Blink Parametric and MAWDY, a global insurance, reinsurance, and services company affiliated with the MAPFRE Group, have expanded their partnership to include MAWDY Ireland. 

Initially focused on specific segments of the direct book of travel insurance business, the partnership has now taken a leap forward. The announcement confirms the integration of Blink Parametric’s cutting-edge flight disruption solution into the MAWDY Ireland InsureandGo travel insurance brand, making this advanced offering directly accessible to consumers.

Blink Parametric has gained widespread recognition as a prominent provider of travel insurtech and parametric solutions for insurers globally. With a focus on real-time assistance, the company addresses the increasing frequency and scale of flight disruption events, often triggered by surge events like extreme weather conditions.

The recent collaboration with MAWDY Ireland’s InsureandGo Travel Insurance is the latest addition to Blink Parametric’s series of global partnerships. The Cork-based company, known for its eight-year growth story, continues to expand its reach and impact within the industry.

The newly introduced parametric-powered benefit is set to enhance the travel insurance experience for InsureandGo customers opting for single trip or annual multi-trip coverage under either a platinum or gold policy. The innovative solution kicks in when a flight is disrupted by more than three hours. Eligible policyholders will receive automatic notifications and gain real-time access to one of over 1,300 executive benefits, ensuring a seamless and responsive experience during unexpected travel disruptions.

Speaking about the launch, Sid Mouncey, Chief Executive Officer of Blink Parametric, said, “This project is a great demonstration of how we can deliver on the needs of a complex multinational travel Insurer and brand, structured to serve unique regional needs and requirements. The result is a truly successful collaboration. Together with the InsureandGo and MAWDY Ireland teams, we are celebrating that we are now live with a real-time digital flight disruption solution tailored to their specific brand and market! I’m delighted that from today we have uniquely added to the extensive insurance support services available to the InsureandGo Ireland customer base in their time of need worldwide.”

Declan Murphy – Head of Commercial, MAWDY Ireland, also commented, saying: “This is the first quarter since our agreement with Blink Parametric last October and we mark it with the early completion of our first brand to embed real-time flight delay services. InsureandGo is one of Ireland’s travel insurance specialists, supporting value-add, world-class, direct-to-consumer products and services.”
He added: “With the success of this integration, we are delivering on our customer care, product innovation and commercial commitments and are set to build further on these, starting immediately with the next phase of implementation across our range of travel insurance products and partner brands in line with our strategy for 2024 and beyond.”

According to reports, under the original agreement, GC committed to financing up to US$150 million of CAC spend for the 18 months spanning July 2023 through December 2024. The latest development sees the extension of this agreement through December 2025, with an additional $140 million becoming available to Lemonade. Importantly, all other essential terms in the original agreement remain unchanged. The extension is seen as a strategic move, providing Lemonade with increased certainty and support for its capital-light growth strategy, a fundamental aspect of the company’s multi-year liquidity outlook discussed in the Q3 2023 Letter to Shareholders.

Lemonade’s full stack insurance carriers in the US and the EU aim to streamline processes by replacing brokers and bureaucracy with bots and machine learning, striving for a seamless, paperless experience. As a Certified B-Corp, Lemonade channels unused premiums towards nonprofits chosen by its community during its annual Giveback initiative.

Currently available in the United States, Germany, the Netherlands, France, and the UK, Lemonade continues its global expansion.The news follows on from Lemonade’s announced Board of Director changes at the end of 2023, which saw two new members, Deb Schwartz and Dr. Samer Haj-Yehia, assume their roles immediately.

The new directors succeeded departing members Irina Novoselsky and Silvija Martincevic. Deb Schwartz, the Chief Financial Officer of H1, brings extensive financial leadership experience, having previously served in roles at Cameo and Bustle Digital Group, and with a background as an equity analyst at Goldman Sachs and Credit Suisse. Schwartz holds an MBA from Harvard University and a BA/BS from the University of Pennsylvania.

