Insurtech Company Growth

Is this the end of InsurTech as we know it? Every six months, we compile data on the European InsurTech ecosystem using market research, deal tracking, and our proprietary scouting tools. Below is a summary of our recent webinar, highlighting key KPIs, major trends, and future expectations. 1/ InsurTech KPIs Investment headlines often focus on declines, but the picture is more nuanced in InsurTech. While the number of deals dropped to 61 last year, total funding reached €820m, a year-on-year increase. France led in total funds raised (thanks to massive rounds by Alan and Akur8), the UK topped deal activity, and Germany lagged behind. Outside these core markets, Switzerland and Spain showed strong performance, particularly in "emerging risks." To me, InsurTech investment trends mirror global VC and FinTech dynamics, showing a post-peak stabilization rather than sector-specific decline. 2/ Major Trends The post-pandemic shift from “growth at all costs” to “profitable growth” is reshaping the ecosystem. Startups like Mila and Acheel (France), Clark (Germany), Cuuva (UK), and EIR (Sweden) have achieved profitability, with others aiming to follow by optimizing CAC/LTV ratios and operational efficiency. Meanwhile, private rounds and cost-cutting measures dominated last year, but consolidation is increasing. Allianz Direct was notably active, acquiring Luko, iptiQ, and Friday. CEO resignations were frequent in 2024, with 10 companies—including unicorns like Wefox and Clark—publicly announcing leadership changes. This reflects challenges & opportunities in navigating profitability and market shifts. 3/ What’s Next? a/ AI in Insurance With 30% of InsurTech funding going to AI-first companies, and 18% of deals focused on AI, automation is set to transform the sector. Agentic AI, predicted as the next wave of RPA, could unlock operational efficiencies across the industry. b/ Embedded Insurance Long discussed, embedded insurance is finally gaining traction. Platforms like Qonto and Ornikar did integrate insurance into their ecosystems, reflecting a broader trend where platforms adopt financial services—and insurance is the natural next step. c/ Emerging Risks Startups addressing risks like cybersecurity, carbon credit insurance, and climate-related threats are on the rise, accounting for 20% of deals last year. This segment presents opportunities for technology and data-driven solutions to support incumbents in managing new risks. #insurance #insurtech #venturecapital

AI in insurance is not a productivity hack 🚫 Automating the past is safe and will generate marginal returns. The real value lies in underwriting the future! AI is being talked about everywhere in insurance. Too often, the conversation stalls at efficiency theatre. Faster underwriting. Cheaper claims handling. Fewer people doing more work. Useful, but small. The real opportunity sits elsewhere. Reimagining Risk in an AI-Driven World, developed by the International Insurance Society, captures this shift well. Having contributed to the report and led the executive workshop in Zurich, one message came through very clearly: the next decade will separate insurers making marginal improvements from those rebuilding their operating models around new forms of risk, data, and human judgement. AI is not the strategy. It is the unlock 🔓 The strategic upside is not incremental. It sits in: • New insurable risks emerging from intangible assets, cyber, AI, and climate • Proprietary knowledge graphs, data, decision systems become a true edge • Human judgement being augmented, not replaced, in a trust-based industry • Governance, talent, and data strategy becoming board-level differentiators, not IT issues 🤩 One stat should give leaders pause. Nearly 90% of firms are experimenting with GenAI, yet only around a quarter have anything in real production. Plenty of motion. Limited transformation. That gap is not about technology. It is about operating model courage. Keen to hear from peers across insurers, reinsurers, brokers, MGAs, and insurtechs: • Where have you seen AI move the needle beyond efficiency? • What is genuinely blocking scaled deployment? • Are we underwriting new risks fast enough, or just automating old ones? If insurance gets this right, we don’t just adapt to an AI-enabled world. We become one of its core stabilisers. Thoughts and counter-views welcome. Full report link in comments 👇 Anders Malmström, Joshua Landau, Colleen McKenna Tucker

