ILC ARTICLE

Breakfast news 3 November

2nd November 2021

ClaimsTech 

InsurTech investment at all-time high 

Consolidated global investment in insurance technology start-ups has surpassed $10bn in a year for the first time ever. A record-breaking $10.5bn has been raised during the first three quarters of 2021, meaning it is now only $12m short of the combined 2018 and 2019 total. 

According to the Quarterly InsurTech Briefing from Willis Towers Watson, the total deal count for the first nine months of year was 421, with 113 ($3.1bn) coming in the third quarter alone.  

Europe at tech crossroads 

Deloitte has produced a report looking at how attractive Europe is for tech companies and considering where the sector could be in a decade. 

It has identified four potential outcomes, two of which are positive. One sees the tech boom continuing through the 2020s and creating at least two companies valued at more than $1tn by 2030, while a second suggests Europe will remain a hotbed of innovation and fertile ground for start-ups, although none reaches the $1tn valuation.  

However, a third potential outcome could be stagnation and a continued power shift to the USA and Asia, while a fourth outcome could be a lack of investment leading to decline and even greater disparity. 

Acko achieves Unicorn status 

Motor insurance provider Acko is the latest Indian start-up to become a unicorn. The Bangalore insurer, which is disrupting the sector with a digital-first proposition selling bite-sized products, raised $255m in a new financing round, bringing its all-time investment to $450m. 

It joins nearly three dozen Indian firms to become a unicorn this year alone. 

ThingCo makes UK innovators list 

ThingCo, which delivers next generation telematics, has been named in the inaugural Insurtech 50 2021 for the UK. 

The list is compiled by Business Cloud and comprises the UK’s most innovative insurance technology companies. ThingCo was ranked 11^th by an independent judging panel and a public vote. 

First view of SightCall 

SightCall will introduce its latest product, SightCall Digital Flow, during a free webinar on Wednesday, 10 November.  

The automated solution is being introduced to streamline the claim process, ensure seamless data collection, provide a more modern experience for policyholders and drive better business outcomes.  

Motor 

Back to the Future stars revealed

ARC360’s much-anticipated return to physical events features an expert line-up of industry leaders all set to consider what the recent past might mean for the future.

The central function of claims

Covea chief executive officer Adrian Furness used his keynote interview at the ILC Exclusive Motor Claims Conference to champion the role of claims within insurance while also calling on the industry to stop ‘shooting itself in the foot’.

Insurers incentivise EV switch 

LV= General Insurance and Direct Line have both taken steps to accelerate the switch to electric vehicles 

ElectriX, powered by LV=, helps drivers select the model that’s right for them by providing both an overview and detailed insight into the basics of electric vehicle ownership, charging, and cost implications. 

Meanwhile, Direct Line has partnered with Zoom EV to offer all new car insurance customers a free bundle of discounts and benefits designed for hybrid and electric vehicle owners. 

Green partnership makes national awards shortlist 

The shortlists for the MRW National Recycling Awards have been announced with The Green Parts Specialists and Ageas Insurance shortlisted for the Partnership Excellence – Commercial Award. 

The awards recognise inspirational teams and projects in the recycling and resource management industry and are considered the most prestigious in the sector. 

The duo have been shortlisted for their green parts initiative. 

The winners will be announced on 8 December at a joint event with the National Recycling Conference. 

Covea confirms Verex partnership 

Covéa Insurance has announced a new partnership with Verex Group which will enable customers to buy manufacturer-branded motor insurance at the same time as purchasing a new or used vehicle from within the Verex alliance. 

Covéa Insurance joins an existing panel of insurance underwriters to provide broader capacity to support the market growth in electric vehicles. 

Allianz appoints repair partners 

Allianz Insurance has appointed two national suppliers and six regional groups as its repair partners.  

ADAS recalibration and the ability to repair electric vehicles were key considerations when it selected its Approved Repairer Network, as was the ability to provide green parts. Allianz has also decided to work with repairer groups that are certified carbon neutral or working towards it, and whose methods prioritise repairs over replacement. 

NCAP safety ratings revealed 

Four out of the five vehicles included in the penultimate round of Euro NCAP testing achieved five stars for safety.  

Ford’s first all-electric SUV, the Mustang Mach-E, received the top rating, as did the Hyundai Ioniq 5, the Hyundai Tucson, and the Toyota Yaris Cross hybrid. The Hyundai Bayon achieved four-stars in Euro NCAP testing. 

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SLVRCLD wins innovation accolade 

SLVRCLD has been named the ‘Most Innovative InsurTech Start-Up – Western Europe’ by Wealth and Finance International. It was recognised in the company’s FinTech Awards section.   

SLVRCLD, which is short for Silver Cloud, provides an automated claims solution enabling insurers, brokers and administrators to quickly quantify and settle their non-motor content claims.  

HomeServe acquires CET 

International home repairs and improvements business HomeServe has acquired leading UK claims management specialist, CET. The deal will bring together HomeServe’s home assistance cover with CET’s home emergency assistance. Combined, the two businesses serve around 4.9 million homes in the UK.  

CET will continue to operate as before with the existing management team and infrastructure. 

FloodFlash targets international expansion 

UK start-up FloodFlash, which offers parametric flood insurance to the mass market, has announced a landmark agreement with Munich Re which will it says will provide a platform for international expansion. 

Munich Re already provided capacity for FloodFlash’s consultancy service FloodFlash+, but following this deal it will also provide capacity for the main FloodFlash business, which provides rapid-payout flood cover for SMEs and landlords. 

Market News 

ABI announces COP activity 

The ABI has unveiled its schedule of events taking place at COP in the next fortnight. Today (Wednesday, 3 November), in a session entitled, Risk Sharing in the Climate Emergency, it is bringing together senior representatives from insurance, regulators and governments to discuss environmental responsibility. 

Tomorrow, its session, Mitigate, Adapt, Invest, will ask how insurers can help customers prepare for climate risks, while Friday will see the ABI host a conversation about how the industry can transition to net zero. cusmers to make sustainable 

Lloyd’s joins NZIA 

Lloyd’s has announced it is joining the UN-convened Net Zero Insurance Alliance, underlining its commitment to cross-industry collaboration to mitigate the impacts of climate change and support the transition to net zero. 

By joining the Alliance, the Lloyd’s Corporation is committing to transitioning all of its operational and attributable greenhouse gas emissions to net-zero by 2050. It will also publish results against its own targets every five years. 

Report reveals motor insurance profits 

A new study has revealed the huge profits motor insurers made during the pandemic, often at the expense of their customers. 

According to the findings of ‘Profiting from Pandemic Premiums‘, published by ACSO, motor insurers benefitted by an average of £118 per policy. It pointed to ABI figures suggesting that claims fell by nearly 20% in the last 18 months while premium prices were reduced by just £25.