Nov 10, 2020

Digital interaction high on agenda for UK SME’s post-COVID

Digital insurance
Rhys Thomas
2 min
McKinsey finds UK SMEs will look to cut out brokers and adopt a digital-first approach to insurance once the pandemic subsides
McKinsey finds UK SMEs will look to cut out brokers and adopt a digital-first approach to insurance once the pandemic subsides...

Digital interactions between SMEs and their insurers in teh UK have taken on greater importance during the COVID-19 pandemic and look set to dramatically increase once things return to ‘normal’.

Research from McKinsey identified a growing need for insurance firms to offer micro, small and medium-sized enterprises digital channels to access their services. 

Convenience and efficiency are the primary reasons SMEs say they preferred digital to human interaction, and they are likely to rely on technology more once the crisis subsides. 

Pixels over people

More than a fifth of SMEs questioned said they expect to use digital channels more in the future, even as human interaction increased due to the complicated nature of coverage during the pandemic. 

McKinsey found a greater number of businesses will also look to cut brokers out of the equation entirely once the pandemic has died down: “The number of SMEs that believe they will use brokers less or not at all post-COVID-19 has risen 10 percentage points since May, and 17 percent of all SMEs indicated they would stop using in-person communication with their insurer once the pandemic is over.” 


Smaller enterprises - 30% of which find the new-product journey “extremely challenging” - are seeking a transparent “retail-like experience, with simple, intuitive interfaces, journeys, and language”. 

The findings align with polls in the US, which found adoption of digital channels in the P&C claims process is up 18% in the past three years. Customer satisfaction was also higher in those who used websites and mobile apps. 

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Jun 17, 2021

Flock and Aioi Nissay Dowa reinvent fleet insurance

2 min
UK insurtech Flock and Aioi Nissay Dowa Insurance enter a partnership to change commercial fleet motor insurance is priced and distrubuted

UK-based insurtech Fock has announced today that it has entered a partnership with Asia’s largest insurance company, Aioi Nissay Dowa Insurance (AND-E) to “reinvent” commercial motor insurance for modern fleets. The two companies plan to change factors such as pricing and distribution. 

Flock and Aioi Nissay Dowa have worked together over the past six months, developing two connected motor fleet insurance products which are currently available to self-drive hire, own goods, courier, and tradesperson fleets across the UK.  

Part of the MS&AD Group, Aioi Nissay Dowa Insurance is one of Asia’s largest insurers, and the combination of its experience with Flock means that fleet managers can now access insurance tailored to their operations and designed to help improve safety over time.  

Commenting on today’s news, Flock’s CEO, Ed Leon Klinger, said: “We believe the insurers of the future won’t simply pay claims; they will also actively incentivise and enable motorists to drive more safely and reduce risk. Together with AND-E, we are excited to be pioneering this approach. The AND-E UK team shares our vision of combining insurance with cutting-edge technology to create a safer, smarter world. This is only the beginning and I believe together we have the potential to transform how the world thinks about motor insurance”.

Using Flock’s technology to save money

Flock’s technology is able to connect to vehicle telematics and analyse millions of data points to accurately price policies based on both the size and safety of each fleet. This allows customers to be rewarded with lower per-mile prices for safer driving. 

This announcement comes after the launch of Flock’s commercial motor division at the end of last year. The company says that since then, it has helped its initial customers achieve a saving of 25% over their previous insurance policy, as it begins to grow its large fleet insurance business. This includes the vehicle transportation firm, Engineius, Jaguar Land Rover’s ‘The Out’, and all-electric self-drive hire company, Elmo, all of which have signed up as customers.  

Chief Executive Officer of Aioi Nissay Dowa Insurance, Warren Hetz, said: “The motor insurance industry is at a crossroads as insurance, technology, and mobility converge, and this is creating a world of opportunities to improve road safety as well as deliver more tailored customer experiences. Our partnership with Flock heralds a new era in commercial insurance”. 

“By combining Flock’s cutting-edge technology with our significant underwriting expertise in connected vehicle technologies and insurance, along with our global distribution networks, we will be able to deliver an exceptional experience for fleets and their drivers”, he said.


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