Monthly newsletter of Open and Embedded Insurance Observatory
Month of December 2024
Hi,
At the Open and Embedded Insurance Observatory, we conduct ongoing market research and intelligence on open and embedded Insurance. As a valuable member of our network we are delighted to share with you our monthly selection of key facts, insights, and news that we believe are meaningful and relevant. This newsletter covers all the insights and pertinent features from December 01- December 31, 2024.
We hope you find these resources beneficial for your business.
Market Intelligence
Embedded Insurance Partnerships
Dec 02, 2024: APOLLO Insurance has become Zen Residential's exclusive tenant insurance provider. Zen Residential will use APOLLO's cutting-edge platform to provide their tenants with an easy, digital-first way to purchase tenant insurance, reducing administrative work for property managers and ensuring compliance.
Dec 02, 2024: YAS and QBE Hong Kong launched the region's first "Pay-As-You-Sell" product liability insurance. This innovative insurance solution, underwritten by QBE and distributed exclusively through YAS, uses technology from Assureful, an insurtech firm, to deliver an insurance product tailored specifically for merchants selling on major online marketplaces such as Amazon, eBay, and Shopify. This new solution provides Hong Kong enterprises with flexible and dependable insurance policy coverage for their individual e-commerce business models in the US market. The policy covers liabilities such as bodily injury, property damage, personal injury, and medical expenses.
Dec 03, 2024: Insured Nomads Corporation and Doerscircle have launched a new global health insurance platform designed specifically for freelancers, entrepreneurs, and small businesses. The platform, which is set to launch on December 1, aims to bridge the healthcare access gap for the world's growing independent workforce. “This platform fundamentally changes the game for independent workers worldwide,” said Andrew Jernigan, CEO of Insured Nomads. “For the first time, solopreneurs and small businesses can access the same quality of health coverage as large corporations, with plans starting from $74 per month and coverage that follows them anywhere in the world. It gives me great joy to know that so many people will have the coverage they need and deserve but didn’t have the ability to obtain.” The collaboration leverages Doerscircle's 135,000-strong membership and Insured Nomads' expertise in mobile professional insurance solutions. By pooling resources, the initiative hopes to provide independent workers with much-needed security as they navigate the challenges of a changing global workforce.
Dec 03, 2024: Allianz Partners and Uber have partnered to provide income protection to Uber drivers in the UK. The new product, Vehicle Interruption Cover, will assist Uber drivers in protecting their income if their vehicle is not operational. All Uber drivers in the UK who are enrolled in the Uber Pro program will be eligible for coverage. The Uber app allows drivers to purchase coverage, and the digital experience is powered by embedded insurance startup Indeez. Coverage will be expanded to other markets in the future.
Dec 04, 2024: Thailand Post and bolttech, have announced the launch of an embedded compulsory motor insurance offering, allowing customers to easily access quality insurance products via Thailand Post's nationwide network, both online and offline. This innovative offering, powered by bolttech, covers personal cars and trucks and includes compensation for death, disability, limb loss, and medical expenses. The coverage includes the driver, passengers, and other individuals involved in a car accident, providing customers with comprehensive coverage and peace of mind.
Dec 04, 2024: Cover Genius, has partnered with Airpaz to offer comprehensive travel insurance to customers in Malaysia, Vietnam, Indonesia, Thailand, and the Philippines. The partnership aims to provide travellers in the Asia-Pacific (APAC) region with peace of mind during the peak holiday season by addressing common travel disruptions such as emergency medical expenses, flight delays, and cancellations due to illness or jury duty. Airpaz, a leading online travel agency, serves millions of customers in Southeast Asia, focussing on making travel booking easy and affordable. By incorporating Cover Genius' insurance platform into Airpaz's booking process, the travel agency expands its service offerings and allows customers to purchase insurance at the time of booking. This partnership ensures that millions of Airpaz users have a safe and convenient travel experience.
Dec 04, 2024: Watches of Switzerland Group, a watch and jewellery retailer, has partnered with embedded insurance provider Zillion to provide instant coverage for watch and jewellery purchases made at the point of sale. Clients of Watches of Switzerland can now obtain one-click insurance on their mobile devices without the need for applications, appraisals, or app download. According to Zillion, the frictionless benefit improves the client experience. WOS has partnered with Zillion to provide coverage along with concierge services.
