Swiss Re and Daimler Insurance Services have entered into a strategic partnership for automotive and mobility insurance and launched a new managing general agent called Movinx.
The aim of the 50/50 joint venture is to develop fully digital automotive and mobility insurance products, with a focus on flexible and customer-centric products.
The MGA’s first insurance products and services are planned to launch in France in 2021. In the coming years, further market entries are planned across Europe, in the Americas, and in Asia.
“We believe that partnering with Daimler Insurance Services and establishing Movinx will take us to the next level in innovating mobility insurance. Our joint long-term ambition is to unlock an ecosystem interplay where insurance supports the introduction of new technologies such as advanced driving assistance systems and autonomous cars as well as new business models in the mobility area,” said Pravina Ladva, Swiss Re’s Digital Transformation Officer.
Ingo Telschow, CEO Daimler Insurance Services, said: “By joining forces with Swiss Re we can lead transformation in an evolving market environment and advance insurance business. We will establish a new business model as well as co-create and co-own an insurance platform. This platform enables easy and efficient insurance purchase and customer-centric services by using real time data. Furthermore, we as Daimler Insurance Services are going deeper into the value chain of insurance business, having more influence on product development and pricing.”
Insurance needs to evolve along with the rapid transformation being seen in the automotive industry and the motor insurance sector, said Swiss Re and Daimler in a joint statement, citing as examples e-mobility and automated driving and the shift from ownership to usage.
“Insurance needs to evolve to deal with these developments and the challenges they create for pricing and claims handling,” said the statement.
Instead of today’s rather short-term oriented partnerships between car manufacturers and various insurers, Movinx will make insurance a part of the vehicle purchase, it continued.
The joint venture will be open to cooperation with other stakeholders such as car manufacturers or, more generally, mobility service providers.
Future partners will benefit from this co-owned insurance MGA and be able to offer white-labeled solutions globally, the companies said. “Instead of having to deal with many insurers, the manufacturer has one sparring partner, Movinx, across countries.”
Movinx will then partner with locally licensed insurers to deliver its solutions to the end-customers and cover insurance risk. Insurers and other stakeholders can connect to the IT platform and profit from centralized operations and automated processes supported by a combination of machine- and deep-learning technologies.
By connecting to the MGA’s platform, insurers benefit from not having to build tailored and quickly changing insurance programs.
Sebastiaan Bongers, head Mobility Ventures at Swiss Re, and Andreas Roth, head Digital Insurance Model at Daimler Insurance Services, will lead the new company. Offices opened in Berlin in October.
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