Having a thorough business model and thinking over the business model is incredibly important before initiating an insurtech partnership. What specific problem are you trying to solve by initiating this partnership? Which new technology is going to differentiate you from the rest? Coming to the partnership with full transparency is key. Being honest about the market and whether or not companies/individuals would want to take advantage of your proposal is key.
Scale is another important consideration. Can you provide support to effectively scale the operation? Companies that are mid-size or small size will need scaling support.
Banking is a space where we can compare this too. Banks are far more mature digitally than the insurance space. Banks also are mainly concerned about transactional processes and operations in managing new and existing accounts. There is a lot more going on in the insurance space than that. From distribution to claims processing and price, insurance has a lot of moving parts. There is a broader scale of activities happening at any given time.
One of the benefits of being in insurtech is the fact that insurance carriers desperately need to upgrade their technological capabilities. Insurance wants to work with technology very badly. And the close partnerships between firms and partners will be strong going forward. Insurance companies are interested in investing in their future capabilities, and they want to be new/different than the competition so that they can differentiate and gain strong market share.
As a nearshore software development company, ArkusNexus is able to help with technology services to boost the insurance industry; in particular, advise to face artificial intelligence challenges.
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