InsTech, has launched its “State of Irish Insurtech Report 2024, to position Ireland as a global centre for insurance innovation, where industry giants and start-ups can come together to collaborate and create the next generation of insurance solutions.
The findings of the new report were presented to Minister of State for Financial Services, Credit Unions and Insurance, Neale Richmond in a productive meeting on the potential for the sector.
As the independent, neutral convener InsTech.ie plays a pivotal role in Ireland becoming a leader for insurance technology and insurance innovation. It champions Irish Insurtechs, supporting them to scale into international markets, by building awareness of the depth and breadth of insurance innovation emerging from Ireland. Founding members include AA, Allianz, Aviva, Axa, FBD, Irish Life, VHI, Laya, Scor, Unum and RSA/123.ie.
One of the first activities InsTech.ie conducted back in 2022 was the mapping of the indigenous Insurtechs in Ireland. Each year InsTech updates this map and it has now grown to 114 Insurtechs. To coincide with the release of the latest version of the map, InsTech.ie conducted a survey of Irish Insurtechs to gain a better understanding of the landscape in Ireland and learn more about how it can support them to scale and encourage better, stronger collaboration across the ecosystem.
On receiving the report Minister for State at the Department of Finance, Neale Richmond said, “Innovation in the Insurtech sector has the potential to pass on huge benefits to customers. Ireland hosts all of the world’s top 10 global software companies and 11 of the top 15 global insurers. With a strong track record in both insurance and technology, Ireland has all of the elements to create a powerful cluster of insurance innovation and is a natural hub for the next wave of disruptive Insurtech firms. This InsTech report gives us a framework to explore the opportunities.”
On the launch of the report InsTech.ie CEO Gary Leyden said, “We have seen huge growth in the number and funding of Insurtech startups in Ireland and it has the potential to be a global centre for insurance innovation . The main finding of the survey this year is that there is an acknowledgement between incumbents and startups in the insurance sector that they can work together to a greater extent and have an increasing appetite to do so. This has the potential to deliver better experiences to consumers. “
Leyden added, “InsTech.ie will be the forum to encourage greater innovation and we will be announcing more initiatives to support incumbents and startups collaborate and innovate together in the coming months.”
Some key findings of the survey in the report include:
Background of Founders: 39% of founders came from an insurance background. Interestingly, a greater number of respondents stated that they came from a non-financial services background.
Ambition: 90 percent Insurtech startups are seeking to enter into new markets.
Challenges: Founders listed “resistance to change” as the main barriers to implementing technological innovations in the insurance industry.
Potential for innovation: 68.7percent of stakeholders surveyed said emerging technologies (e.g., AI, blockchain) were “essential for innovation and growth.”
Ireland has witnessed a range of successful startup ventures, with the Irish Insurtech cluster being led by Fineos. Fast-growing companies such as Kota and DOCOsoft are also providing crucial technological solutions for the insurance industry. Working with their large incumbent members and these startups InsTech.ie aims to accelerate further collaboration and innovation in the industry.
For the full report please download here: https://www.instech.ie/2024-irish-insurtech-report
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