Insuranceciooutlook

A Deep Dive into the InsurTech Startup Inclinations

By Insurance CIO Outlook | Wednesday, June 12, 2019

FREMONT, CA: In 2018 YTD, more than $2.56B has been invested, across 204 deals to insurtech startups — already an annual high for deal activity, says a report. This report brings light to the development of insurance technology landscape, exploring top trends, startups, and new areas of opportunity. Insurtech startups are successfully funded or acquired and established and are beginning actually to compete with legacy insurers. Thanks to a swirl of recent tech innovations and sky-high demand for bigger, better, faster insurance products. The happening proverbial evolution is primarily driven, by insurtech startups that are successfully funded, acquired, and established and beginning actually to compete with legacy insurers.  The below-complied list can help guide insurtech startups to explore the disrupting trends happening around them.

• Cyber Risk Intelligence

 Cybersecurity is a top concern of the insurance industry. Blockchains are already being used to improve security and data storage across the insurance industry.  Additionally, startups are providing cyber risk intelligence by delivering tools for its users to transform the way risks are written. Based on a security-as-a-service platform, they combine threat data, security assessments, and environmental factors to help users see the full risk picture.

• AI-driven Virtual Insurance Agent 

Booming startups are providing artificial Intelligence (AI) powered virtual insurance agent platform that enables them to engage customers via messenger applications. AI-driven, insurance-specific chatbot technology learns from customer interactions and help clients identify and purchase the right insurance coverage, provide timely payment reminders and credit card processing, and provide guided insurance claims processes through their smartphone.

• Single App for Managing Policies  

Insurtech startups are offering customers a range of insurance policies that they can manage from a single application. The application removes third parties, sales teams, and comparison sites entirely out of the equation by facilitating customers to get quotes, purchase, manage, and renew multiple insurance policies via their intuitive app. Meanwhile, claims can be handled via the app in just a few minutes using its real-time messenger service.

• Pre-Insurance Risk Control and Unique Product Customization

Offering pre-insurance risk control and unique product customization is one significant trend among the fresh crop of insurtech startups. Customization and personalization rely on machine learning and big data to combine multi-dimensional data streams about consumer behaviors that help insurers providers to make better-informed decisions and offer unique services.

These insurtech startup trends will have a profound impact on the industry, and many of the old habits of the industry will likely be replaced by technological tools that offer better results, lower costs and happier customers.

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