interruptions, supply chain disruptions and cyber-attacks.
Parametric Insurance Market Size
$11.7b in 2021
$29.3b in 2023
4. Use regulation as a prompt to innovate
The combination of more and more stringent rules in Europe and softening oversight in the US may create an unbalanced competitive playing field, with 61% of insurers cite evolving regulatory requirements as the top operational challenge for the year ahead. But firms that go beyond a minimalist, check-the-box approach may generate business value from their compliance programs.
Consider how the EU Financial Data Access (FiDA) legislation, slated to be enacted in 2025, paves the way for consent-based data sharing across pension, savings and nonlife insurance companies and products. That’s an invitation for firms seeking to expand their offerings. Similarly, the opportunity to participate in government pension schemes requires insurers to enhance their ability to share data securely and seamlessly. The Danish Compromise is reshaping the competitive landscape by creating new opportunities in bancassurance channels in Europe. Lastly, more detailed disclosure and reporting standards should prompt more automation and integration of data flows.
Regulation Prep
61% of insurers cite evolving regulatory requirements as the top operational challenge for the year ahead
5. Embrace a unified data strategy for the entire enterprise
Success in the digital age demands that every business have a unified data strategy – one that is comprehensive and led by the C-suite. Because better data underpins every aspect of the business and is crucial to innovation, the data and technology agenda must be driven by the CEO, rather than the IT team. Further, strategic planning and resource allocations – basically any and all senior management decisions – should be redesigned to reflect the richer data sets executives now have at their disposal.
A data strategy must reflect the need to harness the power of AI and other advanced technologies and define the necessary components of a flexible, future-ready data infrastructure. It will also need to establish appropriately robust governance models and controls environments for fully automated processes to ensure quality and build trust.
6. Commit to serving the underserved
What industry wouldn’t like to find tens of millions of new customers? For insurers, devising new solutions (e.g., micro coverages, starter policies) for just 1% of the estimated 4 billion underserved people worldwide could result in 40 million new customers, according to research from Forrester. Here again, it’s all about purpose – delivering protections to the people who need them most.
New products – more affordable, easier to buy and modify – hold the key. Parametric policies, microinsurance for smaller farmers and precise coverages for small businesses and gig workers are just a few of the ways to create value for underserved segments. Carriers in some emerging markets offer health and life insurance for as little as $0.20 per month. It will take bold strategic thinking and creative action to deliver what these customers want (and can afford), but the underserved (who contribute to the lion’s share of the worldwide protection gap) offer the biggest potential for insurers to sustain their solid bottom-line performance.
Serving the Underserved
40m projected new customers from engaging just 1% of the 4 billion uninsured, low-income people worldwide
Summary
Volatility and uncertainty – both within individual markets and across regions – define the global insurance industry to an extent not seen in decades. The run of economic prosperity and integration that benefitted the financial services sector for several decades seems gone forever. But insurers are uniquely qualified to create value during periods of instability. Those that target investments in AI-enabled tech and stronger data management capabilities to personalise communications and products will be able to create more value, create it faster and deliver it to more customers and communities than ever before.
Aviva, one of the UK’s leading insurance, wealth and retirement businesses, has chosen AutoRek, a leader in automated reconciliations, as its…
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Aviva, one of the UK’s leading insurance, wealth and retirement businesses, has chosen AutoRek, a leader in automated reconciliations, as its reconciliation and CASS tool.
The collaboration will ensure greater efficiency and compliance through automation. Aviva will leverage AutoRek’s end-to-end platform to implement a fully audited, rules-driven reconciliation process, ensuring complete transparency for CASS auditors and internal stakeholders.
With AutoRek, Aviva will gain an improved automated solution for client money and regulatory reporting, reducing the manual effort and inherent risk associated with manual processing.
This new capability will enable Aviva to reduce operational inefficiencies, streamline compliance, and enhance overall financial control.
“Aviva is dedicated to investing in technology to further our growth strategy. Following an extensive tender process, we were highly impressed with the quality of the AutoRek tool. The implementation of the AutoRek solution will streamline our processes and allows us to confidently address future scalability and volume requirements.”
Chris Golland, Head of CASS & Middle Office, Aviva
“We’re thrilled to onboard Aviva as a client to the AutoRek platform, empowering them to achieve greater efficiency and accuracy in their operations. Together, we’re driving innovation and setting new benchmarks for financial excellence.”
According to a new report published by WiseGuy Reports (WGR), The Insurtech Insurance Technology Market was valued at $ 31.05 billion in…
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According to a new report published by WiseGuy Reports (WGR), The Insurtech Insurance Technology Market was valued at $ 31.05 billion in 2024 and is estimated to reach $322.7 billion by 2032. It is set for growth at a CAGR of 33.99% from 2025 to 2032.
InsurTech revolution gathers pace
The insurtech insurance technology market is revolutionising the traditional insurance sector by integrating advanced technologies such as artificial intelligence (AI), machine learning (ML), blockchain, and data analytics. InsurTech solutions streamline operations, improve customer experiences, and enable data-driven decision-making. These technologies cater to various aspects of insurance, including underwriting, claims processing, and policy management.
The market has witnessed robust growth due to the rising demand for digital solutions and personalised insurance products. With startups and established insurers collaborating, the industry is becoming more agile and competitive, creating new opportunities for innovation in risk assessment and fraud prevention.
InsurTech’s key players
The InsurTech insurance technology market features a dynamic mix of startups and established players. Key companies include Lemonade, Metromile, and Hippo, known for their innovative approaches to insurance delivery. Traditional insurers such as AXA and Zurich are also investing in InsurTech partnerships to modernise their operations.
Companies like Policybazaar and Root Insurance are leveraging AI and big data to enhance customer engagement. Furthermore, tech giants like Amazon and Google are exploring the sector, further intensifying competition. Moreover, these players focus on integrating advanced technologies and developing user-centric platforms to stay ahead in a rapidly evolving market.
‘FlyEasy’ parametric cover is now available on Zurich Indonesia’s Travel Product: offering real-time lounge access for delayed flights
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Blink Parametric, in partnership with Zurich, has launched flight disruption assistance solution ‘FlyEasy’. Coverage is on the Zurich Indonesia direct channel via the Zurich Edge platform. Leveraging parametric technology, the proposition has been designed to instantly activate coverage benefits upon confirmation of a flight delay. This seamless, fully-digital approach provides ultimate convenience to customers, relieving them of traditional claims processes and allowing them to enjoy their travels with greater peace of mind.
The expansion is part of the agreement signed in January 2024. The award-winning flight delay solution can now be offered to Zurich’s customers across Asia Pacific via the Zurich Edge Platform.
Zurich Asia Pacific Network
This integration is the second rollout this year under the framework agreement to offer Blink Parametric solutions to Zurich Asia Pacific network partners and customers across Singapore, Hong Kong, Malaysia, Indonesia and Japan. The first was with Singapore-based OTA Klook in March.
Once a customer registers their flight details pre-travel, Blink Parametric monitors that flight in real-time. Also, in the event of a flight delay of two-hours, the customer will automatically be offered real-time assistance of complimentary access to a VIP airport lounge. The lounge pass will have extended validity with a shelf-life of six-months if not used on the day of disruption. The benefit will be applicable for single trip and annual multi-trip executive and premier international travel plan insurance customers. No claims filing or application processing is required.
Sukma Darman, Head of Digital, Zurich Indonesia commented, “One of Zurich Edge’s key objectives is to bring a fresh perspective on insurance to our partners and customers. We can then deliver personalised, customer-centric solutions using next-gen technology. Blink Parametric have helped us to achieve successful travel insurance integrations for the Asia Pacific region throughout this year. This includes delivery of innovative real-time assistance for our valued customers when they need us.”
Blink Parametric & FlyEasy
“This latest Zurich Indonesia integration coincides directly with our strategic move to further expand and support our business development and partner activities across the APAC region,” says Richard Pollard, Director of Strategic Accounts, Blink Parametric. “Furthermore, our work with the Zurich team this year has been significant, with two successful launches to date. It’s now possible for Zurich partners to tap into the Zurich Edge platform and deploy our real-time travel assistance solution under the FlyEasy brand with speed and efficiency. Exactly how it should be!”
