Majority of insurers develop own digital platforms

Insurers rather develop their own platform to maintain control over their ecosystems.

Due to the continuous trend of digitalisation, 80% of major re/insurers had corporate partnerships with tech companies to co-develop digital platforms, according to a 2023 survey by the Geneva Association.

The survey covered 21 major re/insurers, representing over $550b in premiums. Additionally, over 60% of insurers were developing their own proprietary platforms, reflecting a desire to maintain control over their ecosystems. 

Data security and privacy were concerns for 50% of respondents, and regulatory compliance challenges were cited by 33%, particularly in areas like data usage and geolocation. Over 85% of insurers reported difficulties integrating new platforms with existing IT systems.

A digital insurance platform ecosystem consists of a digital platform (like a mobile app or website), a multi-supplier ecosystem that consolidates products and services (such as healthcare or travel services), and the transactions that occur between insurers and participants on the platform. 

This ecosystem functions as a matchmaker, administrator, regulator, and innovator, connecting customers with insurers and facilitating the insurance process.

Insurers can approach digital platform ecosystems in three ways: As orchestrators, where they build their own digital platform; as partners, where they join an existing third-party platform; OR as co-developers, where they collaborate with a third party to create a platform.