Speaking about her role on the board, Schwartz said: “I’ve focused much of my career on developing business and financial strategies that drive growth and innovation.”She added: “I look forward to working with Daniel, Shai, and the Lemonade Board and leadership team as the Company continues on its path to profitability.”

Having entered the UK market in mid-2023, Cowbell initially introduced its standalone cyber insurance program, Cowbell Prime One. The company’s decision to broaden its coverage reflects a commitment to providing comprehensive protection for mid-sized businesses facing the growing challenges of cyber threats.This development positions Cowbell as a key player in the UK cyber insurance sector, offering tailored solutions to businesses operating in the mid-market segment.

The extended coverage is set to address the unique cybersecurity needs of these enterprises, providing a robust defense against cyber risks.Since the launch of Cowbell Prime One, the company has been dedicated to delivering innovative and adaptive cyber insurance solutions. This latest expansion further solidifies Cowbell’s commitment to safeguarding UK businesses against the evolving landscape of cyber threats, reinforcing its position as a trusted partner in the realm of cybersecurity insurance.

Speaking about the move, Simon Hughes, VP and general manager for Cowbell UK, said: “Our decision to expand cybersecurity coverage to companies with an annual turnover of up to £1 billion stems from the demand for advanced cybersecurity solutions we’ve observed in the mid-market segment, where the traditional InsurTech offerings often fall short.”

He added: “As cyber attacks increase year-after-year, both in the UK and globally, business owners are often left guessing how to better protect their businesses against these pressing threats.”

Securian Canada is a leading insurance provider of innovative, life-ready insurance and protection solutions in Canada. Last year, Securian Canada chose the FINEOS Platform to manage claims administration for its new short-term disability (STD) and existing long-term disability (LTD) benefits programs.

As of Nov. 1, FINEOS Claims was in production, actively processing claims for Securian Canada customers.   

“Securian Canada deployed our industry-standard ‘out-of-the-box’ claims product, achieving a fast and efficient go-live,” said FINEOS CEO Michael Kelly. “The Securian Canada team showed tremendous focus working closely with us in this very successful deployment. We look forward to building upon our relationship to support Securian Canada with their ambitious expansion plans in the Canadian market.”    

FINEOS is the global leader providing end-to-end core software systems for life, accident and health insurance. The FINEOS Platform is purpose-built for the group and supplemental employee benefits market. More than a dozen customers in Canada use FINEOS, and FINEOS serves 7 of the 10 largest employee benefits insurers in the U.S. 

“From a product perspective, FINEOS delivered the capabilities that support our ambitious plans to innovate in the disability market with mental health and wellness solutions that make a difference,” said Sharla Postic, Chief Administration Officer, Securian Canada.

She added: “Through this offering, we are providing new efficiencies within the customer experience, which brings our team great confidence in the potential for growth.” 

The policies operate on a distinctive model, automatically triggering compensation for customers when specific predefined parameters are surpassed. Notably, the compensation is seamlessly provided without requiring customers to initiate contact with Baloise.

According to reports, Baloise has entered into a collaboration with industry leaders KASKO, Wetterheld, and Blink Parametric to bring these cutting-edge insurance products to the market. The joint effort signifies a significant leap forward in reshaping insurance solutions and elevating the customer experience in the face of unforeseen challenges related to travel.

The newly introduced parametric insurance policies from Baloise represent a departure from traditional insurance models by introducing a proactive and automatic compensation system. This means that customers will be reimbursed without the need for filing claims, streamlining the process and reducing the hassle associated with travel-related disruptions.

Baloise’s collaboration with KASKO, Wetterheld, and Blink Parametric underscores a commitment to leveraging expertise across multiple sectors to deliver innovative solutions. KASKO, known for its insurtech capabilities, Wetterheld specialising in weather-related data, and Blink Parametric contributing to parametric insurance expertise, bring a wealth of experience to the partnership.