Blink Parametric is recognised as one of the most innovative and successful providers of travel InsurTech solutions to insurers world-wide. It offers real-time assistance and service choices to travellers impacted by flight disruption events. Blink Parametric travel solutions are fully customisable and designed to deliver operational efficiency. Moreover, processing high frequency, low value travel insurance claims when the traveller needs immediate real-time claim resolution.
Mastercard collaborates with Qover to offer embedded return service for hassle-free shopping in Belgium and Luxembourg
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Qover, a leading insurtech company committed to building a global safety net, and Mastercard are joining forces to improve the online shopping experience for Mastercard credit cardholders in Belgium and Luxembourg. Furthermore, with Qover’s platform, Mastercard now offers a return shipping cost protection service that refunds shipping fees when retailers don’t provide free returns. Available now on mastercard.be and mastercard.lu, this protection is unique in Belgium and Luxembourg.
Easy protection for Mastercard credit cardholders
This new protection arrives as nearly 9 out of 10 Belgians shopped online in early 2024, with clothing remaining the top category. Moreover, Mastercard’s return protection, available to all credit cardholders, provides reimbursements on shipping costs for returns. Also, it offers coverage up to €30 per return and a maximum of three claims or €90 per cardholder annually.
“Embedded protection is becoming a strategic tool for businesses to enhance customer value and build loyalty. We’re honoured by Mastercard’s trust and are excited to bring this innovative solution to their cardholders.”
Quentin Colmant, CEO and Co-founder of Qover
Technology driving customer-first experiences
Using its AI-driven platform, automations and advanced data extractions, Qover makes return protection easy and accessible. Also, users can quickly find coverage details or submit a claim in just a few clicks. “Customers receive instant updates on the status of their claim, keeping them informed every step of the way”, explains Parker Crockford, Chief Revenue Officer at Qover.
For Mastercard, this technology strengthens loyalty and sets its credit cards apart in a competitive market. The solution is designed for digital-first users who want simple, personalised services.
“We’re excited to unveil this new solution in collaboration with the rising star of European insurtech, Qover. This unique protection reinforces the value of Mastercard credit cards for online purchases and enhances the online shopping experience for our Belgian and Luxembourg cardholders.”
Henri Dewaerheijd, Country Manager, Mastercard Belgium and Luxembourg
This initiative is a key step for Qover in delivering hyper-personalised embedded solutions to meet diverse consumer needs. Qover aims to expand this tech-driven solution across Europe.
additiv, a global leader in fintech and digital transformation, has announced the launch of an InsurTech solution with AXA Switzerland
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AXA Switzerland has successfully launched its addProtect bancassurance offering, powered by additiv’s technology platform. Furthermore, this innovative InsurTech solution allows banks to directly protect their mortgage customers against key risks with a simple plug-and-play solution.
addProtect InsurTech solution from additiv
As a seamless plug-and-play solution, addProtect gives banks direct access to the platform without the need for additional integration with existing IT systems. Its user-friendly and intuitive design allows banks to effortlessly integrate the platform into their day-to-day business operations. With the death and payment protection insurance, bank advisors have easy-to-understand products at their disposal. These offer added value to customers beyond the existing offering. The addProtect platform is now available for banks, and an initial pilot will be launched in collaboration with PostFinance.
Samuel Peter, Head of Partnerships at AXA Switzerland, stated:
“With addProtect, AXA is responding to the growing need of customers and banks for appropriate insurance solutions where and when they are needed. The solution creates additional advisory potential and better protection for the customers of our partners’ banks. We look forward to making the solution available to other partners.”
Dieter Lützelschwab, General Manager Switzerland at additiv, added:
“When developing addProtect, we focused on the user experience for the customer and the bank advisor. In addition, our platform provides an easily configurable, modular insurance solution that covers the entire value chain from quotation to claims processing.”
About additiv
additiv empowers the world’s leading financial institutions and brands to create new business models and transform existing ones. additiv’s API-first cloud platform is one of the world’s most powerful solutions for wealth management, banking, credit, and insurance. The InsurTech technology, together with the global ecosystem of regulated financial services providers, opens up new opportunities for banks, insurance companies, asset managers, IFAs and consumer brands to quickly and flexibly offer their own and third-party financial solutions through existing or new customer channels.
Headquartered in Switzerland, with regional offices in Singapore, UAE, Germany, and the UK, and more than 250 employees, additiv serves over 400 financial institutions (banks, insurers, asset managers, pension providers, IFAs, etc.) and brands worldwide.
Analysing “The State of Global Insurtech” report by Dealroom.co, Mundi Ventures, and MAPFRE
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Insurance technology funding from venture capitalists is projected to close at $4.2 billion by the end of the year, according to “The State of Global Insurtech” report by Dealroom.co, Mundi Ventures, and MAPFRE.
Global InsurTech investment
In the first nine months, global insurtech investment already amounted to $3.2 billion. The fourth quarter is expected to see mostly Series B and C funding rounds for breakout-stage startups. These firms are said to be approaching pre-pandemic funding peaks.
“After the uncertainty of previous years, the global insurtech market is now showing signs of further stabilisation,” said Javier Santiso, Chief Executive and GM of Mundi Ventures. “While the frenzy has cooled, we are seeing a positive rebound in early-growth/breakout stages, particularly with Series B funding picking up.”
However, late-stage startups are facing significant funding challenges, with large-scale investments into Series D and later rounds seeing steep declines. The setbacks highlight investor caution around high-valuation, mature companies struggling to maintain momentum. Meanwhile, some late-stage ventures are refocusing on profitable unit economics to position themselves for potential initial public offerings in the next few years.
US leading on InsurTech
Regionally, the US leads InsurTech investment with $1.8 billion so far this year, followed by Europe at $1.1 billion. In contrast, emerging markets like Latin America and Africa continue to lag behind with $37.1 million and $32.4 million, respectively. Although funding in these regions remains limited, experts see growth potential due to a narrowing insurance gap.
“The Latin American ecosystem is resilient, and entrepreneurs continue to seek new formulas, models, and businesses to revitalize the sector,” noted Leire Jiménez, Chief Innovation Officer at MAPFRE. “The region has great potential, more so at a time when the insurance gap is gradually shrinking due to the large volume of opportunities in it.”
B2B growth
According to the report, business-to-business software-as-a-service (B2B SaaS) providers are seizing a significant share of InsurTech funding, capturing 43% of total investments in 2024. This category includes solutions for underwriting, claims management, risk assessment, and administrative efficiency.
Yoram Wijngaarde, founder and CEO of Dealroom.co, commented: “Insurance is a vast industry that has been largely unchanged for hundreds of years. It remains a huge target for tech efficiency and scale, but one that has been difficult to crack.
“Insurtech 2.0 is unbundling the challenge, zeroing in on niches like B2B SaaS, risk management, climate and cyber, with greater traction. Global breakout-stage investment is on track to grow year on year in 2024, and European insurtech VC has already passed 2023’s total. Insurtech is iterating.”
Amelia Lowe, Vice President of Operations at SquareTrade, on the potential for AI to revolutionise InsurTech
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We have all witnessed the growth of AI in the past year. It’s quickly becoming an innate part of how we work. In the UK alone, the number of AI registered companies has increased by over 600% in under a decade. While the size of the AI market is expected to grow to over £800 billion by 2035. AI holds the power to radically reshape the way we live, learn, and conduct business. It can unlock possibilities we once only imagined. In the past two years, we’ve witnessed this transformational potential come to life. It’s driving innovation and redefining industries at an unprecedented pace.
We stand on the brink of a new era. AI is poised to become an integral force that not only enhances our daily lives but also paves the way for a more effective way of doing business and connecting with customers. AI holds the key to supercharging the customer experience, by creating seamless, intelligent customer journeys. So how do we do it?
In today’s highly competitive world, great customer service is essential. Customers do not want to feel like just another number. They want their individual needs to be recognised and addressed with personalised responses.
At SquareTrade, we aim to engage with our customers in ways that feel authentic and personal, even when they are engaging with AI. Our objective is to deliver a level of personalised interaction that was once thought of as unattainable with automated systems. Furthermore, ensuring every customer feels appreciated and understood in each exchange.
