In the recent edition of the #OctamileSeries webinar, we hosted Yuri Poletto, Founder of Open & Embedded Observatory, to share insights on embedded insurance with our community of insurers, consumer business founders, leaders and insurance enthusiasts.
The webinar session topic Embedded Insurance: Innovating for Insurers, B2C Businesses & Consumers in Africa, aimed at educating and helping businesses on the continent to leverage the global projected growth potential of a $3 billion market for their insurers, brokers and consumer businesses.
Yuri Poletto has 20 years of extensive experience in the insurance industry, gained both within insurance companies (Assicurazioni Generali, Reale Mutua and Aviva) and collaborating with insurers, reinsurers, and insurtechs, research and consulting companies as an Advisor on insurance innovation.
He founded the Open & Embedded Insurance Observatory in 2021, a global initiative with over 40 members from North America, Europe and Asia. It aims to build and grow the most extensive knowledge base on Open and Embedded Insurance and promote and facilitate their adoption in the market.
Please look at five insights on embedded insurance we learnt on the Octamile Series webinar with Yuri Poletto, hosted by our Founder and CEO, Gebro Dara and moderated by Princewill Akuma, Head Content Marketing at Octamile.
5 Things We Learnt About Embedded Insurance with Yuri Poletto
1. Embedded Insurance Is Not a Buzzword
Yuri kicked us off by saying, “embedded insurance is a topic everyone in the industry is talking about; it is not just a buzzword but a solid model.”
He further defined embedded insurance as “placing insurance products in the day-to-day flow of customer.” When we talk about embedded insurance, we need to think about the utility of insurance, which is protection.
The strategy provides “protection and retains customers” and goes further for an entire value chain beyond distribution, payment solutions and data aggregation.
2. Enlarges the Reach of Insurers
Insurance providers are looking to grow, and embedded insurance today presents the most significant opportunity for the growth they seek.
Consumers are now more open to being offered financial services by non-financial companies, and insurance is the next logical step.
For example, accounting software distributing business insurance to customers opens far greater possibilities for previously obtained insurance, offering incredible growth.
3. Embedded Insurance Makes Insurance Accessible
The embedded strategy is an opportunity to bridge the data gap from marketplaces, fintech and other online businesses to make insurance more accessible. It creates products that meet the needs of customers.
It creates opportunities to reduce manual processes and the ability for underwriters to launch their products in new spaces at almost no further cost for marketing or sales.
4. An Opportunity to Have Loyal Customers
Beyond the economic values of embedded insurance products as a feature or product on their platform, it also creates loyalty and customer retention for such businesses.
The distribution partnership with insurtechs like Octamile leading the embedded insurance aims to create joint value for underwriters, partners and their underinsured consumers.
5. Insurance is No Longer Business As Usual
Brokers, Agents & Insurance companies need a different approach to business as it can no longer be business. Previously on average, an insurance comapny would launch up to 20 products for 3 to be successful.
However, having an embedded insurance strategy will open them up to use data, collaboration and a new pricing model that will ensure the business’s success and more successful product launches.
The session ended with Yuri sharing global trends and insights on embedded insurance he has observed that can impact policies and regulations to enable an accelerated insurance penetration in Africa.
Watch the Full Session on Youtube Below
In Conclusion, “Being more insured is in the interest of society” – Yuri Poletto. Whether you look at it from the perspective of underinsured consumers, businesses and insurers, embedded insurance creates a lasting framework for a win-win solution on the African Continent.