InsurTech Startups Leveraging Technology to Transform the Car Insurance Industry

June 26, 2017     By : India Persson

Everyone needs insurance, so it shouldn’t be complicated or tricky. That’s why across the globe, entrepreneurs are rising to meet the challenge of making it affordable and simple for all. To alleviate the difficulties and excessive expenses surrounding car insurance, many InsurTech companies offered solutions to lower costs through the use of data collection by telematics or providing comparison services to help clients find the cheapest options available to them. InsurTech startups are revolutionizing the way insurance companies are run by creating a new level of transparency between industry and client.

In addition to some InsurTech companies from our last list of startups disrupting the car insurance industry, the LTP took note of newly emerging companies to create a new list as seen below.

To find out more about the InsurTech industry and other notable companies operating around the world, visit MEDICI, FinTech’s global knowledge network.

InsurTech Startups Leveraging Technology to Transform the Car Insurance Industry

Accuscore utilizes a smartphone app, telematic devices, and video cameras to provide drivers with accurate driving risk predictions to ensure the most effective loss-prevention program for commercial insurers.

City Mile is a usage-based platform which collects driver data and works to better driver behavior.

ClaimDi is a mobile application for facilitating communication and claims between drivers and their insurance companies. The drivers or car owners can download Claim Di and shake the phone near the phone of another party who also uses Claim Di. The insurance companies of both sides will issue claim reports via the Claim Di application, drivers can then separate immediately without the need to wait for surveyors.

CoverHound is an InsurTech company for consumers and businesses to compare and purchase insurance, including car insurance, built to deliver accurate and actionable rates from US carriers based on specific needs.

Cuvva was launched in October as an iOS app that enables the user to sign up, get a quote and buy cover in less than 10 minutes. Cuvva offers a completely digital experience run from a smartphone. It is a totally new type of UK car insurance that gets users covered on a car for only as long as they need it – from a single hour to a whole day.

Drive Spotter aims to keep the roads safe by utilizing real-time analytics. First, data is collected from a dash camera. Then, it is analyzed, and drivers receive feedback.

Driveway is a cloud-based, smartphone-only AI which assesses driver behavior to calculate behavior-based premiums for insurers and provides safe drivers with an opportunity to save money.

Friendsurance is a P2P insurance company based on a shareconomy approach where small groups are rewarded for not having any claims at the end of every year.

Goji combines the personalized, comparison shopping experience of a local agent with the ease and convenience of buying car insurance directly from a carrier.

Guevara offers a whole new way to think about car insurance. The service allows users to pool premiums online to save money. Unlike traditional insurance, any money left in the pool at the end of the year stays with the group and lowers everyone’s price next year. Users that keep claims low can save up to 80%.

Insuremyrentalcar.com offers insurance covering Loss Damage Waiver (LDW) up to $100,000 if the car is damaged or stolen. Daily policies start at $5.00 per day compared with coverage at the rental desk which costs around $27 a day*, a saving of nearly $22 per rental day. The website will also offer single trip policies starting at $17.50 and annual policies starting at $93.99. Annual policies offer particularly good value for regular users.

Lemonade is a P2P platform revolutionizing insurance by taking a fixed fee from monthly payments, paying for some expenses, and then using the rest of it to pay out claims. Leftover premiums are given back at the end of the year.

Metromile has created a device that captures mileage data to determine how much a person should pay for their car insurance policy. Free plug-in device turns ordinary cars into smart cars. The device works with Metromile’s smartphone app (Metronome), which diagnoses the health of the car, location and offers tips to help the user with their daily commute.

Octo is a telematics company specializing in providing data from high-tech analytics.

Okchexian is a China-based company with the intentions of reinventing car insurance and encouraging better drivers through the use of smartphones.

RenewBuy is a motor insurance company that allows to renew car insurance in a couple of minutes, providing quotes. RenewBuy focuses on car & bike insurance and aims to offer the lowest premiums and issue your policy instantly. The platform works in real time and provides the best available price specific for the vehicle model.

Root uses a mobile app to collect driving data to save safe drivers more money.

Snapsheet provides virtual claims technology to personal and commercial auto insurance carriers. The Chicago-based company services auto insurance carriers through Snapsheet’s Virtual Insurance Claims Exchange platform, which improves the estimation process for auto repairs from virtual photo submission to optimize the estimating processing through final repairs and payment. Snapsheet currently serves 45+ insurance carriers. From 2015 to 2016, Snapsheet achieved 100% YoY growth.

TaCerto is an online insurance broker specializing in sales of car insurance, health insurance, travel insurance and other financial products. It is duly authorized by the Superintendent of Private Insurance (SUSEP). Through their online portal, buyers can also compare insurance from insurers like Allianz, AIG, MAPFRE, etc., and buy them over a call or online. The company claims to provide an online innovative service to learn about, compare, and purchase financial products and services.

The Floow uses advanced technology to process data from various sensors and guarantees accurate data. It uses six different criteria to calculate insurance risk.

The Zebra is the nation’s largest quote comparison platform which focuses on car insurance. Car owners can anonymously compare dozens of insurance companies in real time and begin seeing estimated quotes with as little as two pieces of information. Real-time updates provide a transparent shopping experience.

Trov allows clients to choose what they insure and change at any time. Claims are made through text messages for convenience.

TrueMotion (formerly Censio) is a smartphone-only, usage-based insurance platform that helps increasing adoption, reducing costs and collecting better data to drive risk algorithms.

VivaDrive offers a PaaS to analyze driving data, provide feedback to drivers, and encourage safer driving through gamification and rewards.

Wunelli has a large database of driver stats stemming from its extensive research to grant drivers and companies alike easy access to accurate data.

Note: These InsurTech startups do not represent an exhaustive list; more companies can be found here. If you would like to suggest an addition to this list, please contact follow@letstalkpayments.com.

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