Enhancing customer experiences with AI for seamless, intelligent journeys
At the core of any customer relationship is the confidence that issues will be resolved quickly and effectively. Your team, and the people behind your company, play a pivotal role in delivering that trust across all customer touchpoints.
When integrating AI into a business, it is essential to align the technology with the company’s core objectives. For us, the focus has been on driving innovation and streamlining processes while ensuring customer service remains uncompromised. Our goal is to ensure, no matter how AI is implemented, the customer experience feels personal and authentic. Even with automated systems, we want to provide a level of personalised interaction that was once unimaginable. We see AI as an extension of our team. In light of that we apply the same values and principles to those we apply to our team, which focus on trust, transparency and respect.
Have you met Sally?
We now live in a world where AI tools and customer experience must work in harmony. According to Statista, 73% of consumers believe AI can enhance customer experience, with 80% reporting positive interactions with AI so far. Clearly, AI has reached a point where customers can appreciate its benefits during their times of need. It can seamlessly recognise and addresses issues productively.
When businesses explore integrating AI solutions, it’s crucial to align them with their unique standards, customer service approach, and company culture. No two AI solutions are alike. For us, it was vital that any AI implementation seamlessly complemented our existing operations. A key example of how we’ve achieved this is through the introduction of Sally, our AI chatbot. Sally provides one of the quickest and most efficient ways for customers to engage with us when visiting our website. This enhances the user experience while staying true to our service values.
We are already witnessing the benefits of introducing Sally. She consistently achieves high success rates in resolving customer incidents autonomously. By deploying her in a strategic and targeted manner, we can reserve human interactions for more complex queries and claims.
AI Training for Operational Excellence
AI’s potential goes beyond customer interactions. It is increasingly being leveraged for training and education within organisations. In an industry like insurance, where no two claims are the same, InsurTech companies need training systems that prepare team members to adapt to a wide variety of scenarios.
Given that individuals learn in diverse ways and at varying speeds, the ability to create personalised learning experiences is immensely valuable. We see AI training tools as the equivalent of providing each employee with a personal tutor. Moreover, one that can adapt to their unique strengths, challenges, and learning styles.
And the learning doesn’t stop when the training does. AI-powered platforms can now continuously assess performance in real-time. If an employee is struggling in a particular area, the AI can automatically adjust the learning program to address those needs. This ensures ongoing growth and development tailored to each individual.
Fraud Detection
AI is poised to revolutionise fraud detection and prevention. It is becoming an invaluable asset to the teams that monitor for suspicious activity. In the insurance industry, AI can be deployed at multiple levels to enhance fraud detection. For example, through intelligent automation that swiftly analyses large datasets and flags potentially fraudulent claims for further investigation. This can save valuable time and resources.
AI can also enable the creation of predictive models that forecast fraud based on historical data and emerging trends. This helps insurance players to stay one step ahead of evolving threats. These models improve risk assessment accuracy by reducing false positives and allowing us to focus more effectively on genuine risks.
Looking ahead, the potential for AI in fraud detection is immense. AI is breaking new ground in areas where traditional rule-based systems fall short. Its ability to process vast amounts of data in real time, identify patterns and anomalies that would be nearly impossible to detect manually, makes it a game-changer in tackling complex problems.
Embracing AI Advancements
AI has the potential to revolutionise countless industries, but its impact is particularly profound in InsurTech. Given the critical role insurance plays in people’s lives, the opportunities for innovation and improvement are vast.
As an industry, it’s essential we recognise AI’s ability to transform customer experiences. As early adopters, we have witnessed its potential firsthand. We will continue to leverage these advancements to enhance personalised and automated processes. We can bridge language barriers, and create new methods of interaction.
However, our focus must always be on finding the right balance. Identifying where these solutions can deliver the greatest impact in serving customer needs quickly and effectively. Moreover, also ensuring that we retain the opportunity for human connection whenever it is needed. As well as ensuring compliance and security are a core part of how we think about implementing solutions to enhance business operations.
The AXA Group aims to protect over 20 million customers through inclusive insurance globally by 2026
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AXA Egypt and Post for Investment (PFI), the investment arm of Egypt Post, are establishing the first micro-insurance company in Egypt. This strategic collaboration is made possible by leveraging the new insurance law and aims to revolutionise the insurance landscape in the country.
Financial Inclusion
This initiative is fully aligned with AXA´s conviction that postal networks play a crucial role in global financial inclusion. Over a quarter of the world’s adult population accesses formal financial services through their post office. AXA notably signed a partnership with the Universal Postal Union (UPU) in May 2024. Moreover, this collaboration with UPU includes a research program. It will showcase successful postal insurance models and the establishment of the Postal Insurance Technical Assistance Facility (PITAF). This will promote financial inclusion and risk mitigation among underserved populations. Through this partnership, AXA is pushing the boundaries of insurance to better protect all. Solidifying its dedication to inclusive insurance practices worldwide.
The Egypt Post, who will be the main distribution channel of this JV, is a well-respected organisation. It has a strong nationwide presence, renowned for its last mile distribution capabilities and robust brand credibility. Additionally, with over 4000 branches, kiosks, and mobile trucks across all governorates, Egypt Post is an integral part of the country’s infrastructure. It caters to the population with unparalleled reach.
“We believe in the power of collaboration to create lasting change, and this joint venture is a testament to our commitment to inclusive insurance. Together, we are revolutionising the insurance landscape in Egypt to better protect and empower communities, setting new benchmarks for millions seeking reliable and accessible insurance protection.”
Garance Wattez-Richard
Micro-insurance from AXA
The product categories will include both retail and group offerings. Embedded and voluntary options will cater to diverse needs. The range of products will cover various areas. These include hospital cash, personal accident, term life, payment protection, credit life, livestock, and group protection, ensuring comprehensive coverage for the customers.
The ambitious goal is to reach 12 million customers within the first decade of operation. Therefore, underlining the commitment to making a significant impact on the lives of Egyptians through tailored insurance solutions.
This collaboration between AXA EssentiALL, AXA Egypt and PFI/Egypt Post marks a significant milestone in the local insurance industry. It paves the way for inclusive and impactful micro-insurance offerings that have the potential to transform the socio-economic landscape of Egypt. As the first of its kind, this micro-insurance company is poised to set new benchmarks. Furthermore, it can become a beacon of hope for millions of Egyptians seeking reliable and accessible insurance protection.
AXA UK has launched new online InsurTech tools to enable customers to notify claims digitally for both home and car insurance
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AXA customers can now benefit from a new and improved digital service when making an insurance claim. They can use InsurTech tools that allow them to notify losses online. The improved online service allows customers to notify AXA of their claim online anytime they choose. Not only will it be more convenient, but it will also make for a more efficient claims experience. This allows AXA to offer support and resolve claims in a timely manner.
AXA Online Insurance Tools
Car insurance customers can register claims for road traffic accidents, theft of vehicle, lost or stolen keys, misfuelling, storm or flood damage and malicious damage. Using this service gives customers the option of an end-to-end digital notification experience. It offers a broader choice in the ways they can interact with customer service teams.
Home insurance customers can also use the tools to register claims online for theft, escape of water, flood, storm, accidental damage and accidental loss. This is then picked up by the customer service team to take the claim forward.
Making an impact with customers
The improved service is already making an impact with customers. A recent home insurance claim was reviewed and a supplier was instructed within two hours of being registered online. Motor insurance customers have also been able to book in their vehicle for repairs within minutes of notifying AXA of a claim.
“We know that our customers’ expectations have evolved in recent years. They want the claims process to be quick, clear and simple. That’s why we’ve worked hard to ensure that these enhanced digital claims tools offer customers fast and seamless journeys. At a time when they need it most as well as offering increased flexibility and improving their overall experience.”
Suzy Tiffany, Retail Claims Director at AXA UK
AXA has focused on how it can improve customers’ experiences and interactions by providing digital capabilities where possible across its claims journeys. The claims submission service can also be accessed by brokers, enhancing the claims journey for them and their clients.
However, all the usual channels will still be available for brokers and customers to contact the claims teams. Even if they have notified a claim online, they can still pick up the phone and speak to someone if they prefer.
