The technologies include big data, the Internet of things (IoT), block chain, and cloud computing. In mature markets such as the U.S., these tools have helped insurers lower costs and increase efficiency. They have also improved the customer experience and optimized product offerings. At the same time, new, disruptive Insuretech companies have emerged with a variety of business models to challenge insurance industry incumbents.
In China, an underdeveloped insurance market enjoying double-digit growth, the disruptions triggered by Insuretech are causing an insurance industry revolution. One reason for the impact is the fast adoption and heavy use of online ecosystems by the Chinese. In addition, Insuretech is underpinned by a regulatory environment supportive of innovation.
The result has been a surge in new Insuretech players creating disruptive products, services, and business models. Some of these are integrating insurance products into online ecosystems and fostering groundbreaking innovations.
Oliver Wyman and ZhongAn, China’s first online-only insurer, are jointly publishing this report to analyze the Chinese Insuretech market and answer the following questions:
- How big are the opportunities?
- How are business models evolving to seize the opportunities?
- What are the key factors required for success?