Trov forges new partnership with UFODrive
The insurtech, which was founded in 2012 by tech entrepreneur Scott Walchek, has a strong sector presence in the US. The company hit the headlines last year following its collaboration with Seguros Sura, the Latin American insurer, to bring on-demand products to the Brazilian marketplace.
Currently, Trov claims to be a global leader in insurtech platforms that enable financial institutions and insurance incumbents to swiftly launch modern solutions for homeowners, renters, drivers, and small businesses. The company has also raised more than US$114m from VC’s and strategic partners since its launch.
Trov said the partnership with Trov signifies a ‘major milestone’ for the company, as it sets the stage for expansion into the UK as well as positioning it as a major partner for mobility enterprises seeking bespoke solutions for their services.
The move into the electric car market has been driven by extreme shifts in UK transportation legislation. By 2030, the UK and several other counties will deliver on their commitment to ban sales of new diesel and petrol cars. The impact of this can already be seen in the soaring sales of electric vehicles right across the Mobility sector.
Launched in 2018, UFODRIVE has an entirely electric (primarily Tesla) fleet, along with an industry-first carbon credits-based loyalty programme. The company has already delivered Co2 savings of over 1 million kgs.
It aims to transform the cart rental market by providing 100% digital, electric and easy customer solutions. The full booking and rental process are managed via the UFODRIVE app allowing customers to reserve and drive, efficiently, autonomously, and without the need to queue at a desk.
UFODrive already operates from 17 locations across eight countries, with feedback from customers earning the enterprise the highest Net Promoter Score of car rental anywhere. UFODrive also grew by 108% during 2020, proving it operates with resilience.
Trove reported, “UFODRIVE is on a mission to provide the world’s fastest and easiest car rental experience while reducing paperwork, queues, fuel, emissions and hassle for its users. Their team will be tapping into both components of our Mobility Insurance Platform, including both insurance coverage and risk operations technology, to drive meaningful efficiencies for their growing business in the United Kingdom.”
Trov added that with its technology the UFODRIVE team will be able to monitor, manage and mitigate their insured and uninsured risks more effectively – ultimately shifting more resources toward the expansion of their business.
“We’re proud to support the team at UFODRIVE as they offer British consumers a unique sustainable mobility option – helping the country as a whole get closer to its ambitious carbon emissions goals for 2030,” an official statement said.
Global investment in insurtech reaches all-time high
Global investment in the InsurTech sector reached an emphatic record during H1, 2021, as half-year funding of US$7.4 billion exceeded full-year investment in 2020, and in every other year, according to the new Quarterly InsurTech Briefing from Willis Towers Watson.
It was found that the latest quarter saw 162 deals yield more than $4,824 million in investment, a 210% increase over Q2, 2020. The enormous quarterly total, itself more than any annual total before 2019, was driven largely by 15 mega-rounds of $100 million or more. Collectively, these deals reached $3.3 billion, or two-thirds of total funding during the quarter. The money was raised predominantly by later-stage players seeking expansion.
A need for the insurance community to reflect digital changes
Series B and C fundraisings drove a large number of deals in the second quarter, but the number of early-stage deals also increased. They were up by more than 9% from the previous quarter, and 200% from pandemic-stricken Q2, 2020. As a percentage of overall deals, early-stage activity held roughly steady, at 57%.
InsurTechs focused on distribution accounted for 55% of start-up deals, and for 10 of the 15 mega-rounds. Most of the distribution InsurTechs target reduced dependence on agent channels. Of all Q2 deals, 73% were for P&C-related InsurTechs, while 43 companies raised funds for L&H technology. Funds were raised by companies from 35 countries, including new entrants Botswana, Mali, Romania, Saudi Arabia, and Turkey.
Dr. Andrew Johnston, global head of InsurTech at Willis Re, said: “As technology changes our lives, society will demand an insurance community that reflects and supports our changing, digitally empowered behaviours. Consumers and businesses increasingly expect insurance to be delivered when and how they want it, and risk carriers that fail to respond will fall away over time. To embrace technology is a minimum survival condition. Those that use it to redefine service in the insurance world will thrive. That means a positive future for InsurTechs that bring a truly differentiated business approach to our industry. Some of them will create untold long-term opportunities for themselves and the insurance sector.”