Fuelled by the Covid-19 pandemic and a projected market size of $166.4 billion by 2030, InsurTech companies are revolutionising the…
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Fuelled by the Covid-19 pandemic and a projected market size of $166.4 billion by 2030, InsurTech companies are revolutionising the insurance industry.
These firms offer digital alternatives in a typically slow-to-change industry. Furthermore, their innovative solutions have empowered traditional insurers to accelerate digitalisation and streamline processes.
These are the leading firms that have helped this traditional field both adapt and start rapidly catching up to efficiency trends associated with more dynamic industries.
Introduction to InsurTech Innovation
The insurance industry is undergoing a transformative shift fuelled by InsurTech.
Innovating technologies for insurers is about finding novel solutions to longstanding challenges and harnessing emerging trends to shape the future of the industry.
Insurance leaders are almost unanimous in recognising that innovation as not just important, but critical to future success. Moreover, insurers who fail to embrace InsurTech advances, and the wave of digital insurance products and opportunities they represent, risk falling behind in an increasingly competitive and dynamic industry.
Oscar Health
Oscar Health built itself from the ground up with a tech-first approach focused on member service. This unique strategy aims to make healthcare more accessible and affordable for all Americans.
Oscar’s commitment to exceptional service is reflected in its sky-high Net Promoter Score (NPS) of 50 and a near-perfect 97% member satisfaction rate for virtual care. With a presence in over 577 counties across 20 states, Oscar Health’s impact on the InsuTech industry is undeniable.
NEXT Insurance
A leader in small business insurance, NEXT Insurance offers easy-to-understand, digital coverage designed specifically for the self-employed. Also, their recently launched Copilot tool empowers agents to serve micro-businesses efficiently. Copilot streamlines the process for both sides. Business owners can get quotes and bind coverage online instantly, while agents gain a simplified workflow to boost revenue.
Vouch
Since 2018, Vouch has emerged as a prominent force in the InsurTech space by transforming the way business insurance serves high-growth companies. Vouch recently launched AI Insurance, a groundbreaking product specifically designed to mitigate risks for AI startups in this rapidly developing field.
Hippo
Hippo stands out for its proactive approach to homeowners insurance. Partnering with homeowners to implement smart home devices and personalised safety recommendations, Hippo prioritises preventing hazards before they occur. This commitment has secured their position as a top InsurTech firm, protecting over 200,000 homes across most US states.
Bestow
Bestow prioritises simplifying insurance and boosting financial security for everyone. It believes the process shouldn’t be daunting, so they leverage cutting-edge technology and data throughout the entire value chain to streamline everything. Furthermore, its commitment to innovation is evident in the recent launch of permanent life insurance and the addition of AI features to its underwriting workbench.
QuanTemplate
Founded in 2011, QuanTemplate uses machine learning and big data to empower businesses through digital transformation. Its core offering, a data integration, automation, and analytics platform, equips insurance professionals with the tools to unlock valuable insights and gain a deeper understanding of market dynamics.
Dinghy
Dinghy caters to the changing insurance needs of freelancers and businesses with its innovative pay-as-you-go model and focus on online and mobile accessibility.
This focus on accessibility is further enhanced through its partnership with ARAG, providing ‘Freelance Assist’. This is a unique package combining Dinghy’s flexible insurance with ARAG’s online legal resources tailored for freelance professionals.
CoVi Analytics
CoVi Analytics tackles both regulatory compliance and operational efficiency for insurers. Its AI-powered CORE platform automates complex reporting for evolving regulations, while the app suite featuring Policy 2.0 simplifies risk incident capture and boosts operational efficiency.
ManyPets
ManyPets, formerly known as Bought By Many, has emerged as a leading pet insurance provider by taking a unique approach to customer needs.
Born from a focus on analysing social media commentary, ManyPets uses customer feedback to shape its insurance policies. This customer-centric approach extends to its technology focus, making ManyPets the first pet insurance company to offer form-free online claims.
Shift Technology
Shift Technology provides a suite of AI-powered Software-as-a-Service (SaaS) solutions specifically designed to address the insurance industry’s needs. Its focus lies in fraud detection, empowering insurers with robust protection against financial losses, reputational damage, and cyber threats.
Key Factors for InsurTech Success
Several key factors have fuelled the recent surge in InsurTech innovation. Digitisation plays a crucial role by speeding up information processing, leading to cost reductions, efficiency gains, and the development of new, customer-centric products.
Additionally, personalisation is another key factor, enabling insurers to tailor services to individual needs and preferences. They consider factors like age, location, and lifestyle before providing quotes. Finally, advanced analytics capabilities provide valuable insights into consumer behaviour, allowing insurers to better target customers, while also offering real-time risk assessment data.
McKinsey & Co. is seeing an increase in the number of clients seeking artificial intelligence-linked projects, reports Bloomberg. Faster adoption…
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McKinsey & Co. is seeing an increase in the number of clients seeking artificial intelligence-linked projects, reports Bloomberg. Faster adoption of the technology is helping the consulting titan and its peers boost revenue, across industries like Insurtech, following a period of tumult.
About 40 per cent of the New York-based firm’s client projects involve the technology. The number of AI-related customers in the past 12 months is approaching 500, Rodney Zemmel, senior partner and head of the firm’s digital business, said in an interview.
“We believe the long- or the medium-term economic implications are very real,” Zemmel said. He was a final candidate in the recent global managing partner leadership elections at the firm. According to people familiar with the matter, who asked not to be identified discussing confidential information.
Though there’s some degree of hype around AI, “we’re seeing the organisations that are doing that are getting value from it,” Zemmel said. “It’ll be a little longer, and maybe, a little harder than people think, but we’ve got no doubt that the value is there,” he added.
AI adoption across Insurtech
Among those deploying automation rapidly are the traditional and regulated industries such as banking and insurance, Zemmel said. In a June report, Citigroup Inc. said AI is poised to upend consumer finance and make workers more productive. Additionally, with a high potential for 54 per cent of jobs across banking to be automated. Citi also said that the technology could add $170 billion to the industry’s coffers by 2028.
JPMorgan Chase & Co. Chief Executive Officer Jamie Dimon has called AI “critical” to his company’s future success. He also noted the technology can be used to help the firm develop new products, drive customer engagement, improve productivity and enhance risk management.
The surge in automation has come as a relief for the broader consulting industry. It has been battling a slowdown in demand for its traditional services. McKinsey, Ernst & Young and PricewaterhouseCoopers have been cutting jobs to weather the slump. Furthermore, Accenture Plc shares tumbled in March after the company warned it’s seen financial-services customers, including Insurtech, rein in spending on its software.
AI’s rise is also diverting some budgets toward specialist consultancies. Although AI-focused units like McKinsey’s QuantumBlack are growing rapidly, according to Zemmel.
McKinsey – QuantumBlack
McKinsey, which has advised everyone from the U.S.’ Pentagon to China’s Ping An Insurance Group Co., currently has about 2,000 people working across QuantumBlack. It has 7,000 staff in total in tech-related fields, according to Zemmel’s estimates. McKinsey’s headcount stood at about 45,000 globally as of 2023 and revenues were at a record $16 billion.
Zemmel said that the firm is still evaluating how the use of AI will impact its own headcount over the longer run. McKinsey had earlier warned about 3,000 of its consultants that their performance was unsatisfactory and will need to improve.
“We’re certainly planning on being agile about it,” Zemmel said. “One thing that’s clear is everybody in our organization’s going to need to know how to use AI and incorporate in their day-to-day work if they’re going to remain relevant to their clients.”
The insurance sector is witnessing a growing adoption of digital insurance solutions. Machine learning (ML), artificial intelligence (AI), and embedded…
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The insurance sector is witnessing a growing adoption of digital insurance solutions. Machine learning (ML), artificial intelligence (AI), and embedded insurance are at the forefront of this wave across InsurTech.
According toAcumen Research and Consulting, the InsurTech market is expected to reach $166.4 billion by 2030. This projection is reinforced by a high compound annual growth rate (CAGR) of 39.1 percent anticipated between 2022 and 2030. This growth is attributed to a surge of insurance technology innovations.
