Insurtech Magazine July 2023 | Page 54

EMBEDDED INSURANCE

FintechOS

: A New Way Forward
WATCH NOW of these three where we see the magic in creating a superior customer experience coupled with real underwriting advantages to develop customised products , while at the same time driving down acquisition costs . The proliferation of the on-demand workforce means that the symbiotic relationship between platforms , insurtechs and customers has become evermore paramount , especially as insurtechs have the ability to underwrite policies more accurately .”
However , the CTO at Swan , Mathieu Breton , notes that despite nurturing a strong relationship between insurtechs , insurers and customers , the proliferation of embedded insurance will further highlight the issue of the ‘ Russian doll ’ effect . This is where an insurtech company “ embeds finance and then goes on to offer its own embedded insurance offering ”. As such , he explains that this “ is where the lines blur – particularly for regulation – and this is where risk education for both the companies and end consumers becomes important ”.
The fintech relationship status Although complex regulatory requirements may slow the growth of embedded insurance products hitting the market en masse , it has done little to deter insurtechs and insurers from striving to achieve proliferation in the long run . In fact , a report by InsTech London found that the embedded insurance market could grow to US $ 722bn in gross written premiums by 2030 , around 600 % more than the size that it is today .
Embedded insurance providers continue to onboard fintech solutions before going
54 July 2023