𝐄𝐯𝐞𝐫𝐲𝐨𝐧𝐞 𝐰𝐚𝐧𝐭𝐬 𝐀𝐈. 𝐕𝐞𝐫𝐲 𝐟𝐞𝐰 𝐢𝐧𝐬𝐮𝐫𝐞𝐫𝐬 𝐚𝐫𝐞 𝐩𝐫𝐞𝐩𝐚𝐫𝐞𝐝 𝐟𝐨𝐫 𝐰𝐡𝐚𝐭 𝐀𝐈 𝐚𝐜𝐭𝐮𝐚𝐥𝐥𝐲 𝐞𝐱𝐩𝐨𝐬𝐞𝐬. The insurance industry crossed a line in March 2026 that most leaders are just starting to recognise. AI is no longer living in innovation decks. It is now embedded in live underwriting decisions, claims processing, customer interactions, and portfolio management and that changes the entire game. Here is what is becoming impossible to ignore this month: 𝟏. 𝐏𝐢𝐥𝐨𝐭 𝐩𝐡𝐚𝐬𝐞 𝐢𝐬 𝐨𝐯𝐞𝐫 Capgemini's 2026 outlook confirms it: AI is driving measurable value across underwriting, claims, and customer engagement right now. The question is not "Should we test AI?" anymore. It is "How do we scale this without breaking what works?" 𝟐. 𝐑𝐞𝐠𝐮𝐥𝐚𝐭𝐨𝐫𝐬 𝐚𝐫𝐞 𝐰𝐚𝐭𝐜𝐡𝐢𝐧𝐠 The UK FCA announced it will assess AI use in underwriting, claims, and consumer services this year. Translation: if you cannot explain how your AI makes decisions, you have a problem. 𝟑. 𝐂𝐮𝐬𝐭𝐨𝐦𝐞𝐫𝐬 𝐚𝐫𝐞 𝐚𝐥𝐫𝐞𝐚𝐝𝐲 𝐭𝐡𝐞𝐫𝐞 Capgemini reports 60% of customers are willing to share personal data for more tailored coverage. The demand for personalized insurance is not coming. It is already here. 𝟒. 𝐀𝐈 𝐢𝐬 𝐧𝐨𝐭 𝐭𝐡𝐞 𝐛𝐨𝐭𝐭𝐥𝐞𝐧𝐞𝐜𝐤 Data quality is. Legacy systems are. Governance is. AI does not hide infrastructure problems. It amplifies them. And it is happening faster than most leadership teams anticipated. 𝟓. 𝐓𝐡𝐞 𝐫𝐞𝐚𝐥 𝐬𝐩𝐥𝐢𝐭 𝐢𝐬 𝐡𝐚𝐩𝐩𝐞𝐧𝐢𝐧𝐠 𝐧𝐨𝐰 The winners in 2026 will not be the insurers using the most AI tools. They will be the ones who can clearly answer these three questions: • What decision is AI influencing? • Who owns accountability for that decision? • Can we explain it to regulators, customers, and the board in plain language? That clarity is where the market is dividing. Not between AI adopters and non-adopters. Between insurers scaling AI with governance and insurers still just experimenting. The differentiator is not AI anymore. It is operational readiness. What is blocking progress in your organization right now: data quality, governance frameworks, legacy infrastructure, or leadership alignment? #AIinInsurance #InsuranceLeadership #InsurTech #AIGovernance #FutureOfInsurance #DecisionIntelligence

In the first wave of insurtechs, Hippo, Root, and Lemonade each came out swinging. Each had a bold thesis: Hippo: Meet homeowners at their moment of need—mortgage closings, real estate flows, IoT devices. Root: Leverage smartphone motion data to price auto risk better, faster, and cheaper. Lemonade: Reinvent renters insurance with self-service quotes, instant claims, and a UX so frictionless it felt fun. But beneath the glossy branding was the same structural weakness: The Cascading Miracle Trap Each model relied on a stack of “ifs” that all had to click perfectly: Embedded distribution partners executing flawlessly. Regulatory buy-in at scale. Actuarial rigor catching up to new data sources. Customers staying loyal long enough for lifetime value to materialize. One broken link? The economics unraveled. Take Lemonade: Renters insurance turned out to be a high-churn product. At $5/month, it lacked the premium base to cross-sell into more profitable lines. Their bet that renters would “graduate” into homeowners—with the same brand loyalty—didn’t play out at scale. Or Root: Telemetry data was ahead of its time, but actuarial credibility lagged. Pricing precision didn’t keep pace with growth. Or Hippo: Their embedded flows depended on partner quality and underwriting consistency across fragmented channels. Both were harder to scale than anticipated. It’s like building a Jenga tower: Distribution, pricing, retention, loss ratios, and customer behavior—all critical. One loose block and the whole thing wobbles. What Smart MGAs Are Doing Instead The new generation of MGAs is taking these lessons to heart: ✅ Underwrite first. Grow second. ✅ Start with carrier-grade rigor, not just a sleek app. ✅ Focus on margin from inception—because in insurance, there’s no blitzscaling your way past bad pricing. The first wave showed what was possible. This wave is showing what’s sustainable. 👉 Full breakdown of each play—and how today’s operators are flipping the script: They Ran So We Could Earn: The Insurtech Lessons https://lnkd.in/gBfQ7g4u

