June 19, 2018
With the evolution of bank-FinTech narrative from competition to collaborative innovation, the insurance industry was bound to follow the steps, re-evaluating risk management frameworks in place, re-building customer experience, and overall, taking a fresh look at the insurance value chain to explore opportunities that technology companies offer.
InsurTech innovation is occurring across the entire insurance value chain – from distribution and marketing, product design, underwriting, claims management & balance sheet management, and across all lines of insurance – property and casualty, life and health. Distribution is the area of highest focus. InsurTechs are reaching new customers through new distribution mediums – addressing generational shifts in the way people communicate, access information and make decisions – while not disturbing traditional channels. – NAIC
In the past few years, more than 75% of funding deals in InsurTech have been led by traditional insurance incumbents. Such investments enable them to evaluate the capabilities of these startups and then go for a strategic partnership via a pilot/actual implementation. The MEDICI Team recently analyzed InsurTech partnerships of 25 insurance incumbents, categorized in the following major areas of operations:
Digital Claims Management &a ...