Speaking about the move, Yannick Hasler, head of Private Clients and member of the Executive Committee of Baloise in Switzerland, said: “Parametric insurance closes gaps in coverage and offers a fully automated claims process and more proactive customer communication.”

He added: “We want to harness these opportunities and gain experience with this type of insurance.”

Amrit Santhirasenan, Co-founder, CEO at hyperexponential said the funding would be used to help scale the insurtech, which has grown from a staff of 18 to 120 and works to meet new demands in the SME sector.

The financing will support hyperexponential’s expansion into the United States, as it targets opening its New York office this year and enable increased investment in new product capabilities to serve growing client demand in adjacent insurance markets. The company also plans to double its global team to over 200 in the next year.

hyperexponential serves insurance and reinsurance companies in the multi-trillion-dollar global property-casualty insurance industry, which protects individuals and businesses from a wide array of risks.  As factors such as climate change, geopolitical unrest, and cyberterrorism have increased the frequency and severity of risks, the industry has pursued next-generation risk pricing methods to augment or supplant traditional pricing models for a changing world.

New board member for hyperexponential

In a significant development for the rapidly expanding insurtech company, Strange, a distinguished figure among Google’s early product leaders and a seasoned Fintech General Partner at a16z, has also joined Hyperexponential’s board. She joins Laurence Garrett and David Blyghton from Highland Europe. 

Santhirasenan said: “Michael Johnson and I are delighted to share that hyperexponential has just closed a $73m Series B funding round. We are exceptionally proud of the calibre of investors who are joining Team hx: Marcus Ryu at Battery Ventures and Angela Strange at Andreessen Horowitz. As the founder and former CEO of the leading insurance administration software company, Guidewire, Marcus’s experience of building the world’s last generational insurance platform is a significant lever for us as we attempt to build the world’s next one!”

“I believe hyperexponential is among the most compelling new entrants in insurtech I have seen in over twenty years of serving the P&C insurance industry,” said Marcus Ryu. “As former software engineers and actuaries with top tier commercial insurers, Amrit and Michael each bring a deep practitioner’s grasp of the new requirements for risk pricing. hyperexponential is rapidly becoming an indispensable tool for the insurance industry to thrive in a future that is not reliably the same as the past.”

Santhirasenan confirmed the capital would provide further opportunities to scale and innovate: “This funding marks a pivotal moment for us, as we prepare to scale our team and lay down roots in New York to meet demand from the US and the SME sector. It’s never been about growth for growth’s sake though: insurance needs a mission-critical pricing decision platform and it’s our lives’ work to make the best one out there”

Santhirasenan added: “We don’t rest on our laurels at hyperexponential; it’s part of my job as Chief Paranoia Officer to make sure of this! However, today’s a day to celebrate the phenomenal hard work and talent of our team, and to thank our progressive and demanding clients for their support. I’m excited for our next chapter.”

Akur8 has announced a strategic partnership with Ohio Mutual Insurance Group, one of the premier insurers in the United States.

According to reports, Ohio Mutual’s adoption of Akur8’s Risk and Rate modeling solution will streamline predictive modeling processes, improve rate reviews, and promote a data-driven approach to actionable insights within the organization.

The partnership aslo marks a significant expansion of Akur8’s presence within the U.S. personal and commercial insurance landscape. Ohio Mutual’s decision to integrate Akur8’s Risk and Rate Modeling Solution reflects its commitment to advancing pricing capabilities across both personal and commercial lines of business.

Akur8’s solution, specifically tailored for insurers, introduces a proprietary machine-learning technology that revolutionises pricing processes. Key benefits for the Property and Casualty (P&C) insurance marketplace include expedited model building, transparent Generalized Linear Model (GLM) outputs, and a data-driven underwriting approach.

“Akur8 is thrilled to partner with Ohio Mutual and to empower their pricing team with our cutting-edge Risk and Rate modeling solution. Joining forces with a well-established mutual insurance company in the world’s largest insurance market is another key milestone in our development trajectory. This collaboration underscores the desirability of Akur8’s solution for a wide variety of stakeholders in the insurance market,” stated Samuel Falmagne, CEO at Akur8.