Dec 04, 2024: Coverdash collaborates with Viably to streamline business insurance for eCommerce merchants. Customers of Viably can now purchase tailored commercial insurance coverage directly from the Viably platform thanks to this integration. Viably offers eCommerce sellers a comprehensive suite of financial services and tools to help them grow their businesses, including ongoing working capital, global accounts, cards, cross-border payments, and profitability analysis tools. Their platform reduces the complexity of running an eCommerce business, allowing entrepreneurs to focus on growth and revenue. Coverdash's embedded insurance technology enables Viably to provide the essential commercial insurance policies required to run an online business, such as general liability, professional liability, cyber liability, and other critical coverages. eCommerce merchants can easily protect their business from risks while potentially saving up to 30% on premiums by using Viably in conjunction with their other financial management tools.
Dec 10, 2024: O2 Germany, Telefonica's telecommunications brand, has partnered with ERGO to launch pay-as-you-go travel insurance. O2 private customers can purchase international health insurance through "O2 Care | Travel" on their smartphone. When the mobile phone dials into a foreign network, the insurance coverage begins. It ends automatically when customers reconnect to the German network. There are no contract periods; O2 customers pay for the duration of their trip.
Dec 16, 2024: AXA UK has announced a partnership with Lloyds Banking Group. The agreement, which secures AXA's sole capacity for the Lloyds Banking Group's motor portfolio under its well-known brands Lloyds, Halifax, and Bank of Scotland over a five-year period, will begin in May 2025. With the collaboration, AXA will become the sole provider of car and van insurance for Lloyds Banking Group, one of the UK's largest retail banks with approximately 27 million customers.
Dec 29, 2024: AirAsia and Tune Protect have launched the AirAsia Comprehensive Travel PLUS in Singapore, which includes enhanced travel coverage and a new Cashless Hospital Admission service for AirAsia flights departing from the city. This feature enables travellers to seek medical care abroad without making upfront payments, making the process easier during an emergency. The Cashless Admission service is free and available on all AirAsia booking platforms, including the airasia MOVE app. Premiums begin at SGD28.60 for a return trip. Trip cancellation, flight delay coverage, and reimbursement for lost or damaged baggage are among the benefits available to travellers. The service, which is currently available in Malaysia, Thailand, and Indonesia, will soon expand to Vietnam and other markets. The plan provides access to over 7,500 hospitals worldwide through Europ Assistance, ensuring smooth and worry-free travel by eliminating unexpected out-of-pocket expenses.
News Releases and Launches
Dec 02, 2024: Obie announced the latest expansion in embedded insurance capabilities, which allows for seamless integration across a variety of digital platforms, including Salesforce Experience Cloud. Building on its existing embedded insurance solutions, this enhancement makes integration highly adaptable and simple to deploy across a wide range of technology platforms, transforming insurance into a natural and intuitive part of the customer experience. Obie's embedded solution enables partners to provide on-demand landlord insurance directly from their existing platform. Obie's adaptable technology can now seamlessly integrate with a variety of systems, meeting partners wherever they operate. API support and dedicated technical guidance make implementation simple, allowing partners to expand their offerings without completely overhauling their technology solutions. This integration allows clients to explore, compare, and choose coverage without leaving the partner's digital environment. By embedding within the client experience, Obie enables its partners to increase engagement and create a frictionless experience for customers on their real estate investment journey.
Dec 02, 2024: HUB International, a global insurance broking and financial services firm, is nearing completion of its acquisition of Insuritas, an embedded insurance platform for banks and credit unions. According to the Coverager, Insuritas will continue to operate under VIU by HUB, HUB International's digital insurance platform, after the transaction is completed.The acquisition is intended to strengthen HUB International's capabilities in providing embedded insurance solutions. Insuritas' unique platform complements HUB's strategy for expanding its digital insurance services. The financials of the transaction have not been disclosed. HUB International, a leading insurance broking and financial services provider, introduced VIU by HUB in June 2022. The digital platform was initially designed to simplify personal insurance needs, such as home and auto policies. Since then, VIU has evolved into an aggregator, expanding its offerings into property, casualty, and life insurance lines. HUB International acquired at least 23 agencies by 2024, with the Insuritas acquisition being its first of a non-traditional insurance agency.
