Brands enjoy a new opportunity to add value to their customer ’ s purchasing experience and help grow trust among their customer base , setting the stage for repeat purchases . Consumers , who are often underinsured , enjoy security and peace of mind that comes from good insurance protections . It ’ s a win-win scenario for consumers and brands alike ,” Russell states .
Bridging coverage gaps Traditional insurers often struggle to meet the demand for certain types of coverage due to legacy system limitations and complex risk models . Russell explains : “ Traditional insurance models are deliberately designed for long-term stability and consistency of products , risks and distribution channels . However , from well-known legacy system limitations to complex risk models that require significant historical data sets , this approach gives them a structural disadvantage with consumers and markets with rapidly changing coverage needs - and those who demand a modern , digital-user experience .”
Embedded insurance helps bridge these gaps by creating a customer-centric global experience that brings multiple underwriters to the table . “ The protection needs for customers in the US will differ greatly from those in the UK , and embedded insurance is able to constantly evolve with those customer needs through A / B testing , data analysis and slight modifications so brands can provide customers with the right protection , in the right place and at the right price ,” adds Russell . insurtechdigital . com 147