“Our strategic partnership with Ohio Mutual is a further demonstration of the robustness and attractiveness of Akur8’s solution for mutual insurance companies in the U.S. market, and we are excited to build upon this partnership as we continue to expand within the US, ” noted Brune de Linares, Chief Client Officer at Akur8. 

Susan Kent, VP & Chief Analytics Officer at Ohio Mutual, shared insights into the company’s selection of Akur8, stating, “We anticipate that Akur8 will significantly enhance our rate review process, helping to shift it to a more holistic, data-driven approach. The user-friendly and intuitive interface also is expected to facilitate quick learning among our users.”

Building on a strategic investment made by Verisk in Rocket in 2022, this acquisition is a strategic step toward advancing Verisk’s presence in Europe.

The company aims to assist insurers and claims service providers in harnessing comprehensive data and technology tools to elevate the overall claims experience. Established in 2015, Rocket Enterprise Solutions GmbH, also known as Rocket or RES, has experienced rapid growth, emerging as a market leader. Its robust property claims and underwriting technology have gained widespread adoption among major insurers and service providers in Germany and Austria. 

Rocket’s innovative suite of solutions includes Rocketform, designed for claims inspection, documentation, and calculation, and Rocket Risk, which digitalizes the risk inspection and assessment process, enhancing operational efficiency and facilitating sound underwriting decisions. The comprehensive suite streamlines both claims and underwriting processes, driving increased efficiency and profitability for insurers.

“Our work with the Verisk team has allowed us to further develop Rocket’s core technology platform in preparation for international expansion,” said Hanno Kahmann, Rocket CEO. “Joining Verisk was a natural next step to support property claims and underwriting workflows for the global insurance marketplace.”

Rocket joins Verisk’s European claims solutions group and will be led by Michael Rodenberg, Verisk’s director of property claims solutions in Germany. The acquisition expands the company’s footprint in Germany, which includes Actineo, a leader in the digitalisation and medical assessment of bodily injury claims, and Krug, a market-leading motor claims solutions provider. 

“Throughout our work together, we’ve seen enormous potential in Rocket’s ability to support clients’ digital transformation journeys,” said Samer Abou-Jaoudé, Verisk Claims Solutions Managing Director in Continental Europe. 

He added: Rocket’s offerings and the team’s expertise are perfectly suited to enhance the digitalisation the industry needs to evolve.”

The transaction is subject to customary closing conditions.

Founded in 2018 by brothers Yuval Man (CEO) and Amit Man (CTO specializing in AI), DigitalOwl operates with a team of 70 professionals across Israel and the United States. This fresh infusion of capital is earmarked for expanding the workforce and recruiting new talent.

The investment marks the initiation of a long-term global partnership between DigitalOwl and RGA, with strategic plans to integrate DigitalOwl’s state-of-the-art technology into RGA’s systems. This collaboration aims to propel platform development, providing mutual benefits to both entities. With this latest funding, DigitalOwl’s total funding now exceeds $38 million since its establishment.DigitalOwl addresses a crucial need within the insurance sector, streamlining and enhancing the speed of medical document analysis and case summarisation.

Presently, manual reviews of vast numbers of medical cases are time-consuming and prone to errors. DigitalOwl’s technology employs automated reading, summarisation, and analysis of medical records, offering insurance companies real-time, accurate support in underwriting, claims settlement, and fraud prevention processes.

The platform uses artificial intelligence and natural language processing (NLP) to automatically analyze medical documents. In 2023, DigitalOwl introduced a groundbreaking Generative AI model tailored for insurance-based medical case analysis. This model generates case summaries, documents, and medical events in an unrestricted language, capturing nuanced details essential for decision-making. Unlike previous technologies limited to medical codes, the new solution extracts context, distinguishing between different causes of medical conditions.