The AI race in insurance is shifting from experimentation to implementation, and CB Insights’ hiring signals make this impossible to ignore. We identified the fastest-growing agentic AI-focused insurtechs and found that 7 of the top 9 are prioritizing implementation-focused roles. Two themes stand out: client education on AI adoption and forward-deployed engineering. These are roles designed to get AI working in production, not just in pilots. All but one of these companies raised funding since March 2025, suggesting that implementation capability has become a prerequisite for AI-focused insurtech funding. But here's the tension driving this hiring: insurtechs are doubling down on implementation in part because their customers can increasingly build in-house. CB Insights’ Hiring Insights on some of the largest insurers — including Aviva, Chubb, and MetLife — show they are moving quickly to build AI capabilities in-house. Insurance executives will increasingly expect implementation efforts to deliver measurable ROI. That bar will determine which insurtech partners win and which get replaced by in-house teams.

🚨 #Insurance will look very different by 2035 — the next wave of risk is digital. We put together a short guide on the products, gaps, and opportunities that matter as AI, quantum computing, robots and space tech reshape risk. 𝐊𝐞𝐲 𝐭𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬: 🔐 𝐀𝐈 & 𝐐𝐮𝐚𝐧𝐭𝐮𝐦 𝐑𝐢𝐬𝐤𝐬 — New liability lines will emerge for algorithm failures and quantum-enabled breaches. Pricing and underwriting will be hard without better data. ⚡ 𝐏𝐚𝐫𝐚𝐦𝐞𝐭𝐫𝐢𝐜 & 𝐔𝐬𝐚𝐠𝐞-𝐁𝐚𝐬𝐞𝐝 𝐂𝐨𝐯𝐞𝐫 — Fast, event-triggered payouts and IoT-driven pricing scale where traditional loss adjustment struggles. 🤖 𝐑𝐨𝐛𝐨𝐭𝐢𝐜𝐬 & 𝐇𝐮𝐦𝐚𝐧𝐨𝐢𝐝𝐬 — Physical + cyber liability mixes require fresh underwriting for robots in public spaces and workplaces. 🚀 𝐒𝐩𝐚𝐜𝐞𝐓𝐞𝐜𝐡 𝐋𝐢𝐚𝐛𝐢𝐥𝐢𝐭𝐲 — Satellites, debris and commercial space travel create specialist markets and novel policies. 🧩 𝐁𝐢𝐠 𝐜𝐡𝐚𝐥𝐥𝐞𝐧𝐠𝐞𝐬 — Regulatory uncertainty, limited historical data, and volatile markets (crypto, tokens) make product design tricky — and create major growth opportunities. If you work in insurance, risk, product design, or regulation, this piece offers practical frameworks and scenario thinking to stress-test plans for the next 5–10 years. #InsuranceInnovation #InsurTech #RiskManagement 22nd Century Frontier EuphoriaTech Group Which emerging risk should insurers tackle first: AI liability, quantum threats, robotics, or space tech? ♻️ Repost to keep your network informed. 🔔 Follow (Petar Dimov 🔥) for more.

