Just a few years ago, fintechs or financial technology startups like Mint and Square were exciting new ventures.
Fast forward to 2017 and they’re fully established international companies with hundreds of employees. There’s now a new type of startup that’s attracting a lot of interest from clients and investors alike – a totally unique brand of fintech that’s perfect for students and new grads looking to apply their analytical and technological skills to create amazing new products and launch exciting careers.
They’re called insurtechs – startups focused on evolving the technology used in the Insurance industry.
Insurtech – A Marriage of Innovation and Insurance
It’s safe to say that much has changed since the Insurance industry was first established. Of these changes, the biggest would have to be the massive shift in technology that is now a part of our daily lives. While Insurance companies have adapted to keep up with technological innovations, leaders in the industry continue to ask – what more can be done? This is where insurtechs come in – to seek out and develop new ways to benefit the consumer through technology.
In the past, people visited their local Insurance brokerages in-person to browse through and select an insurance plan that’s right for them. They would change the terms of their plan with their broker over the phone and likely submit claims on paper. These days however, there’s a growing preference among customers to do all of this online, creating a need for streamlined, user-friendly Insurance platforms that are easily accessible on all devices. That’s why insurtechs like the Toronto-based Zensurance are offering consumers a new interface to navigate their insurance online. Extensive digital education on available coverage, fully updated portals that depict current plans and 24/7 online helplines – these are some of the new features that insurtechs are providing clients with the end goal of producing a more positive customer experience around Insurance.
Real-Time Behavioral Data
The days where Insurance companies would need to dig for data are over. Thanks to the emergence and widespread usage of data-gathering technologies, Insurance companies have more than enough data on real-time consumer behaviour. But data cannot sort itself – it needs intelligent applications that know what they’re looking for to make meaning of big data and incorporate it into the current way insurance plans are created and customized. As a result, most if not all insurtechs have a data-analysis component to their product – a way by which to use big data to help the consumer get the insurance coverage they need.
Creating an Insurtech Pipeline
Now that we’ve established that there is a clear need for insurtechs – how do we make sure that they’re able to find the funding they need? That’s where organizations like the Insurtech Accelerator Program come in.
It’s a dedicated insurtech accelerator created by Aviva and Ryerson University to support and grow insurtech startups. The partnership, which is with the Digital Media Zone, a startup accelerator at Ryerson University, gives insurtech startups a place to work, capital to fund their venture and the opportunity to present to top Aviva executives for the chance to expand and develop their startup with further investment and mentorship. It’s one of the many ways that Insurance companies are reaching out to startups interested in the field of Insurance and giving them a chance to evolve their business.
Another way the Insurance industry is keeping up with this increased demand to utilize new technology and attract top tech talent is through the construction of cutting-edge facilities. Just take Aviva’s Digital Garage – it’s an interdisciplinary space where developers, designers and technicians alike can work together in a modern, flexible and open environment. By investing in spaces that push the creative and technological boundaries of a traditional office, Insurance companies like Aviva are attracting and inspiring tech talent to harness big data in new ways and stay at the forefront of technology.
A Growing Need for Insurtech-Innovators
For students or new grads looking to make their mark in a highly respected and high-earning field – insurtech is for you. Especially if you’re interested in information technology (I.T.). or data analysis – insurtechs are always in need of young professionals who are comfortable with working with data and creating new technologies to navigate and use them in meaningful ways. If you love working with data, speak the language of technology and find the issues insurtechs are solving interesting – a future in insurtech is waiting!