The Perils and Promise of Insurtechs
Funding is up for insurtechs, but the number of new entrants is declining.
Insurtechs typically fall into one of three categories: distribution, risk-bearing carriers or focused service providers filling holes in the value chain.
Among the largest insurers, building a stake in the insurtech movement takes various forms, including direct investment, acquisition and supporting tech accelerators.
Because of their legacy and sheer size, most insurers' cultures make it difficult to act with agility. The nimble, focused nature of insurtechs can help insurers' respond.
Reinsurers are finding new routes to the customer, both through primary clients and by creating alternative brands.