I’ve seen many insurers experimenting with AI - but only a few are realizing transformational value. In our latest report, which I had the pleasure of co-authoring, we examine what truly separates AI leaders from the rest. The results were striking: 📈 Over the past five years, insurers leading in AI achieved 6.1x the total shareholder returns of AI laggards. This is more than a technology advantage, it’s a strategic imperative. So, what sets the AI leaders apart? ✅ They take an enterprise-wide approach to AI—not isolated pilots. ✅ They rewire their core processes: underwriting, claims, distribution, and customer service. ✅ They build a modern capabilities stack—scalable infrastructure, high-quality data, and reusable components. ✅ They invest just as much in change management and workforce enablement as they do in technology. ✅ They view gen AI and agentic AI not just as tools, but as differentiators capable of reasoning, empathy, and creativity. AI is becoming the defining force of competitive advantage in insurance, and the gap between leaders and laggards is widening fast. 📘 Explore our perspective here: https://lnkd.in/ekaV_Jyy #Insurance #AILeadership #GenAI #DigitalTransformation #FutureOfInsurance #AgenticAI #InsureTech #McKinseyInsight #FinancialServices

🕔 In year 2024, the insurance landscape is experiencing a revolutionary transformation driven by InsurTech advancements. The Q1 2024 Global InsurTech Report reveals a fascinating array of trends and innovations reshaping the industry, transcending efficiency and cost reduction to create a more resilient, transparent, and customer-centric ecosystem. Artificial Intelligence (AI) and machine learning are at the forefront, pushing the boundaries of what's possible. These technologies enable insurers to offer highly personalized policies, streamline claims processing to seconds, and enhance fraud detection with unprecedented accuracy. For instance, Lemonade uses AI to process claims almost instantly, creating a seamless customer experience. Blockchain technology is becoming game-changer, ensuring unparalleled transparency and security in transactions. With its immutable ledger system, managing complex insurance contracts becomes seamless and trustworthy. Companies like B3i are leveraging blockchain to improve data quality and reduce administrative costs, narrowing the trust gap between insurers and customers. The Internet of Things (IoT) is another revolutionary force, with connected devices providing real-time data that allows for dynamic and usage-based insurance models. Your car, your home, even your health—all monitored and insured in ways that reflect your actual usage and behavior, making insurance fairer and more accurate. For example, John Hancock’s Vitality program rewards customers for healthy behaviors tracked via wearable devices. Digital ecosystems are thriving, as insurers partner with tech companies to enhance customer experiences through integrated services. This synergy creates platforms where everything from buying a policy to filing a claim can be done with just a few clicks. InsurTech companies like ZhongAn are setting benchmarks by offering a completely digital experience, from policy issuance to claim settlement. These technological advancements are not just reshaping the insurance industry; they are redefining our relationship with risk and protection. As we look ahead, staying informed and adaptable will be crucial. Future of insurance is digital, and those who leverage these technologies will lead this exciting transformation. Refer attached report for detailed insights. ⬇ #InsurTech #InsuranceInnovation #AI #Blockchain #IoT #DigitalTransformation #CustomerExperience #FutureOfInsurance #TechInInsurance #LinkedIn

