We like to joke that we started an insuretech because we wanted to make money as slowly as possible. It’s a funny, yet exceedingly painful, joke.
We were asked recently to discuss issues that Insurtech companies face in becoming successful. We came up with 5 things that stand between insurtechs and success. Here they are but please note – your mileage may differ.
1) The Maths – All Insuretechs have one super-challenging math equation to overcome –
Risk = Bad
Insuretech = Risk
Therefore, Insuretech = Bad
Insuretechs are busy trying to make themselves more inventive. Which only makes them riskier. As this equation shows us, that’s a bad thing. Much more attention needs to be paid to how Insuretechs can de-risk themselves and make it easier for insurance professionals to rely on them.