Introduction to InsurTech
InsurTech, short for “insurance technology,” combines traditional insurance practices with cutting-edge advancements in AI and blockchain. It plays a key role in transforming the insurance industry by making it more efficient, transparent, and accessible. Furthermore, automation, improved risk assessment, and tailored coverage options ensure the digital insurance industry meets evolving consumer demands.
Digital Transformation
InsurTech is a driving force behind the digital transformation of the insurance industry. This transformation isn’t just about software upgrades or automation. It’s a strategic shift that revamps core operations and how insurers deliver value to customers.
Today’s consumers demand personalisation, speed, and convenience in everything, including insurance. They expect instant access to policy details and quick claims resolution—areas where traditional systems struggle. InsurTech empowers insurers to meet these changing demands by enabling customised interactions and faster service.
Customer Experience
InsurTech companies are transforming customer interactions with insurance. Convenience, speed, and personalisation are now priorities.
This change is driven by a focus on improved customer experience. Digital platforms and mobile apps from InsurTech firms make buying policies, managing them, and filing claims easier. Self-service tools and chatbots provide instant support and assistance, reducing the need for traditional customer service channels.
Efficiency gains with InsurTech
A crucial element of InsurTech’s contribution to the insurance industry lies in claims management. InsurTech streamlines insurance claims by automating tasks with AI and ML. This means faster claim assessments, processing, and payouts for policyholders.
InsurTech also boosts efficiency for insurers by automating tasks, which can lead to lower operating costs. These lower costs could potentially translate to reduced premiums for consumers. Consequently, digital insurance becomes more accessible and cost-effective.
Case Studies
Several insurance companies are demonstrating success through innovative InsurTech solutions.Chapter, for instance, uses online tools to connect users with advisors and advocates. These experts help people navigate the complexities of enrollment. They ensure people understand their options, deadlines, and how to choose the right plan for their needs.
Health plan selection is another area where InsurTech is making a difference.GoHealth utilises a sophisticated platform powered by ML algorithms to match consumers with plans tailored to their unique needs. Licensed agents and dedicated telecare teams offer support throughout the selection process and beyond.
Future Prospects
InsurTech presents a future brimming with possibilities for the insurance industry. However, as more processes become digital, security concerns come into focus. Future Processing’s InsurTech survey revealed that81 percent of respondents believe insurers need stronger cybersecurity policies.
This underlines the need to revisit cybersecurity practices as digital transformation progresses. Looking forward, developments in AI and tools like ChatGPT, along with data privacy concerns, suggest quality will be the foundation of InsurTech’s future. By focusing on high-quality data and strong security, insurers can gain deeper customer insights and significantly improve the customer experience.
A closer look at how artificial intelligence, machine learning, blockchain, IoT, and more technologies are transforming the InsurTech space.
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Customer expectations are changing fast. Great digital experiences set the standard, no matter the industry. This means insurance companies are no longer competing only with each other, but with every positive digital experience customers encounter daily.
Technology is changing how the InsurTech space serves its customers
Technologies like artificial intelligence (AI), the Internet of Things (IoT), and cloud computing revolutionise insurance. Outdated systems are being replaced with modern solutions, which offer greater efficiency, security, and data-driven insights.
This digital transformation enables a new generation of insurance services. For example, automated claims processing uses AI to speed up workflows and payouts. Additionally, AI helps detect fraud to protect both insurers and policyholders.
Insurance technology is also improving the customer experience. From personalised plans to user-friendly interfaces, digitalisation is making insurance more accessible and convenient.
AI and Machine Learning
People want more personalised experiences with insurance products and services. InsurTech advances, powered by AI and machine learning (ML), can help insurers meet this demand.
ML algorithms analyse massive amounts of customer data, including behaviour and habits. This allows insurers to tailor insurance products and services to individual needs and create unique customer journeys.
Beyond personalisation, AI has the potential to streamline core insurance processes. AI can speed up claim processing and streamline underwriting. Faster data access and reduced human error lead to more accurate and efficient reporting.
A report by McKinsey suggests that AI could significantly change the insurance industry. It could shift the focus from reacting to problems to preventing them. This proactive approach would benefit everyone involved—brokers, consumers, and insurers.
Blockchain Technology
Blockchain technology offers a powerful solution for data security. It stores vital insurance information, such as claims and payments, in secure blocks on a shared ledger. Any attempt to alter this data would change the entire chain and make tampering easily detectable.
A study by Boston Consulting Group shows 60 percent of insurance companies are actively investing in blockchain. Additionally, 80 percent of C-suite executives in these companies believe blockchain has the potential to significantly improve efficiency.
IoT and Telematics
Many consumers are now willing to share personal data for lower insurance costs. This willingness unlocks the potential of the IoT in the insurance industry.
IoT automates data collection from various sources, like smart home devices, car sensors, and wearables. This data becomes a key source of real-world information for insurance technology. By analysing it, insurers can improve risk assessment accuracy and refine pricing based on individual behaviour.
Telematics devices take personalised insurance a step further, particularly in car insurance. These devices, equipped with GPS and motion sensors, track driving habits in real time. They collect data on speed, location, time of day, and other factors linked to accident claims. This comprehensive data allows insurers to create even more tailored insurance policies.
Case Studies
Several insurance companies are already using InsurTech advances to streamline processes and improve risk assessment.
For example, FRISS uses AI software to quickly detect suspicious claims. Their system analyses data to find possible fraud networks and hidden patterns. With this, FRISS cuts claims handling time by 66 percent and saves insurers money.
Chubb Insurance is another example that shows the value of combining IoT devices with data analysis tools. By constantly monitoring environmental factors with sensors, Chubb can predict potential property damage. This proactive approach lets them offer personalised premiums based on risk profiles, ultimately helping policyholders avoid expensive incidents.
Future Prospects
Grand View Research projects the global InsurTech market size to expand at a compound annual growth rate (CAGR) of 52.7 percent from 2023 to 2030. This rapid transformation will be driven by advancements in various technologies, each presenting both opportunities and challenges.
As more insurance processes become digitalised, concerns around cybersecurity naturally rise. A Future Processing survey underscores this concern, revealing that 81 percent of respondents believe insurers need stronger cybersecurity policies.
The quality of data and security practices will be the cornerstones of successful InsurTech implementation. AI relies heavily on data, while strong security protects sensitive customer information. By prioritising these aspects, insurers can unlock deeper customer understanding and improve the customer experience.
An efficient and timely claims process is important in the insurance sector. Many companies use insurance technology or InsurTech innovations…
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An efficient and timely claims process is important in the insurance sector. Many companies use insurance technology or InsurTech innovations to streamline this complex process.
The traditional insurance claim process is commonly stressful, lengthy, and vulnerable to fraud. However, by embracing digital innovations, such as AI, big data analysis, and machine learning, insurance companies can simplify this process and give a more positive customer experience.
Role of InsurTech
InsurTech solutions streamline claims processes by using user-friendly mobile apps or websites. Customers do not need to make cumbersome phone calls, paperwork, or office visits. Instead, claims can be initiated and managed seamlessly through the digital platforms.
InsurTech accelerates the claims process, reduces turnaround time, and minimises customers’ stress. It also provides an opportunity for immediate insurance claim submission, such as after a car accident.
Automation
Digital insurance employs advanced technology like AI and automation, unlocking many benefits for customers’ claim processes. Reporting automation tools play an important role in claims processing by simplifying and accelerating the process.
An automated system can be applied for data entry and extraction. AI algorithms can scan and extract document details from police or medical reports and automatically fill out digital claim forms.
Meanwhile, automated chatbots allow customers to access around-the-clock services. Policyholders can ask questions, report claims, and get information more conveniently using this feature rather than relying on office time-bound human employees.
Fraud Detection
InsurTech enhances fraud detection in claims processing by using predictive analytics tools. Fraud detection is important for insurance providers to avoid false claims or exaggerated losses that can lead to significant financial losses.
AI machine learning tools can detect suspicious patterns from a vast amount of data, allowing insurers to identify potential fraud. This helps insurance companies reduce losses from fraud and mitigate potential risks.
InsurTech Case Studies
PwC reveals that 57 percent of insurance companies have invested in AI and machine learning technologies to enhance operational efficiencies.
Lemonade, a digital insurance company for renters and insurance, has successfully used AI to underwrite policies and claims. The company achieved a faster and more transparent claim process for customers. The digital automated process also reduces the processing time and keeps costs down.
