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RPC Insurtech in brief – January 2021

29 January 2021. Published by Neil Brown, Partner and Lauren Murphy, Senior Associate

Welcome to the latest edition from RPC Insurtech in brief providing you with a handful of snappy monthly updates from the industry.

 Access the full Insurtech in brief here.

1. Lloyd's and Parsyl launch insurance initiative for distribution of COVID-19 vaccines

Lloyd's and insurtech start-up Parsyl Inc. announced the launch of the Global Health Risk Facility (GHRF) which will provide billions of dollars of insurance coverage, together with risk mitigation services, to help aid the global distribution of COVID-19 vaccines as well as critical health commodities. 

GHRF received support from the U.S International Development Finance Corporate (DFC), which approved up to $26.7 million for the facility. The DFC loan will be utilised to capitalize the new public-private Syndicate 1796 and enable the GHRF to offer cost-effective insurance policies for shipments of vaccines and medical products to developing countries.

The GHRF is an alliance of insurance and technology partners that will work together to provide comprehensive insurance and risk mitigation services for the storage and transit of medical supplies, including temperature sensitive vaccines and medicines, PPE and ancillary cold chain equipment. 

Syndicate 1796 will begin underwriting in January 2021 and is the first public-private partnership to address a global emergency in Lloyd's history.

2. Insurtech Zego buys telematics firm Drivit to 'revolutionize' insurance pricing

Zego, the London-based insurance provider and the first UK insurtech to be awarded an insurance licence, has acquired telematics company, Drivit. 

The acquisition will enable Zego to collect real-time driver behaviour data in-house, which Zego intends to use to provide its customers with time and money saving insurance products. 

Zego states the deal will enable it to revolutionise the way commercial motor insurance policies are priced. Through the incorporation of Drivit's technology, Zego intends to price policies based not only on traditional factors such as a person's demographic profile and driving history but also on driver behaviour and a person's working habits. 

The Drivit team will now be fully incorporated into Zego, and its market-leading technology is already embedded into the Zego Sense app – the app-based telematics solution recently launched by Zego.

3. CPP Group UK and Partners& offer cyber risk assessment tool

CPP Group UK and Partners& are now offering access to a risk management tool to help brokers and their customers identify and mitigate cyber vulnerabilities.

The risk management tool KYND immediately identifies an organisation's cyber vulnerabilities and provides cyber risk management for businesses of all sizes. It utilises a website domain to perform a real-time scan providing expert insight into a business’ cyber exposure.

If part of the business is identified as being vulnerable, the KYND traffic light system dashboard can help advise the business on the actions needed to prevent potential cyber risks from developing into a real attack. The reports simplify any complex technical language and are used by both brokers and clients as a risk management tool.

4. Cover Whale Expands Trucking Offering to Include Fleets

Cover Whale, an insurtech with a specialty niche in the trucking and transportation segment, has expanded its trucking insurance products to include a fleet insurance program.

Fleet managers and select insurance brokers can now access the Cover Whale online fleet platform, which provides a solution for fast insurance quotes. 

The offering includes fleet physical damage and motor truck cargo and was available from January 1, 2021 through a select group of insurance brokers.

“We’ve reduced the turn-around time for quotes and endorsements by days, which is an enormous benefit for brokers and insureds. We’re proud that our launch in the small account space has been extremely successful leading to strong demand for us to enter the fleet segment.” – Jason Wexler, Chief Underwriting Officer.

5. Germany’s Getsafe Raises $30M from Swiss Re and Others

Digital MGA Getsafe disclosed $30 million in new financing led by new investor Swiss Re. The Heidelberg, Germany-based InsurTech said the money will help build its market dominance among millennials in its home country and beyond.

In particular, a push into additional European markets is also on the agenda, setting up more direct competition with Lemonade, a U.S.-based digital insurer pursuing its own European expansion.

Getsafe bundles all information related to personal insurance coverage via a single app that can be used to report claims and update personal and payment info.