Distribution costs key to first wave of InsurTech InsurTech firms are targeting distribution in their first wave of disruption, and the polite, gentlemanly nature of their entry into insurance is unlikely to last long, speakers warned at The Insurance Insider's inaugural InsiderTech event. The event, held in New York last week (16 March), brought together representatives from (re)insurers, start-ups and venture funds to debate the role of established industry players in spurring innovation, as well as where InsurTech is headed and how carriers will have to adapt.
Insurance innovation limited to the icing, can’t touch the cake I often meet start-up founders determined to improve insurance distribution and customer experience, with most of the solutions targeting millennials. They are often millennials themselves, or at least emphasise with the needs and wants of this segment. These brave souls don’t often expect what cruel faith has in store for them – the inflexible “suits” in traditionalist insurance companies who want little to do with start-ups and product innovation.
Startupbootcamp InsurTech Teams Up with Zurich Insurance Group Startupbootcamp InsurTech, a London, UK-based accelerator program focused on insurance technology startups and corporate innovation, announces a new collaboration with Zurich Insurance Group, a multi-line insurer. The collaboration allows Zurich, which has expertise and global presence in more than 210 countries and territories, to engage with Startupbootcamp InsurTech’s portfolio consisting of startups with innovative business models and emerging technologies operating at various points of the insurance value-chain.
Aflac Launches Venture Capital Arm to Invest in Insurtech Startups Aflac Incorporated, a Columbus, Ga.-based insurance company, is pursuing investment opportunities targeting early-stage companies whose mission is relevant to its core business. Designed to help the company enhance its strategic and innovative focus in both the U.S. and Japan, Aflac Corporate Ventures partners with technology accelerators to identify and invest in early-stage companies, accelerating innovation across the insurance value chain, including digital solutions that enhance the customer experience.
Blockchain technology: Balancing benefits and evolving risks A recent technological innovation called the “blockchain” has the potential to transform the way financial institutions process transactions and corporations conduct business. Financial institutions and corporations have traditionally relied on written documents exchanged during in-person closings to complete transactions and loans, and relied on written checks to document the transfer of funds.
Japan: Insurers get innovative to attract young drivers Non-life insurers have successively introduced insurance policies targeting young car owners, lowering premiums for those taking out auto insurance for the first time. An increasing number of young people in Japan have been losing interest in owning cars, and some of them cite high insurance premiums as a reason, reported Kyodo News citing industry officials.
'Upscale millennials' more likely to adopt usage-based insurance New research has found that nearly a third of millennials — those born between 1982 and 2000 — qualify as urban professionals earning in excess of $75,000 per year, according to Nielsen. That represents approximately 24 million U.S. consumers — a massive number by any stretch, and one that continues to grow rapidly.
Less Interested in Self-Driving Cars, Older Drivers Embrace Auto Safety Technology Older drivers are increasingly comfortable with and recognize the benefits of active safety technology, but they are still reluctant to relinquish total control to an autonomous vehicle, according to a nationwide survey by Munich Re, US of drivers age 65 and older. Approximately two out of three (63 percent) drivers over age 65 intend to purchase their next vehicle with active safety technology
China: 12% of global insurers pick Greater China for acquisitions this year China is seen as the target market for acquisitions this year by 12% of global insurers in a recent KPMG worldwide survey. The Chinese market trails the US which was picked by almost a quarter of insurers polled as their top national destination for acquisitions. The KPMG report, titled "The New Deal: Driving insurance transformation with strategy-aligned M&A", highlights that 84% of insurers surveyed are planning to make one to three acquisitions in 2017, and 94% are planning at least one divestiture; two-thirds of insurers said they expect to undertake a cross-border acquisition.
Munich Re invests in technology to generate growth Munich Re is investing in technology and actively preparing and searching for growth opportunities to revert the current shrinking process. “Munich Re believes that it can grow through product innovation, through risk solutions as well as traditional reinsurance,” said CEO Nikolaus Von Bomhard at the company’s 2016 full year press conference.