Meanwhile, Metromile, an InsurTech company that provides pay-per-mile car insurance, offers AI-assisted automated claims named AVA. AVA can give guidance through damage photo collection and verify coverage. This system can also connect customers to repair shops and offer the option of reserving a vehicle if they have rental coverage.
Future Prospects
InsurTech’s potential impact on claims processing is expected to make a significant shift in the future. AI will be more integrated into the financial industry and will reshape the claim processes.
According to McKinsey’s prediction, claims processing will be largely automated by 2030, with advanced algorithms handling initial routing. IoT sensors and emerging technologies like drones will replace traditional methods for reporting claims. Policyholders will also use video streaming for damage assessments that AI can immediately assess to detect fraudulent activities.
Automated customer chatbots will manage most interactions, while human involvement will only be for complex claims and risk management. Integrated IoT and data aggregation will allow insurers to file accurate claims rapidly during major disasters.
Fueled by the Covid-19 pandemic and a projected market size of $166.4 billion by 2030, InsurTech companies are revolutionising the insurance industry.
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These firms offer digital alternatives in a typically slow-to-change industry. However, their innovative solutions have empowered traditional insurers to accelerate digitalisation and streamline processes.
These are the leading firms that have helped this traditional field adapt. Furthermore, it is rapidly catching up to efficiency trends associated with more famously dynamic industries.
Introduction to InsurTech innovation
The insurance industry is undergoing a transformative shift fuelled by InsurTech.
Innovating technologies for insurers is about finding novel solutions to longstanding challenges and harnessing emerging trends to shape the future of the industry.
Insurance leaders are almost unanimous in recognising that innovation as not just important, but critical to future success. Insurers who fail to embrace InsurTech advances and the wave of digital insurance products and opportunities they represent risk falling behind.
Moreover, in an increasingly competitive and dynamic industry, falling behind would be a disaster for any business.
1. Oscar Health
Oscar Health built itself from the ground up with a tech-first approach focused on member service. This unique strategy aims to make healthcare more accessible and affordable for all Americans.
Oscar’s commitment to exceptional service is reflected in its sky-high Net Promoter Score of 50 and a near-perfect 97% member satisfaction rate for virtual care. Also, with a presence in over 577 counties across 20 states, Oscar Health’s impact on the industry is undeniable.
2. NEXT Insurance
A leader in small business insurance, NEXT Insurance offers easy-to-understand, digital coverage designed specifically for the self-employed. Their recently launched Copilot tool empowers agents to serve micro-businesses efficiently. Copilot streamlines the process for both sides: business owners can get quotes and bind coverage online instantly, while agents gain a simplified workflow to boost revenue.
3. Vouch
Since 2018, Vouch has emerged as a prominent force in the InsurTech space by transforming the way business insurance serves high-growth companies. Additionally, Vouch recently launched AI Insurance, a groundbreaking product specifically designed to mitigate risks for AI startups in this rapidly developing field.
4. Hippo
Hippo stands out for its proactive approach to homeowners insurance. Partnering with homeowners to implement smart home devices and personalised safety recommendations, Hippo prioritises preventing hazards before they occur. Furthermore, this commitment has secured their position as a top InsurTech firm, protecting over 200,000 homes across most US states.
5. Bestow
Bestow prioritises simplifying insurance and boosting financial security for everyone. They believe the process shouldn’t be daunting, so they leverage cutting-edge technology and data throughout the entire value chain to streamline everything. Their commitment to innovation is evident in their recent launch of permanent life insurance and the addition of AI features to their underwriting workbench.
6. QuanTemplate
Founded in 2011, QuanTemplate uses machine learning and big data to empower businesses through digital transformation. Their core offering, a data integration, automation, and analytics platform, equips insurance professionals with the tools to unlock valuable insights and gain a deeper understanding of market dynamics.
7. Dinghy
Dinghy caters to the changing insurance needs of freelancers and businesses with its innovative pay-as-you-go model and focus on online and mobile accessibility.
This focus on accessibility is further enhanced through their partnership with ARAG, providing “Freelance Assist.” This is a unique package combining Dinghy’s flexible insurance with ARAG’s online legal resources tailored for freelance professionals.
8. CoVi Analytics
CoVi Analytics tackles both regulatory compliance and operational efficiency for insurers. Their AI-powered CORE platform automates complex reporting for evolving regulations, while the app suite featuring Policy 2.0 simplifies risk incident capture and boosts operational efficiency.
9. ManyPets
ManyPets, formerly known as Bought By Many, has emerged as a leading pet insurance provider by taking a unique approach to customer needs.
Born from a focus on analysing social media commentary, ManyPets uses customer feedback to shape its insurance policies. This customer-centric approach extends to its technology focus, making ManyPets the first pet insurance company to offer form-free online claims.
10. Shift Technology
Shift Technology provides a suite of AI-powered Software-as-a-Service (SaaS) solutions specifically designed to address the insurance industry’s needs. Their focus lies in fraud detection, empowering insurers with robust protection against financial losses, reputational damage, and cyber threats.
Key factors for InsurTech success
Several key factors have fuelled the recent surge in InsurTech innovation. Digitisation plays a crucial role by speeding up information processing, leading to cost reductions, efficiency gains, and the development of new, customer-centric products.
Personalisation is another key factor, enabling insurers to tailor services to individual needs and preferences by considering factors like age, location, and lifestyle before providing quotes. Finally, advanced analytics capabilities provide valuable insights into consumer behaviour, allowing insurers to better target customers, while also offering real-time risk assessment data.
InsurTech is an emerging sector of huge importance. It transforms an old and crucial industry by creating insurance technology that brings major tech advances to enable widespread change.
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The top InsurTech companies aim to revolutionise the industry with a rapidly evolving and advancing series of insurance technologies. All of these seek to make insurance more accessible and customer-centric. This improves insurance products and creates opportunities for new ones.
By adopting a mobile-first approach, InsurTech reduces the need for face-to-face interactions. This means lower operational costs, allowing InsurTech startups to offer more competitive pricing models.
The InsurTech landscape owes its growth to startups. These early-stage companies disrupt the insurance sector by bringing new tools to the game. These include AI, which can handle traditionally resource-exhausting and time-consuming tasks, such as determining the right policies to offer customers.
According to a report by Spherical Insights, the InsurTech market was valued at $3.85 billion in 2021. Based on a CAGR of 52 percent, Spherical forecasts that it will grow to $166.7 billion by 2030. This growth is mainly fuelled by Insurtech startups. Read on to discover the top Insurtech companies to watch in 2024, as they make strides forward into a period of accelerating growth.
According to a report by Spherical Insights, the InsurTech market was valued at $3.85 billion in 2021. Based on a CAGR of 52 percent, Spherical forecasts that it will grow to $166.7 billion by 2030. This growth is mainly fuelled by Insurtech startups.
Read on to discover the top Insurtech companies to watch in 2024, as they make strides forward into a period of accelerating growth.
1. Lemonade
Lemonade brands itself as “an insurance company built for the 21st century.” With Maya, its cutting-edge AI tool, Lemonade can “craft the perfect insurance” coverage in as little as 90 seconds. The AI also contributes to the seamlessness of the insurance claims process, with customers needing to wait only three minutes after claim submission to get paid.
In November 2023, Lemonade was serving2 million active customers. It ticked the first million mark in 2020. Throughout the period, the premium per customer increased by 70 percent.
InQ1 2024, the average premium per customer was $379, an eight percent increase year on year. The in-force premium was $749. The figure represents a 22 percent increase year-on-year and corresponds to total revenue growth of 25 percent.
2. NEXT Insurance
Next Insurance caters to small businesses, offering products such as workers’ compensation and equipment insurance. The company provides coverage for diverse professions, from contractors to entertainers.
Next has developed an AI tool called Copilot, not to be confused with Microsoft’s AI with the same name. The tool allows insurance agents to increase operational efficiency and profitability by streamlining the quoting and binding process. It also helps reduce underwriting delays.
Established in 2016, Next was serving500,000 active customers in 2023, an increase from 420,000 in 2022. It has received $1.1 billion in funding from big-name investors such as Munich Re, Allstate, and Allianz X. Per November 2023, the company has a market valuation of $2.5 billion.