Dec 03, 2024: discovermarket, a global Insurtech leader and innovator in embedded insurance solutions, has announced its official launch in Latin America, which will begin with the establishment of a legal entity in Brazil. Discovermarket's expansion aims to transform the future of embedded insurance in the region by introducing innovative insurance solutions, technology, and expertise to Latin America's rapidly evolving Insurtech landscape. Because of increased digital access and connectivity, the Latin American insurance market is one of the world's fastest-growing in both the life and non-life segments. Just Brazil's general insurance sector is expected to grow at an 8.8% CAGR from R$307.3 billion (US$61.6 billion) to R$430.7 billion (US$85.7 billion) by 2028, demonstrating the market's enormous potential. Discovermarket's presence in Brazil will enable partnerships with trusted brands in ticketing, fintech, travel, telecommunications, and other industries to introduce embedded insurance solutions that add real value to their customers.
Dec 11, 2024: Sure announced a partnership with CU Financial Group, LLC (CUFG) to launch SimpleQuote, a new digital insurance solution that will allow credit unions to provide their members with seamless access to insurance. CUFG is a credit union service organisation that provides premium insurance products to credit union members at competitive rates. SimpleQuote, built on Sure's digital insurance technology rails, enables CUFG's network of credit unions to provide their members with the first fully digital insurance experience ever available. Beginning with auto insurance, SimpleQuote reduces barriers for credit union members while improving their overall customer experience.
Dec 13, 2024: Conad (an Italian supermarket chain) has announced its entry into the insurance industry with the launch of Heyconad Assicurazioni, an offer designed for customers who own the "Carta Insieme" and "Carta Insieme Più" cards. This new initiative was developed in collaboration with Chubb, a global insurance industry leader. Heyconad Insurance provides customers with a wide range of protection insurance products, including accident-health, home-family, and travel. The new service, which joins HeyConad Spesa for online product purchases and HeyConad Viaggi for travel, strengthens the brand's digital ecosystem, allowing it to further consolidate customer relationships through the provision of quality services. This launch aligns with Conad's omnichannel strategy, which aims to build a relational platform that integrates products, services, and experiences, enriching and diversifying the retail offering to better meet the diverse needs of customers.
Dec 16, 2024: Saga plc signs a 20-year partnership with Belgian insurance giant Ageas. Ageas will manage Saga's home and motor insurance products, including claims, pricing, underwriting, and price-comparison website activities. Saga will manage its branding and direct marketing, earning a commission based on a percentage of gross written premiums generated. Ageas will pay the firm £80 million upfront, contingent on publishing its interim 2025 accounts without'material uncertainty or an auditor qualification' and extending or refinancing a corporate bond maturing in July 2026. Ageas will give Saga up to £30 million extra in 2026 and 2032 if it meets specific policy volume and profit targets. Ageas also agreed to buy Saga's Acromas insurance underwriting business for £65 million.
Dec 16, 2024: Sure, the insurance technology pioneer who unlocks the potential of digital insurance, unveiled its vision for the future of insurance based on Sure's technology rails and network. Sure is developing the technology rails and network to enable digital insurance transactions between carriers, brands, and consumers, much like Visa and Mastercard did for cashless payments. "At Sure, we have a decades-long mindset and a very clear vision for the future of insurance. Through huge capital investment, we have built the technological infrastructure and the technology rails to unlock the first network of insurance distribution," said Wayne Slavin, CEO of Sure. "In what we're building, we're enabling companies that have globally recognized brand loyalty to expand their value proposition by adding insurance to their products and customer experiences. We're already running billion dollar insurance programs through our technology rails, and we're excited about where the next decade will take us."