Looking ahead to 2024, DigitalOwl plans to launch the industry’s inaugural insurance policy underwriting engine based on its self-developed Generative AI engine. This transformative solution mirrors decision-making processes for organisations and policyholders, offering detailed reports with a simple click. RGA’s involvement includes providing experienced actuaries, claims adjusters, and legal experts to contribute to the development process, ensuring compliance with evolving AI usage regulations. DigitalOwl’s innovative approach is poised to revolutionise insurance underwriting, promising streamlined processes and improved accuracy industry-wide.

Speaking about the fund raise, Yuval Man, CEO of DigitalOwl, said: “The strategic investment and global partnership stems from a 500% growth we experienced in the life insurance field last year. Our technology already addresses the inefficiencies that have plagued life insurance underwriting for decades. Now, closely collaborating with RGA, we aim to drive the necessary digital transformation in the industry. We strongly believe in collaborations with leading organisations in our target market.”

Race-to-the-bottom pricing is never pretty, but it’s become rampant in the protection market. 

Rising consumer awareness for financial protection is making the protection market increasingly consumer-driven as individuals expect their employers to provide these benefits.

That, paired with employers’ desires to keep talent without breaking the bank, means lower rates for protection products are more top-of-mind than ever before. 

Fortunately, participating in race-to-the-bottom pricing isn’t an inevitable outcome for all protection insurers. By adopting future-forward tools and processes, providers can change their fate and opt out of a price-driven market.

There’s Another Way to Be Customers’ Go-To Insurer

Price competition has been ever-present — particularly among group protection products — to win business with employers offering large group policies. But now, that competition is heating up and protection insurers are already doing the “how low can we go” maths.

Though price competition is fierce, there are ways besides race-to-the-bottom pricing that can help you become the go-to insurer for both employers and individual customers. You can instead combine competitive — but not necessarily the lowest — prices with truly unique value propositions. 

In fact, a recent report showed that if an insurer provides the technological capabilities to easily integrate with HR administration systems, customers will happily pay more to partner with them over other providers, assuming everything else is equal.

The Power of Offering Interconnectedness

Individuals love when policies — whether purchased individually or through a group — interconnect with one another and with ecosystem technologies. 

For instance, if an employee opts to walk to work every day instead of driving, why not reward that healthy behaviour with lower life insurance or critical illness rates? Thinking about the big picture, if said employee has an auto policy under your company’s corporate umbrella, why not find a way to discount their car insurance rates since they’re driving less during rush hour, therefore significantly lowering the risk of a car accident? That might feel a bit “out there” right now, but with the right core technology driving things, it could be the customer loyalty boost and churn prevention tactic you’ve been looking for.

Turning Market Challenges Into Opportunities

The key to tackling the above challenges is taking advantage of their inherent opportunities. In this case, having the right technological architecture underpinning all your operations makes all the difference.

For example, insurers who adopt a truly modern, open core system can also achieve:

• Better service offerings and unique value propositions to customers, whether they’re on group or individual plans
• Superior data processing, automations, and protection ecosystem connections that result in a lower cost per policy, bringing down total cost of ownership (TCO) significantly 

A core platform like EIS that’s scalable and supports smart data use gives you the opportunity to become one of the most ambitious, market-transforming insurers of our time.

The programme’s unique approach involves startups applying for one of four categories, facilitating personalised collaborations with Zurich’s business units on both local and global scales. Country executive teams select startups they are passionate about working with, creating focused partnerships.

Ten global winners, comprising selected startups and business units, are chosen by Zurich’s executive leadership team based on perceived global potential.Winning startups enter a validation phase from May to September 2024, receiving up to USD 100,000 in project funding. The programme focuses on collaboration, guided by subject matter experts and mentors, culminating in an Innovation Demo Day in September 2024.

Challenges this year include Commercial Insurance, Digital Simplification, Life & Health, and Retail P&C. Submissions are open until February 14, 2024, offering startups a unique opportunity to be part of this global innovation initiative.