3. Oscar
The Oscar Health team provides digital-based health insurance. The company offers services for individuals and families. Through its app, customers can access remote health care anywhere, anytime. Established in 2012, Oscar has over1.4 million customers across 20 states of the US.
4. Metromile
Metromile revolutionises automobile insurance with its premium-per-mile scheme. Premium rates are based on driving habits, which is claimed to allow customers to save around 47 percent, or $947 per year, compared to traditional car insurance.
Metromile wasacquired by Lemonade in 2022 for $145 million worth of LMND shares. In return, Lemonade took control of “over $155 million in cash, over $110 million in car premiums, an insurance entity with 49 state licenses, and precision data from 500 million car trips.”
5. Asurion
Asurion specialises in technology care. This InsurTech company provides electronic equipment coverage, catering to owners of smartphones, laptops, TVs, and smart home appliances. By using its services, customers gain access to quick repairs of only 45 minutes for their electronics through local repair experts and tech repair stores across the US.
6. Zego
Zego offers smart and flexible insurance coverage for self-employed drivers and fleets. A wide selection of insurance products is available to meet the needs of private taxi companies, haulage truck drivers, and courier vans. Zego became theUK’s first InsurTech unicorn in 2021 after raising $150 million, bringing its valuation to $1.1 billion.
7. Hippo Insurance
Hippo Insurance combines home insurance with smart home devices. The company provides customers with smart home monitoring systems to detect potential issues. These include leak sensors, motion detectors, and smart smoke alarms. In 2024, Hippo provides coverage for 200 US households.
8. Pie Insurance
Pie Insurance caters to small businesses. This InsurTech startup uses advanced analytics tools to determine the best premiums, considering comprehensive possible risks. The company aims to make insurance affordable and accessible to small businesses in the US.
9. Clearcover
Clearcover uses AI technology to speed the claims process up to just seven minutes. The startup has raised a total of$515 million over nine financing rounds. Its latest funding round was in April 2024, when it raised $55 million in a second Series E. The investment round was led by Omers Venture, with several undisclosed investors participating.
10. Shift Technology
Shift Technology is a claims fraud detection platform that uses AI to detect fake claims in real time. This InsurTech platform also detects underwriting risks and improper payments. Its financial crime detection feature ensures compliance with AML and KYC regulations. Shift’s technology speeds up the decision-making process, allowing insurance companies to operate with greater efficiency. With a market capitalisation of $2.89 million per June 2024, the company has raised $316 million since its inception in 2014, raising $219 million in its latest Series D.
These top InsurTech companies are disrupting the market with advanced technologies such as AI tools. With their capabilities to streamline user experience, lower costs, and improve decision-making processes, these InsurTech startups will continue to challenge legacy insurance companies.
InsurTech, short for insurance technology, is transforming insurance accessibility and efficiency.
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Global adoption benefits all stakeholders – from brokers to policyholders, underwriters, and customers.
Gallagher, one of the world’s largest insurance brokers, puts the amount invested into InsurTech globally at $55 billion. Global InsurTech funding dipped below $1 billion in Q1 2024, but early-stage funding grew 26.5 percent quarter on quarter, despite a widespread funding slowdown.
This suggests insurers are starting to favour more sustainable investment strategies and are planning for the long term – banking on visions that will bring rewards some years down the line.
Gallagher, one of the world’s largest insurance brokers, puts the amount invested into InsurTech globally at $55 billion. Global InsurTech funding dipped below $1 billion in Q1 2024, but early-stage funding grew 26.5 percent quarter on quarter, despite a widespread funding slowdown.
This suggests insurers are starting to favour more sustainable investment strategies and are planning for the long term – banking on visions that will bring rewards some years down the line.
There are some common themes – more than 85 percent of insurers want to grow customer experience initiatives and the industry is shifting towards customer-centric strategies. This is a reflection of consumer demand, but importantly it signals that insurers are approaching innovations with confidence in widespread and long-term viability as a core part of business strategy.
These are the top innovations drawing their attention:
AI in underwriting
Traditionally, underwriting is full of time-consuming manual work. When left to AI, it can process data such as claim history, social media content, and market conditions to produce more accurate decisions.
Goldman Sachs’ 2024 Global Insurance Survey found 29 percent of insurers use AI, with 51 percent planning to implement AI technologies. Insurers see AI as having a broad range of uses: 73 percent think it will reduce operational costs and 39 percent are considering using AI for underwriting insurance risk.
Lemonade and Allianz, for example, use AI algorithms to assess risks and approve policies.
Blockchain technology forms a distributed database system. This means offers a secure and transparent way to verify documents and transactions. Each transaction is recorded in blocks connected in an unalterable chain that guarantees data integrity. The data is what it is, and that certainty underpins verification.
This technology can improve trust between insurers and insured parties by providing transparency in the claims process. Etherisc, a blockchain-based insurance platform, and AXA’s Fizzy are among companies using this technology to automate flight delay claims.
Telematics in auto insurance
Telematics combines telecommunications, computer science, and electrical engineering to monitor and collect data on driving behaviours. It enables insurance based on how an individual actually drives.
Insurance thought leaders forecast the insurance telematics market will grow from $5 billion in 2023 to $11 billion by 2028. A strong sign of early growth in what could be a transformational change in insurance.
In auto insurance, telematics devices or apps installed in vehicles gather real-time data on how a person drives. This benefits both insurers and policyholders by encouraging safer driving, and it reduces the frequency and severity of claims. In the US, Allstate’s Drivewise and Progressive’s Snapshot are examples of telematic programs that offer discounts based on safe driving habits.
Digital platforms and IoT in health insurance
While digital platforms simplify processes in health insurance, the Internet of Things (IoT) enables remote patient monitoring through wearable devices and smart gadgets.
These devices collect real-time health data, which insurers can use to assess risks more accurately. As a result, offered health plans are often more personalised. IoT also improves preventive care by alerting users to potential health issues early on. This feature can help reduce the overall cost of healthcare and insurance claims.
IoT use in health insurance is a growing trend, with more insurers integrating IoT tech into their services.
Greentech for InsurTech
Interest in sustainable InsurTech investments remains strong, particularly in EMEA and Asia. ESG is a primary consideration for a third of EMEA insurers and 13 percent of Asia insurers.
Mercer and Oliver Wyman’s 2024 Global Insurance Survey found 70 percent of insurers already incorporating sustainability into their investment decisions plan to increase the money they put into sustainable investments over the next 12 months.
AXA Climate, for example, focuses on providing climate risk solutions with sustainable insurance products it says help businesses transition to a low-carbon economy.
Community-based Models
Peer-to-peer (P2P) insurance allows individuals to pool resources to share risk. Claims are paid from the pooled funds, and any remaining funds can be returned to the group or rolled over to the next period.
P2P insurance is more collaborative and cost-effective compared to traditional insurance models. Friendsurance, for instance, is a P2P platform for minor claims that lets unused funds be refunded by the end of the year.
AR for property inspection
Augmented Reality (AR) can be used for remote property inspections. Insurers can guide policyholders through the inspection process using AR to capture images and videos.
Hippo Insurance and Liberty Mutuals are among the companies that guide homeowners through self-inspections for the underwriting process. This InsurTech approach reduces the need for in-person visits, which may end up speeding admin and keeping customers happy.
The future for InsurTech
There are many bullish viewpoints on InsurTech in the public domain, and the big players are already leading the way. They clear a path for the rest of the market to build on these successes and learn from the challenges they can push through.
Key technologies such as cloud, connectivity, and AI will continue to expand their influence on the industry. The behaviour of the market in early 2024 suggests that the combination of advancing tech and early forays by big insurers has created a field ripe for innovations to take hold.
Insurance Technology, known as InsurTech, represents a groundbreaking advancement in the fintech sector.
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Historically perceived as resistant to change, the insurance industry has been criticised for its cumbersome and time-consuming processes. However, the emergence of InsurTech marks a pivotal transformation within the industry.
At its core, insurance offers peace of mind — protection against life’s uncertainties like floods and accidents. In exchange, policyholders pay premiums regularly.
