Fintech, Edtech etc are cluttered or done, investors are now looking at InsurTech as redefined by companies like Policy Ensure
As per google search- Insurtech refers to technological innovations that are created and implemented to improve the efficiency of the insurance industry. Insurtech powers the creation, distribution, and administration of the insurance business.
An Insurtech ecosystem is made up of an integrated and well-orchestrated set of services and technologies to provide consumers with prevention, assistance and emergency services, remedy and monitoring and insurance.
“The global insurtech market size is expected to reach USD 152.43 billion by 2030, registering a CAGR of 51.7% from 2022 to 2030. Shift towards cloud computing.”—Globe Newswire, March, 2022
Covid Times have given a significant attention and importance to tech enabled insurance services. The sector has grown in a big way just like healthcare, digital and essentials goods.
Investment interest in insurtech comes from the venture capital sector, hedge funds and private equity capital, as well as established property/casualty insurers, or “incumbents.”—businessinsurance.com
As an investment portfolio, the sector is still very lucrative if scanned with investor’s eyes.
- The entry is available to only sincere players with commitments to government regulators.
- The ones who understand this sector exhaustively with governance structure of core insurance.
- It is not cluttered with too many players or driven by offers or infusing loads of funds only.
“For Policy Ensure, we started in 2017 with only seed fund of just a million dollar, today we have a reach at more than 6000 pin codes and a revenue –valuation of 100X. Still there is so much to grow. The market is big and sincere players are very less. We shall be now going for formal phase of funding to fuel in the rapid growth” says Rahul M Mishra, Co-Founder, Policy Ensure.
“We’ve been predicting the pace of investment would continue due to the opportunities to transform the industry. The disruptive technologies in the industry continue to attract interest from investors,” said David Hoffman, Westfield, VP and Research director at Forrester Research Inc.
The investments in Tech firms and startups are preferred by investors these days. However, investors are also critical on the RoI that they eventually get from the time they invest and when they want to make exit.
“That’s where the InsurTech is a righteous option for them. If driven by seasoned industry professionals and not with a typical startup mindset of pumping in money and shall see later the outcomes. The credibility matters a lot in this sector as well as the physical distribution network. The RoI is massive and the numbers are real” as detailed by Pankaj Vashistha, Co-Founder, Policy Ensure.