Insurtech’s Quiet Revolution: Real Successes Behind the Headlines

Despite widespread claims about the death of insurtech, the reality is that it is very much alive and thriving, particularly within the kitchens of major insurance carriers. These successes are less about flashy technologies and more about strategic innovations that have yielded tangible competitive advantages. A prime example is Progressive’s use of telematics to improve pricing sophistication, resulting in significantly better loss ratios compared to competitors over the past decade. Other carriers, like Hanover and Unipol Gruppo, have also leveraged technologies such as IoT and beyond-insurance initiatives to achieve impressive results, emphasizing that insurtech’s true impact lies in the thoughtful application of new data and technologies.

While the headlines might focus on the failures and downturns within the insurtech sector, these are more accurately seen as natural selection, filtering out what doesn’t work while highlighting the initiatives that drive real value. Innovations in risk prevention, customer engagement, and pricing strategies are not only sustaining but also enhancing the business models of savvy insurers. The message is clear: insurtech is not dead, but rather, it’s maturing into a powerful force that is reshaping the insurance landscape from the inside out.