People irrespective of where they live, are concerned about the security of their assets, home, and loved ones. They wanted to be safeguarded against potential disasters, threats, and loss of property, hence the reasons why people enroll in auto, home, and health insurance.
Because of that, the global insurance market has rapidly grown due to insurance giants that have brought more innovations into this kind of business. For many decades the industry has been experiencing strict regulations and lengthy processes that have been hampering its progress.
However, with more investments in technology, the trend has changed, and it’s forecasted that the insuretech market revenue worldwide will be $10.14 billion by the end of 2025.
The article will review some of the startup giants that drive the insurance market.
What is Insurtech?
Insurtech refers to various technologies used in the insurance industry. While fintech is changing the game in the financial sector, insurtech is transforming the insurance field using the latest technologies like machine learning, AI, big data, IoT, and blockchain to introduce innovative products in the global market.
Using these premium technologies, several insurance startups are creating new, tech-driven products to meet next-gen customers’ expectations. For instance, using machine learning algorithms, insurance managers are able to anticipate trends, identify outsider claims, determine risk selection and pricing, triaging, and more.
More so, AI helps insurance companies to offer personalized customer experiences by changing the underwriting processes as well as access data faster and without human intervention. IoT devices help to mitigate risks as well as get real-time alerts in case of any risks involved.
Therefore, insurance tech startups are thus escalating these drastic transitions, thus increasing the chances of your growth.
The Top Insurtech Companies in the World
1. Bima
The Stockholm-based insurtech focuses on emerging markets and has offices in 13 countries across Latin America, Asia, and Africa. Bima has established an exclusive partnership with mobile operator giants to help it serve more than 26 million customers as well as develop a robust technology platform.
The insurance tech company has raised $170.6m so far.
2. Brolly
The London-based insurtech was established in 2015 to focus on renters and homeowners. Using AI, Brolly gives its users in-depth information about their home policies. It provides optimal policies based on its customers’ data as well as alerts them about their current insurance coverage state through its platform.
3. Goji
The Boston-based insurtech gives car owners a list of possible plans to choose from based on their basic vehicle description. The startup has raised total funding of approximately $104.2m.
4. Hippo
The London-based insurtech uses IoT devices to identify small issues at homes and have them fixed before developing into bigger problems that cause homeowners to file claims.
Hippo has raised capital worth $209m to help it implement new insurance approaches.
5. Lemonade
The New York-based insurtech company has been providing renters and homeowners insurance policies since 2015. The insurance tech leverages AI and behavioral economics to underwrite policies and process claims. These technologies have helped Lemonade abandon bureaucracy and paperwork such that it can handle a claim in 3 seconds.
Besides deploying technology for business, Lemonade is driven by social good such as allowing clients to select an NGO to receive their unclaimed premiums. This far, the insurtech has received $480m in the form of funding.
6. Metromile
The San Francisco startup leverages data science and machine learning to make auto insurance more user-friendly and straightforward. Through its app, the insurer can track car location when stolen, provides monthly mileage summaries, fuel trackers, sweeping street alerts, and 24/7 support.
7. Neos
London-based insurance startup was formed in 2016. Using IoT, the insurance tech company installs smoke detectors, cameras, and various sensors at homes in order to alert owners of a potential leak, fire, break-in, or more. These incidents contribute to a home insurance claim, but Neos is reducing them with these infrastructures.
8. Oscar Health
The New York-based insurtech focuses on personal and small businesses’ health insurance services. The company is using technology to tackle customers’ common points, such as using a mobile app to connect with doctors anytime, as well as using clients’ data to generate their treatment plans based on their customers’ budget.
9. Quantemplate
The London-based insurtech has entered the European FinTech Top50 and has helped to transform the insurance industry. The company has raised $25.6m from its business investors such as Transamerica, Route 66 Ventures, and Allianz, among others.
Quantemplate uses key technologies such as AI, big data analytics, and machine learning to discover insights from its data and make data-driven strategies.
10. Shift Technologies
The insuretech has offices in Hong Kong, London, Madrid, Singapore, and Zurich. Shift Technologies uses machine learning, AI, and big data to offer Software as a Service (SaaS) to customers seeking protection against cyberattacks.
The insurance provider has obtained $25.6m funding this far, which has helped it offer enhanced security.
11. Snapsheet
The Chicago-based SaaS cloud-native platform allows insurers and their customers to claims via mobile. Using data-driven tech Snapsheet is improving claims processing and customer engagement, as well as supporting the repair facilities.
The platform has raised $66.6m so far.
12. Trov
The San Francisco digital insurance leader was founded in 2012. The insurtech switched from being a mobile insurance platform to the B2B model. With the help of AI tech, the startup launched its app that offers personal auto and mobility insurance which is aligned to vehicle owners’ needs.
Trov has raised $114 million in funding and has offices in 5 countries.
13. ZhongAn
The Shanghai-based online-only startup was founded in 2013 by Alibaba, Tencent, and Ping An. The company offers insuretech products like lifestyle consumption, consumer finance, travel, and health.
The insurance company has reshaped the Chinese market through the application of big data analytics. This technology has helped ZhongAn maintain accurate product pricing, thus boosting the internet ecosystem and making its product desirable.
Takeaway
Due to technological progress, insurtechs have changed the industry’s reputation and offer highly personalized and user-friendly products.
Also, the innovative products have changed insurance from a more conservative and inflexible field, thus helping to satisfy the niche market customers’ needs.