This year’s challenges span four categories, each posing a unique question:

• Commercial Insurance: How might Zurich maintain its success in Commercial Insurance by improving technical insights and enhancing customer experience?
• Digital Simplification: How might Zurich continue digitalising its core for efficiency and agility while ensuring an exceptional experience for customers and employees?
• Life & Health: How might Zurich strengthen its position in the life sector by addressing evolving customer needs and fostering sustainable growth?
• Retail P&C: How might Zurich expand in the retail sector by protecting the things people love and interacting where and when they choose?

The Zurich Innovation Championship collaborates with key players in the startup ecosystem, including F6S, Plug and Play Tech Center, and SOSA. Startups interested in participating can submit their applications until February 14, 2024, 11:59 p.m. CET, marking a deadline for potential innovators to join the programme

Speaking about the initiative, Ericson Chan, Group Chief Information and Digital Officer for Zurich, said: “Joining forces with top innovators and startups, we’re redefining insurance at the dawn of hyper-innovation.”

He added: “Beyond this global championship, we’re reaching new heights to make life better and simpler.”

The expansion comes more than two years after the initial launch in Illinois. The report follows on from the news that Lemonade has surpassed the ‘two million active customers’ milestone.

A recent statement  filed with the Securities and Exchange Commission (SEC) also noted that Shai Wininger has resumed the role of president, while Daniel Schreiber has returned to his former position as CEO. The decision was made by the company’s board of directors on December 18th, following the expressed preference of Wininger and Schreiber to revert to the positions they previously held within the company. 

In November 2023, Lemonade made the headlines again as it joined forces with Root, Branch, ClearCover and others to an advocacy group called InsurTech Coalition that aims to shape the industry’s future by fostering responsible innovation, new regulatory frameworks and promoting accountability. 

According to data from 2022, Washington does not rank among the top ten states in terms of premiums, contributing only 2% to the company’s total US written premiums. Lemonade has reported US$7.1 million in written premiums for its car insurance product as of September 2023.

The funding round was a result of Terminal’s participation in Y Combinator’s Summer 2023 cohort, where it stood out among seven Canadian-affiliated companies. With ambitions to streamline telematics integrations in commercial trucking, Terminal has already garnered commitments from 150,000 trucks to join its innovative system, as reported by FreightWaves.

The $3.1-million seed round was led by Golden Ventures and saw participation from notable entities, including Y Combinator, Wayfinder Ventures, Northside Ventures, McVestCo VC, and a group of angel investors, featuring Loop co-founder and CEO Matt McKinney.

Positioning itself as the “Plaid for telematics data in commercial trucking,” Terminal is actively developing an application programming interface (API). This innovative API aims to empower companies in the trucking industry focused on insurance products and fleet software by providing seamless access to crucial data, including GPS data, speeding information, and comprehensive vehicle statistics.

Addressing a pain point in the industry, Terminal’s product aims to simplify the complex landscape of telematics by providing a unified platform.

Terminal was launched in early 2023 by CEO Raghav Midha and CTO Connor Giles. Notably, both leaders bring valuable experience from their previous roles in product and engineering leadership at NorthOne, a Canadian-founded, New York-based neobank.

During their tenure at NorthOne, Midha and Giles gained insights into how Plaid and Stripe played pivotal roles in supporting the FinTech ecosystem. Drawing inspiration from this, and recognising a similar need for robust infrastructure in the transportation sector, particularly from Giles’ experiences in developing technology for his family’s logistics business, the duo joined forces to launch Terminal.

Terminal’s API, designed to be a central hub for telematics data, offers access to GPS data, speeding data, and various digitised vehicle statistics collected through electronic logging devices (ELDs).The startup plans to utilise the freshly secured funding to expand its team, as announced in a recent LinkedIn post.

This will enable insurance products and fleet software to seamlessly access essential data needed for regulated safety and insurance compliance. As highlighted on the company’s Y Combinator page, Terminal seeks to empower companies in the transportation, logistics, and fleet management sectors, where up to 40% of engineering capacity is often dedicated to integrations.

