When VCs made their bets in the chaotic world of 2020, insurtech came out a clear winner. So what’s so alluring about insurance mixed with digital capabilities? Massive amounts of data, a frictionless quotes to claims process, and the promise of more good things to come – digital and insurance are a match made in heaven, though the insurance industry as a whole has been slow to get moving on new technologies. In this special report from the Boston Consulting Group, professionals from around the world give an insider’s view of insurtech.
Pandemic restrictions inspired the insurance industry to pack five years of digital transformation into one.
Hurricane Katrina was the most devastating event in the history of the insurance industry, but the pandemic is a close second, spurring the loss of $55 billion dollars. Still, the first years of the 2020s have been productive ones, if only in terms of digital transformation. Social distancing required the industry to accelerate digital progress, and investors are easing the transition with record-breaking funding.
From quotes to claims, digitization can provide solutions at every step of the insurance value chain. The BCG FinTech Control Tower compiled a report on the “state of insurtech,” with interviews with C-suite executives confirming that the demand for digital capabilities is at an all-time high, a fact that’s reflected in massive increases in equity financing for insurtech...
Aaron Block, Jürgen Bohrmann, Mikolaj Boltuc, Guglielmo de Stefano, Jean-Werner de T’Serclaes, Nick Gagnon, Or Klier, Rahel Lebefromm, Gareth Ng and Pauline Wray are professionals with the Boston Consulting Group.