Dec 18, 2024: WTW, a global insurance broking, has added new artificial intelligence (AI) capabilities to its RiskAgility Financial Modeller (RiskAgility FM), a financial modelling and reporting software technology for life and health insurers. Life and health insurers face new challenges, such as managing increasingly complex products and regulations while ensuring their models accurately reflect the business. The implementation of IFRS 17 and other local regulations adds to the complexity, requiring insurers to regularly update their models to reflect changes in regulations and products. The most recent update to RiskAgility FM makes use of AI and large language models (LLMs), which serve as important accelerators in actuarial modelling. Powered by Generative AI technology, RiskAgility FM now provides transformative improvements in model development, making it easier for insurers to write, refine, and extend model code, as well as explain both the code and actuarial concepts.
Dec 18, 2024: Prudential Financial, Inc. announced a new strategic partnership with Empathy, a leading bereavement support platform, which will provide beneficiaries with a broader range of resources to help them cope with loss and navigate the challenges of the grieving process. Recognizing the need for comprehensive care and support, Prudential Group Insurance is expanding its beneficiary support services by providing access to a comprehensive suite of bereavement tools to assist with the many aspects of loss, including funeral arrangements and obituary writing, probate and estate settlement, and more. Beneficiaries will also have access to dedicated Care Managers who will provide personalised assistance with each task, decision, and challenge.
Dec 27, 2024: Chubb has launched a new digital life insurance product, Endowment Smart Savings, in Thailand via the Shopee platform. The launch marks a significant milestone because it is the first endowment savings product available on an ASEAN e-commerce marketplace that is specifically designed for Thailand. Chubb's close collaboration with Shopee, as well as the market-leading tech capabilities of ChubbStudio, have made financial security and resilience more accessible and user-friendly, allowing the Thai community to confidently plan for the future—all through a market-leading e-commerce brand.
Investments and Funding Rounds
Dec 19, 2024: bolttech announced Dragon Fund, by Liquidity and MUFG, is leading bolttech's Series C funding round, which is expected to be worth more than US$100 million. Other investors include Baillie Gifford, Generali - through Lion River, the Group's private equity company, and others. Following bolttech's record-breaking Series A and B rounds, the Series C up-round values the company at US$2.1 billion, and the investment will help to accelerate its global expansion strategy.
Hand-picked embedded insurance insights and news which are worth reading
The Best Insights on Embedded Insurance for 2024…
#Embedded insurance #insights #2024
· Embedded can help close the coverage gap for life insurance: According to LIMRA's 2023 Insurance Barometer Study, 52% of Americans have life insurance, and 41% of both insured and uninsured people believe they do not have enough coverage.
· Generation Z and Millennials prefer embedded insurance options: According to Polly's 2024 Embedded Car Insurance Study, 79% of Millennials and Generation Z believe that auto insurance should be included as part of the vehicle purchasing process. According to the study, 81% would prefer to buy insurance at the same time as they buy a car.
Embedded insurance transforms brand loyalty: According to Tint's co-founder and CEO, Matheus Riolfi, embedded insurance allows insurers to engage with evolving markets and capture unique risk profiles.
Embedded Insurance's Ascent Across Industries…
#Embedded insurance #rise #industries #2024
Embedded insurance is transforming industries such as travel and mobility, e-commerce, telecommunications, and real estate by providing seamless, context-driven protection right where customers need it. In these industries, insurance is more than just a safety net; it is a value-added service that is integrated into the primary transaction. Whether it's safeguarding a traveler's flight plans, securing a tenant's rental property, or providing device insurance with a telecom plan, embedded insurance adds convenience, trust, and personalisation, transforming insurance from an afterthought to an essential feature. In an era dominated by ecosystem-driven financial services, embedded insurance is no longer an afterthought, but rather a value-added service that provides contextual protection in line with modern consumer expectations for convenience, personalisation, and simplicity. As the ecosystem matures, the incorporation of advanced technologies such as AI and real-time analytics will unleash even more potential. These predictive capabilities will allow insurers to provide tailored solutions, such as dynamic coverage for connected devices or usage-based policies for electric vehicles. Meanwhile, collaborations among insurtechs, banks, and non-traditional players will hasten market penetration, reaching underserved demographics and broadening global footprints.