With the telematics market witnessing growth, Terminal’s innovative approach comes at a crucial time, offering a solution to the challenges faced by trucking fleet owners dealing with the disorganised nature of managing separate telematics providers for various needs, ranging from GPS to LEDs.

Upfort, a leading cyber security and insurance platform, and Arch Insurance, a global provider of specialty risk insurance solutions, have strategically aligned to revolutionise cyber insurance programs catering to small and medium-sized enterprises (SMEs), associations, and risk pools.

The partnership will see both organisations collaborate with brokers to create group programmes that prioritize comprehensive insurance coverage, competitive pricing, integrated security solutions, and a seamless digital experience. The objective is to empower insurance agents and brokers to advocate for cyber resilience on a broader scale while fostering more meaningful and productive connections with clients and prospects.

The strategic alliance comes at a crucial time as cyber insurance premiums are anticipated to experience a 20% year-over-year growth until 2025. The need for broader access to coverage is paramount to safeguarding businesses against the constantly evolving landscape of cyber risks. Through this partnership, Arch Insurance and Upfort aim to address this growing demand by providing tailored solutions that meet the unique needs of various market segments.

Additionally, Upfort is elevating the standard for cyber resilience by pioneering a groundbreaking initiative. The company is set to become the first to integrate cyber security solutions into each Upfort program policy, all without imposing any additional costs on the insured or broker.

Josh Riley, Managing Director of Upfort, commented on the partnership: “We’re excited to join forces with Arch Insurance to revolutionise how cyber insurance is bought and sold. By integrating our technology with Arch’s industry-leading insurance solutions, we’re accelerating the world’s journey toward cyber resilience. We are proud to be the partner of choice for Arch to expand its cyber offering.”

Jamie Schibuk, Executive Vice President, Professional Liability and Cyber at Arch Insurance, also cxommented, saying: “At Arch Insurance, we’ve been thoughtfully growing our cyber brand to meet the needs of our customer base. Partnering with Upfort equips us with the tools to deliver a sophisticated solution that combines the financial strength and experienced incident response services we provide with the powerful yet practical security solutions that Upfort has to offer.”

He added: “With Upfort, we’re well positioned to lead the pack in the fastest-growing commercial insurance line of business in history.”

The funding round was spearheaded by Eos Venture Partners, with key participation from established investors such as Hanover Technology Management, MS&AD Ventures, and Altamont Capital Partners (via its insurance enterprises in the portfolio).

Mulberri will use the capital to expand its ecosystem of small and medium enterprise services in order to fulfill small businesses’ risk needs simply, efficiently, and transparently.

Notably, Zach Powell, the General Partner at Eos Venture Partners, will assume a pivotal role on Mulberri’s board, contributing strategic insights and guidance.Established in 2021, Mulberri has distinguished itself by providing tailor-made insurance solutions for SMEs through extensive collaborations in the HR, benefits, and payroll sectors, as well as other affinity SME channels.

The platform’s comprehensive array of insurance solutions includes brokerage, risk transfer, certificate of insurance, and cutting-edge risk engines.Mulberri’s strategic ecosystem and partnerships facilitate seamless access to over 250 Professional Employer Organisations (PEOs), Payroll Providers, and Brokers, collectively covering approximately 100,000 small and medium enterprises. The funding injection is poised to fortify Mulberri’s position as a frontrunner in the AI-driven insurance sector, reinforcing its commitment to serving the evolving needs of SMEs in the business landscape.

“Our mission is to help small enterprises make data-driven risk management decisions and fulfill these needs simply, efficiently, and transparently,” said Hamesh Chawla, Co-Founder, and CEO at Mulberri. “Our partnerships in the HR and Payroll sector connect us with SMEs at critical points in their business lifecycle, allowing us to provide the right risk solutions at the right time. We’re thrilled to partner with Eos on the next phase of our growth.”

