As the world embraces the era of shared mobility and technology’s transformative impact on insurance pricing, embedded insurance is not just a trend but a powerful solution that is here to stay.
In our report “BROKERS, BIG DATA & EMBEDDED INSURANCE: Changing the game in the mobility marketplace” produced in partnership with Fit2You, we delve deeper into how embedded insurance benefits customers, car dealers, fleet operators, insurers, and reinsurers.
We uncover the pivotal role played by brokers and provide insights into what to look for in a broker. The mobility landscape is changing, and embedded insurance is at the forefront of this revolution, ensuring that we are protected as we navigate this new world of mobility.
The world is shifting away from traditional car ownership, and the rise of car subscription services, ride-sharing platforms, and ride-hailing solutions has become a testament to this change. Organisations are now providing fleet management services, and we live in an age where connected cars are the new norm. The Internet of Things (IoT) has connected our vehicles in ways we couldn’t have imagined, collecting vast amounts of data that’s set to transform the insurance landscape.
To understand the magnitude of this shift, let’s take a closer look at some numbers. Each day, over 40 million e-hailing trips are booked on the two largest e-hailing platforms, as reported by McKinsey & Company. By 2027, a staggering 367 million connected vehicles will be traversing the globe, according to Juniper Research. As we look ahead, the global fleet management market is projected to reach $52.4 billion by 2027, as estimated by ReportLinker. Moreover, the market value of embedded insurance in the next decade is forecasted to soar to a whopping $3 trillion, according to the Open and Embedded Insurance Observatory.
So, what exactly is the role of embedded insurance here? In the mobility sector, this means that when you buy or rent a vehicle or book a ride, insurance coverage is offered either digitally or physically, at the point of sale or booking. This seamless approach aims to provide customers with the protection they need without the hassle of a separate insurance purchase process.
Download the full report here.