In recent years, InsurTech has experienced significant growth and gained popularity among financial customers. The global insurtech market soared to $5.45 billion in 2022 and is expected to expand by 52.7% from 2023 to 2030.
Its popularity is justified by its benefits that can provide a better customer experience. It offers digital solutions to streamline processes such as filing claims and managing policies.
Streamlining insurance access and policy management
InsurTech offers great benefits for customers. It allows them to access products directly through digital platforms and choose a relatively affordable insurance package online.
The digital platforms used in InsurTech also simplify policy management for customers. These platforms consolidate multiple policies into one accessible location, allowing customers to view, update, and renew policies effortlessly.
Furthermore, integration with fintech components through e-commerce platforms can give customers additional benefits like bundled discounts or simplified payment options.
The automated renewal reminders help customers make timely renewals and avoid the risk of coverage gaps. The platform also makes it possible for real-time access to policy documents, which is very convenient in urgent situations like accidents.
Leveraging AI in InsurTech
InsurTech also uses AI and data analysis technology to understand customer needs and offer more personalised policies. Insurance companies in the past struggled to accurately assess customers’ risks and preferences due to their reliance on historical data and basic demographics.
However, AI algorithms offer a more efficient way to do the task. With AI, insurers can do the assessment efficiently and offer customised policies with appropriate coverage and pricing. This is possible due to AI’s capability to analyse extensive data from diverse sources like social media, IoT devices, and public records.
The AI tech can detect anomalous patterns that indicate fraudulent activities. As fraudulent claims are a big concern for insurance providers, this feature can help detect and prevent scams.
InsurTech also simplifies and speeds up the claims process by assisting customers and streamlining it. Customers can now submit claims digitally instead of the time-consuming manual process.
Advanced optical character recognition (OCR) and natural language processing (NLP) technologies used by InsurTech can help extract relevant data from claim documents automatically. Meanwhile, AI algorithms can analyse claim data to assess its validity.
For further customer service, the use of chatbots and virtual assistance has more benefits than traditional customer service support. The automated customer service can be available at any time and is capable of providing support outside business hours. Customers can get instant responses as these virtual assistants can handle multiple queries without delays.
Future trends
AI technology is a pervasive trend across the fintech landscape and predicted to grow even bigger in the future. More products that people use daily will integrate AI tech into their systems.
One of the main uses of AI in InsurTech is the customer service bots. While current AI-powered chatbots can handle complex queries, automated customer service features still have limitations.
Nevertheless, there will be a greater focus on enhancing customer engagement through interactive tools in the future. The improved AI tool is expected to understand natural language, interpret intent, and provide updated relevant information or escalate issues to human assistants when necessary.
The improved use of AI is not only limited to customer service but also other areas such as marketing, personalisation and fraud detection. For instance, AI tech can help insurers to target customers more efficiently by identifying behavioural patterns.
The rising concern on environmental and social issues makes it possible for more sustainable and socially aware digital insurance products in the future. For example, products that incentivise sustainable behaviours or provide coverage for climate-related risks. With this, the customers will feel an added sense of satisfaction with their purchase.
Tim Hardcastle, CEO and Co-Founder of INSTANDA, on what will be top of mind for insurers in 2021 and why technology will be critical
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“Insurance is the industry of risk. But the depth and breadth of COVID-19 – its impact on society and the economy – was not in insurers’ near-term planning models this year. Insurers and their customers enter 2021 in a world transformed. Physical and mental barriers have deteriorated. Walls separating businesses from customers have collapsed, with the discovery that digital can strengthen customer relationships.
ByTim Hardcastle, CEO and Co-Founder of INSTANDA
“As we enter this new world, insurance must reboot and reenergise. Reboot their business development plans, by investing in sophisticated digital tools and partnering with organisations that accelerate innovation. Reenergise their propositions and offerings, so their products continue to excite and stimulate customers.
“In practice, this means focusing on two areas: personalisation at scale and differentiation through digital engagement. Think Netflix and Disney plus, but in insurance.
“There is a more urgent pressure behind this need: cost. To avert another drop in earnings, insurers need to accelerate their digitalisation plans so they can take full advantage of reducing costs to industry leading levels of less than $1 per policy.
“What surprises could 2021 have in store? A potentially unavoidable one is the rapid acceleration of contextual or immersed insurance. Where customers buy insurance through another retail or business interaction – say, a new TV in Tesco – and insurance is embedded and sold through that. This not-so-surprise will bring new businesses challenges that only digital platforms can help solve.
“Another area which is exciting in the year ahead is the industry’s appetite to develop wider service-based offerings, such as pet and cyber insurance which provide extensive service wrappers. A pet wrapper, for example, may include advice on pet health and best practise to keep your pet healthy, with the aim to reduce bills and the insurance claim. This reflects the recognition of serving customers with a wider proposition than simply the claim pay-out.
“Our own business has adapted to respond to the challenge’s insurers faced this year. We’ve accelerated our plans to add more capability to the platform, such as launching our integration marketplace and digital billing and claims. We’ve done so in anticipation of a greater need from insurers to be braver in their approach to meet customer demand.
“Finally, I think the industry can expect a rebounding next year. There has been a downgrade in analysts’ predictions of 2020 results for several major players, as revenues slipped and claims increased. But we are also seeing rate increases in other segments so we anticipate 2021 earnings will rebound.
“2020 has brought a year of surprises to an industry that has dealt with some of the worst kinds of surprises, for centuries. A lesson it has taught – as surprises often do – is the necessity of adaptability; to be able to respond to customer demand and regulation, quickly.
“To prepare for this new year, organisations need to look at their existing infrastructure and business models and ask themselves: am I ready?”
Over these last three years we have seen how the essence of ‘insurtech’ has evolved. The 300 insurtechs that we…
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Over these last three years we have seen how the essence of ‘insurtech’ has evolved. The 300 insurtechs that we had on stage so far, and the 2,500 that we have in our insurtech database, give us a pretty good picture of what has changed. But also of how things will develop in the coming years. Looking back and ahead, we distinguish four waves of insurtech. With each wave driving the future of insurance in a new direction. By Roger Peverelli and Reggy de Feniks
THE FIRST WAVE OF INSURTECH: CHALLENGERS
Three years ago, in 2016, ‘insurtech’ mostly meant ‘challengers’. New
entrants were out there to attack the established order. Everyone spoke about ‘Disruption’.
The main driver for this first wave? Eroding entry barriers – due to new
technologies. New entrants took the lead in intelligent and innovative use of
technology and data, designing new ways of working. New ways of working that solved
the frictions that customers experienced when working with incumbents.
Oscar, the famous US challenger, put it
this way “We didn’t start this company because we love health insurance. Quite
the opposite in fact.”
We actually took a closer look at the value
proposition of many of these new players. Almost all of them promise that they
solve the main reasons for dissatisfaction.
We listed those issues below. Across the
globe, customers have the same kind of complaints about insurance firms. We
concluded that virtually all pain points that customers experience are related
to ‘simplicity’ and ‘being personal’.
Of course, there is still sufficient room to improve here. But all these issues are in scope of operational excellence. So, it would be fair to say that all these issues should be solved shortly, and in fact, quite a few are solved already. We already see that Net Promoter Scores are improving. Perhaps not everywhere, but we’re getting there.
Maybe this is the reason why so far only a
few of these new players succeeded in acquiring a significant market share. Apparently,
focus on solving operational issues only, simply is not enough to create a
sustainable competitive advantage.
The few winning new entrants are the ones that not only solve pain points but which have a truly distinctive new business model on top of that.
A great example of a new entrant with such
a winning distinctive business model is of course Lemonade. We were honoured
that Daniel Schreiber, the co-founder and CEO of Lemonade, shared his vision at
our recent DIA Amsterdam edition. Lemonade combines AI with behavioural
economics into new business models, and moreover, new value for customers.
The impact of Challengers in terms of
market share may still be limited. But that does not mean that the Challengers
are not important. The impact they have on market dynamics is significant, but
on a different level.
Their focus on less frictions and new
service levels has changed the expectations of customers. New entrants set
new standards. Customers expect the traditional players to offer comparable
innovative services as well. This makes incumbents realise, that they really
need to step up to the plate, if they want to keep up.