Written by: Guadalupe Juárez
Contxto – Nowadays, buying insurance involves more technology and less bureaucracy than ever before. Thanks to this, it has been possible to explore companies’ business models in new and untapped market niches across different industries.
A testament to this is the InsurTech LATAM Forum that happened in Buenos Aires on March 29. It explored challenges, growth and the future of the Argentine and Latin American insurtech sector.
In the following market map, we present to you six Argentine insurtech startups making a big difference in the old-fashioned insurance industry.
123Seguro (Buenos Aires)
123Seguro aims to empower its customers by combining instant price comparison with professional advice. Its mission is to provide the widest offer on the internet, hoping to create a new user experience in the insurance sector. With this, 123Seguro wants to make insurance more agile, with no formalities and at the best prices.
Founded in 2010, 123Seguro has sold thousands of policies. Since then, it has also become the leader in Argentina and a pioneer in the region. Previously, players such as Google, Endeavor and Zurich Ltd., among others, have praised the company.
S4 (Buenos Aires)
S4 is an ag-tech startup that provides risk management solutions to ensure regional food production. It ensures the security of producers and companies when systemic risks occur, such as floods or droughts, by paying them in advance.
As a big data tool for risk management, S4 services are used by a broad sector of customers such as banks, insurance companies, agricultural suppliers, and the like.
Focusing on car insurance, Comparaencasa is an online price comparison platform for insurance and consumer finance. It operates in Argentina, Brazil, and Mexico,
Comparaencasa provides intelligent filters to make searching for insurance easier and better suited to customer needs. In the process, it helps Latin American households save time in addition to money.
Alquilando (Buenos Aires)
Alquilando is an online marketplace for long-term rentals that simplifies the rental process, minimizes risks and guarantees on-time payments. It is the first digital ecosystem in the real estate sector.
Combining broker services, insurance companies, and banks, it provides customers with the most innovative and complete experience. With their latest funding in January 2018, Alquilando has raised a total of US$900 thousand over two rounds, according to CrunchBase.
Snapcar (Buenos Aires)
Snapcar is a vehicle insurtech startup that, through its app, collects driver as well as car information. Depending on how and how much you drive, Snapcar allows car owners to save up to 40 percent on their monthly policy. This model is known as Pay How You Drive.
In 2017, the insurance group Munich Re selected Snapcar from more than 540 startups globally, to participate in Mundi Lab. Among the other nine technological projects, Snapcar was the only car insurtech platform. Besides working with MunidLab and Munich Re to keep developing its technology, Snapcar also improved its business model.
Mecubro is a platform that creates a new way of simply and quickly obtaining insurance. The startup’s goal is to solve four problems: time, availability, costs and veracity.
In hopes of changing and challenging the insurance industry, Mecubro has a wide knowledge in the software industry as well. This allows the company to develop various disruptive innovations that offer consumers plenty of insurance options.
Made evident with these startups, technology has helped industries like insurance to evolve and challenge themselves to adopt new business models.
Just as these insurtech startups are emerging in Argentina, there are also others popping up in Latin America, as well. According to Capgemini’s World Insurance Report 2018, about 96 percent of global insurers say that they are thinking about collaborating with insurtech companies.
Therefore, it is very important that these kinds of platforms exist. With more options, people have more possibilities to carry out important activities, such as acquiring insurance that supports a more technological lifestyle. Ultimately, technology makes the process so much less tedious for customers.