The top FIVE digital insurers to watch in 2022
As insurtechs flex their marketplace muscles and enjoy the attention of investors in 2022, we take a look at five companies to watch that are leading in the space and bringing disruption and innovation to the industry.
#1 Lemonade
Founded in 2015
Offering a range of P&C and general insurance, Lemonade broke the mold in terms of the insurtech market in the US, and is one of the first companies that springs to mind when insurtech disrupters are mentioned. It recently launched Lemonade Car, is operational in 30 states and uses artificial intelligence in the form of chatbots to handle claims and provide insurance policies.
#2 Insurify
Founded in 2013
Available in 50 states, one of the first digital insurance providers to utilise AI in its policy quotes, underwriting, and claims processing, Insurify offers accurate auto insurance quotes through its partnership network of more than 200 auto insurance partner companies. These include top-rated auto insurers such as Esurance, Farmers, AIG, Progressive, Safeco, Liberty Mutual, Nationwide, and more. Insurify also has its own software called RateRank that matches drivers with the best options for auto insurance based on the user’s unique risk profile.
#3 wefox
Founded in 2015
The fastest-growing all-digital insurance company in Germany, and the biggest insurtech in Europe, wefox is based in Berlin and recently enjoyed the largest funding round ever to be awarded to an insurtech - of an unprecedented US$600mn. The company then raised its IPO and immediately made every employee a shareholder by awarding them US$5,000 of shares each. Wefox products are focussed on focused on personal insurance including household insurance, motor insurance and personal liability insurance.
#4 Zego
Founded in 2016
Launched by UK insurance entrepreneurs Harry Franks, Stuart Kelly, and Sten Saar in 2016, Zego is a commercial motor insurance company that provides a range of policies from flexible pay-as-you-go insurance to annual cover. To date, it has insured more than 200,000 vehicles in five countries and has over 250 employees. Currently, Zego serves 6,000 residential real estate companies and over 12 million units nationwide and is backed by Vista Equity Partners, a leading technology investment firm focused on enterprise software, data, and technology-enabled businesses.
#5 Root
Founded in 2015
This all-digital auto-insurer uses app-based, telematics technology to save safe drivers hundreds of dollars on their auto insurance every year. The app tracks individual driving habits including mileage, hard braking, sudden turns, and engine efficiency to calculate exactly how much premiums customers should pay, according to their risk assessments. Currently available in 31 states and with plans to expand coverage to new marketplaces in 2022, Root only qualifies certain drivers for coverage based on a two to three-week assessment on their road performance - and not everyone is awarded cover, making its drivers some of the safest on the roads. Although the company has recently hit a rough patch, terminating 20% of its workforce, citing a need to increase efficiency and strategic focus because of financial pressures from the ongoing coronavirus pandemic, it's still one of the most innovative auto insurers in the US today.