Open and Embedded Insurance White Papers
We have published six white papers in collaboration with ELEMENT, SAS, Fit2You, Sapiens, Wakam, and Generali.
This playbook – created in conjunction with ELEMENT – sheds light on how MGAs looking to distribute insurance products in the EU are able to leverage the capabilities of an insurer that is specialized in risk transfer to access additional capacity, allowing them to model, manage and deliver personalized customer solutions.
The SAS white paper: Based on new research from SAS and the Open and Embedded Insurance Observatory, this report tracks current trends in the embedded insurance space. It identifies levels of data sharing between insurers and tech enablers, the impact of process automation and how customer experience (CX) is measured - highlighting opportunities for insurers to gain significant business advantages by making optimal use of their data.
The Fit2You white paper provides an introduction to embedded insurance in the mobility space, demonstrating the value that can be added for all stakeholders when embedding insurance as part of a mobility offering. It explores the societal trends and technological advancements that make this type of insurance offering so valuable. And looks at the future potential market of embedded insurance in the mobility sector.
The Sapiens white paper explores how automation is reducing complexities in insurance products and processes - and improving insurer-retailer relationships. It explains how embedded insurance is key to simplifying insurance across the entire value chain and shows how - with the right technology partners - insurers and retailers are empowered to meet consumers' protection needs quickly, efficiently, and affordably.
The Wakam white paper is a playbook that provides an introduction to embedded insurance for non-insurance brands. The playbook scrutinizes the copious benefits of embedding an insurance proposition, provides insights into the various embedded insurance models, and explains how embedded insurance has a real impact on societal trends and consumer needs. It also explains how to easily set up an embedded insurance offering, details real-world use cases, and defines a strategy to ensure your insurance solution's successful implementation. You can download it from the button below.
The Generali white paper investigates and analyzes emerging models in the field of digitally embedded health services and health insurance. Embedded health ecosystems offer insurers an unprecedented opportunity to expand their offering while also contributing shared value to all stakeholders. This paper evaluates the current market for Embedded Health Insurance and Services, examines some of the market leaders, and reveals how insurers can remain competitive in an evolving landscape. You can download it below.
Reports by the Observatory
Our latest report, "Embedding Insurance in Digital Platforms and Marketplaces”. This report, developed in collaboration with Marsh and Sure, explores the growing importance of embedded insurance in the digital economy. It delves into how platforms and marketplaces can leverage innovative insurance solutions to mitigate risks, enhance customer trust, and fuel business growth. With case studies, market insights, and real-world examples, this report offers a strategic roadmap for businesses looking to capitalize on the emerging opportunities in the platform economy.
Insights and analysis from the Open and Embedded Insurance Observatory and its members. Including exclusive interviews, member profiles, analysis of the current open and embedded insurance marketplace, in-depth articles on trends and key topics, and a round-up of recent fundings and investments in this space.
ITC London x The Open and Embedded Insurance Observatory
We are delighted to collaborate with ITC London on January 27–28, 2025. If you are interested in attending, you can use the discount code OEIO10 to get 10% off ticket prices.
2025 London Plenary Meeting
The Open & Embedded Insurance Observatory will hold its first plenary meeting of 2025 on March 18 in London. More information will be shared soon.
The Open & Embedded Insurance Observatory is supported by: Admiral, Ageas, AirHelp, AWS, AXA, bolttech, CDL, Datafolio, Dai-Ichi Life International, DB Schenker, Embri, Epoq, EY, FIT2YOU, Generali, Grab, Guardrisk, Habit, HDI Embedded, Income, Insurely, Jaguar Land Rover, LAMIE, Marsh, Meiji Yasuda, Metlife, Neosurance, Net Insurance, Onsi, Otonomi, Peak3, Quotall, Qover, Reale Mutua, SAP Fioneer, SAS, SimplyBusiness, Stripe. Sure, Swiss Re, Tokio Marine, Travelers, Wakam, Wolt, WTW.
For any information or request, feel free to reach out to us at info@openinsuranceobs.com.
This newsletter is curated by Aashima Malik Research Analyst at the Observatory.