Digitization and technology investments are the biggest challenges in modernizing distribution and growing sales, according to more than half of respondents to a recent AM Best survey of P&C insurers.
According to the survey, 56% of respondents see digitalization and technology investments as major barriers to retail overhaul. An additional 36% said improving the customer experience or understanding consumer trends were significant technology challenges.
In other results, 70% of companies surveyed say they are moderately or very satisfied with their retail innovation efforts.
About 50% said they weren’t considering new distribution channels, although nearly 25% said they were considering a direct-to-consumer model.
Only 18% said they were considering freelance agents or other traditional channels.
The best comprehensive special report is “The rapidly changing digital environment is reshaping distribution for P/C insurers”.
CLARA Analytics launched CLARA Optics, a software product that uses AI and machine learning to scan, sort and analyze medical bills and documents to create a claims-based medical record.
CLARA provides artificial intelligence technology for the commercial insurance industry.
CLARA Optics is the latest generation of its medical record product, previously called Treatment Synthesis. The new release adds smart alerts and analytics designed to help claims staff better respond proactively to changes in each case, the company said.
It automates the transcription of medical records, extracts and organizes the important details of each claim, and then makes this information available to adjusters and nurse case managers.
Boost Insurance, maker of a digital insurance platform, has added former CoverWallet chairman Jim Ermilio to its board as an independent director.
Ermilio was president of CoverWallet, a digital insurance platform for small and medium businesses, for five years until Aon took over a few years ago. Prior to that, he was CEO and Board Director of Goji, a data-driven home and auto insurance platform. Ermilio also has previous experience as an executive with The Commerce Group (acquired by Spain’s MAPFRE in 2008) and served as executive director of the Massachusetts Office of Business Development.
Boost has an integrated insurance-as-a-service platform designed to enable innovative companies across all industries to create, integrate and manage programs for their customers. It also has a managing general agency (MGA) subsidiary, Boost Insurance Agency, Inc., which is licensed to issue any type of insurance in all 50 states.
Insurtech MGA Sigo Seguros has raised $5.4m in seed funding designed to help grow its business and reach.
Listen Ventures and Chingona Ventures led the round, which also included participation from Revolution’s Rise of the Rest Seed Fund, ERA’s Remarkable Ventures, Kern Venture Group, Arcus Financial co-founder Edrizio De La Cruz and existing investors Fiat Ventures and Newlin. CV.
Sigo Seguros also raised $1.5 million in pre-seed funding in 2021.
The insurtech start-up focuses on reducing the insurance gap within Latino and immigrant communities. Its main auto insurance product, launched in August 2021, removes predatory fees and biased rate factors that are a disproportionate minority. Additionally, its underwriting process does not take into account immigration status, credit score, level of education or type of employment, the company said. It also claims to be the only insurance company in the United States that can provide full support in Spanish to Spanish-speaking customers and potential customers.
Sigo Seguros made his debut in 2019.
State Auto’s investment arm has joined the $5.25 million funding round for Relativity6, an AI platform designed to help improve business underwriting flow as well as business classification and segmentation.
Fin Capital led the funding for the Boston-based insurtech startup. State Auto Labs Fund also participated, along with Vectr Ventures, Cortado Ventures, Angel Ventures and a number of “strategic people” from the insurance, financial services and data industries.
Plans are to use the money to boost commercial insurance underwriting sales efforts. Relativity6 will also expand into new financial services markets and continue to develop more critical business data points.
The company’s proprietary real-time APIs are designed to retrieve up-to-the-second information about a business to automatically detect its 6-digit North American Industry Classification System (NAICS) code and verify its numerical existence.
“We provide a critical operational asset, enabling businesses to rank a business quickly and confidently,” Relativity6 CEO and co-founder Alan Ringvald said in prepared remarks.