With the worldwide insurance market worth nearly £4trillion, and £2.1billion invested in insurtech last year alone, it’s not surprising that there’s a feeding frenzy going on among service providers. Because, as the latest Future of Insurance publication from Raconteur clearly reveals, everything is up for grabs.
Right across the value chain, from law firms and big data specialists, to Silicon Valley entrepreneurs and fintech pathfinders, there is no shortage of hungry businesses ready and able to move into the insurance space – a fact clearly reflected in the advertisements in the Raconteur paper.
Our analysis of its contents reveals the wide range of players and the main areas of focus for insurtech. Consultancy services, software solutions and customer experience dominate, with a large number of new entrants and technology providers highlighting their skills as risk managers and data specialists. All are poised to disrupt the industry in the same way that fintech transformed banking.
The issues discussed in the paper, such as machine learning, blockchain, analytics, ethics and regulation, are the backdrop for the growth in consultancy and software solutions and the quest to improve customer experience. This is where insurtech comes in, with the commercial features and advertising underlining the credentials of those presenting themselves as agents of change.
According to the latest Gartner research, by 2018 the majority of insurers will either have acquired an insurtech company or be working closely with one. This is reinforced by Accenture, which notes that 40 per cent of UK insurers are already partnering with non-insurance companies, while 46 per cent are either already working with startups and other third parties or have made it a business priority.
So the question is: in a crowded field, with startups and fintech veterans clamouring for attention, which type of service provider is best placed to help insurance companies? Who should insurers turn to in a marketplace increasingly shaped by big data, the internet of things, and advanced analytics?
RDT has compelling advantages for insurers in search of a reliable technology partner. As an insurance technology specialist with more than 25 years of experience, it combines stability with deep industry knowledge. It has pioneered many of the automated solutions that are now standard, and is continually pushing the boundaries with innovative products.
RDT’s collaborative approach provides a creative focus and energy that encourages true innovation, much like an accelerator or an industry ‘sandbox’, and always with close attention to regulatory requirements. In developing new products, either bespoke or for widespread use, RDT ensures that every development is founded on a clear business case and a firm understanding of the needs of underwriters and consumers, as well as the requirements of regulators.
RDT’s insurance pedigree is supported by rapid development and fast delivery. While startups may have speed and enthusiasm, they lack the experience and dependability of an established player. RDT’s cloud-based model enables insurers to move quickly and selectively, building applications when and how they need them.
RDT combines the speed and agility of a startup with the benefits of a proven insurance expert-turned-disruptor. With RDT as a partner, insurers can follow a secure and innovative path in a fast-changing landscape.