𝐈𝐧𝐬𝐮𝐫𝐓𝐞𝐜𝐡 𝐆𝐓𝐌 𝐈𝐬 𝐁𝐞𝐢𝐧𝐠 𝐑𝐞𝐰𝐫𝐢𝐭𝐭𝐞𝐧. 𝐀𝐫𝐞 𝐘𝐨𝐮 𝐑𝐞𝐚𝐝𝐲 𝐟𝐨𝐫 2026? For years, many teams relied on the same motions: • Building product first, GTM second • Chasing logos instead of solving real pain • Selling “innovation” instead of business outcomes But 2026 is bringing a new reality — one that demands sharper execution, deeper industry understanding, and true partnership with carriers. 𝐇𝐞𝐫𝐞’𝐬 𝐰𝐡𝐚𝐭 𝐏&𝐂 𝐭𝐞𝐚𝐦𝐬 𝐚𝐫𝐞 𝐬𝐭𝐫𝐮𝐠𝐠𝐥𝐢𝐧𝐠 𝐰𝐢𝐭𝐡 𝐭𝐨𝐝𝐚𝐲: • Long sales cycles getting even longer because messaging doesn’t map to underwriting or claims priorities • Unclear ICPs that lead to chasing the wrong carriers and MGAs •. Disconnected GTM engines — marketing, product, sales, and delivery operating in silos • Proof points that don’t resonate with carrier economics or operational constraints 𝐁𝐮𝐭 𝐡𝐞𝐫𝐞’𝐬 𝐭𝐡𝐞 𝐭𝐫𝐮𝐭𝐡 𝐧𝐨 𝐨𝐧𝐞 𝐭𝐞𝐥𝐥𝐬 𝐲𝐨𝐮… 𝐓𝐡𝐞 𝐜𝐨𝐦𝐩𝐚𝐧𝐢𝐞𝐬 𝐰𝐢𝐧𝐧𝐢𝐧𝐠 𝐢𝐧 2026 𝐰𝐨𝐧’𝐭 𝐛𝐞 𝐭𝐡𝐞 𝐦𝐨𝐬𝐭 𝐢𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐯𝐞. 𝐓𝐡𝐞𝐲’𝐥𝐥 𝐛𝐞 𝐭𝐡𝐞 𝐨𝐧𝐞𝐬 𝐰𝐡𝐨 𝐮𝐧𝐝𝐞𝐫𝐬𝐭𝐚𝐧𝐝 𝐡𝐨𝐰 𝐜𝐚𝐫𝐫𝐢𝐞𝐫𝐬 𝐛𝐮𝐲, 𝐡𝐨𝐰 𝐭𝐡𝐞𝐲 𝐨𝐩𝐞𝐫𝐚𝐭𝐞, 𝐚𝐧𝐝 𝐡𝐨𝐰 𝐭𝐨 𝐦𝐞𝐞𝐭 𝐭𝐡𝐞𝐦 𝐰𝐡𝐞𝐫𝐞 𝐭𝐡𝐞𝐲 𝐚𝐫𝐞. 𝐈𝐟 𝐈𝐧𝐬𝐮𝐫𝐓𝐞𝐜𝐡𝐬 𝐝𝐨𝐧’𝐭 𝐞𝐯𝐨𝐥𝐯𝐞 𝐧𝐨𝐰, 𝐭𝐡𝐞𝐲 𝐫𝐢𝐬𝐤: 🚫 Missing the window as carriers shift budgets toward proven ROI ⏳ Losing deals because they can’t articulate value in underwriting, claims, or loss ratios 💸 Burning through capital without predictable pipeline 📉 Watching competitors build partnerships they should have owned We’re already seeing proof everywhere: • InsurTechs with precise ICPs are accelerating deal velocity by 30–40% • Those aligning GTM + product early are reducing churn and increasing expansion revenue • Companies building ecosystems, not silos, are landing strategic carrier partnerships faster • GTM teams leaning into AI-powered selling are shortening qualification and discovery dramatically 𝐒𝐨 𝐰𝐡𝐚𝐭’𝐬 𝐭𝐡𝐞 𝐩𝐚𝐭𝐡 𝐟𝐨𝐫𝐰𝐚𝐫𝐝? 2026 requires a GTM model built around: • Speaking the language of UW, claims, and actuarial teams • Partnering instead of pitching • Data-driven ROI storytelling • Tight alignment across marketing, sales, product, and delivery • Ecosystem thinking — channel partners, alliances, integrators • A modern GTM motion powered by AI, insights, and customer voice 𝐈𝐟 𝐲𝐨𝐮𝐫 𝐆𝐓𝐌 𝐬𝐭𝐫𝐚𝐭𝐞𝐠𝐲 𝐡𝐚𝐬𝐧’𝐭 𝐞𝐯𝐨𝐥𝐯𝐞𝐝… 𝐧𝐨𝐰 𝐢𝐬 𝐭𝐡𝐞 𝐭𝐢𝐦𝐞. Carriers are telling us exactly what they want: Make it easier to buy. Make it easier to implement. Make it easier to justify. If you’re an InsurTech leader heading into 2026, here’s my challenge: Pause, evaluate your GTM engine, and build the strategy your buyers actually need. Because the companies that win in 2026 won’t be the loudest. 𝐓𝐡𝐞𝐲’𝐥𝐥 𝐛𝐞 𝐭𝐡𝐞 𝐨𝐧𝐞𝐬 𝐰𝐡𝐨 𝐞𝐱𝐞𝐜𝐮𝐭𝐞 𝐰𝐢𝐭𝐡 𝐜𝐥𝐚𝐫𝐢𝐭𝐲, 𝐝𝐢𝐬𝐜𝐢𝐩𝐥𝐢𝐧𝐞, 𝐚𝐧𝐝 𝐜𝐮𝐬𝐭𝐨𝐦𝐞𝐫 𝐨𝐛𝐬𝐞𝐬𝐬𝐢𝐨𝐧.