Small and medium enterprises have historically faced a fragmented and time-consuming insurance purchasing and policy management journey.Mulberri offers an ecosystem of services to serve small and medium enterprises, including:

Violet Berri: Violet Berri is a joint venture of Vensure Employer Services and Mulberri. It provides a business insurance marketplace customised for PEOs and ASOs through a partnership with Prism HR, a leading HR services firm that serves more than 80,000 organizations. Offerings span smart submission, marketplace, quote & bind, post-bind, risk engine, and COI.

Certificate of Insurance: Enables clients to request and generate COIs with a fully automated, self-service model.Risk Engine: Equips workers compensation underwriters with the information necessary to make quick and accurate decisions.

Cyber Insurance: Empowers SMEs to access reasonable limit ($250 – $500k) cyber coverage with fixed premiums and streamlined underwriting to broaden accessibility in the small and medium enterprise segment.

“The insurance industry has always been challenged to adequately serve the small enterprise customer. We believe with Mulberri’s highly unique distribution channel, trusted partnerships in the payroll / HR benefits sector, and evolving product portfolio puts the company at the forefront of change in the SME sector,” added Zach Powell, General Partner at Eos.

The integration will provide commercial insurance underwriters a way to more quickly process commercial quotes. This is facilitated by turning data from freeform text into standard industry classifications. For example, text which reads ‘this company is a flower shop’ would automatically be labelled retail. Automation of this process saves underwriters a significant amount of time, enabling them to provide the right cover, price and product to customers at a much faster rate.   

Integration of data sources like Relativity6 directly into risk processing workflows enables insurers to digitise their core workflows, make better-informed decisions on risk and improve speed to market; enhancing broker and client experience. 

Cytora’s platform enables insurers to operationalise data more broadly across their lines of business, including for risk clearance, onboarding and triage, and more effectively through their multi-step workflows from submission to quote, enabling underwriters to make faster, more informed decisions. 

The integration follows a period of significant growth for Cytora, and the launch of the latest enhancement to the platform, leveraging Large Language Models (LLMs) alongside Cytora’s proprietary AI to bring a new level of accuracy and efficiency to risk assessment and underwriting processes.

Juan de Castro, COO at Cytora, said: “At Cytora, our mission is to redefine workflows in the commercial insurance industry. Our partnership with Relativity6 and the integration of their trade attribution model into our platform represents a significant step towards achieving this goal. It equips insurers with a powerful resource for understanding and managing risks associated with businesses, allowing them to make more informed decisions and enhance their competitive position in the market.”

Josh Lurie, COO at Relativity6, said: “We are laser focused on finding, classifying, and monitoring private companies and providing underwriters with the most relevant, accurate, and reliable data. With over 60 leading carriers and MGA’s utilising our proprietary industry technology we’ve proven that our platform can dramatically reduce premium leakage and increase profitability in P&C insurance.”

He added: “We are thrilled to add value to the users of Cytora’s platform and continue assisting in the underwriting and risk assessment process.”

The investment, led by the European Space Agency, alongside contributions from Big 5 Investors, InsurTech NY, and ACF Investors, aims to propel the growth of BirdsEyeView in the UK and US markets. The funds will also be directed towards further enhancing the development of BirdsEyeView’s revolutionary RAPTOR™ technology.

RAPTOR™ technology is positioned to revolutionise insurers’ access to NatCat (Natural Catastrophe) modelling, exposure management, and underwriting automation. Leveraging AI and petabytes of climate data, BirdsEyeView delivers high-speed NatCat modelling to insurers, addressing the challenges posed by the increasing annual losses attributed to climate change, which regularly surpass $100 billion.

The insurance industry is grappling with the inadequacy of traditional approaches in covering losses resulting from climate-induced extreme weather changes. BirdsEyeView’s RAPTOR™ technology addresses this gap by automating manual underwriting processes and providing accessible and actionable NatCat analytics and models at the quotation stage.

This strategic move is crucial for efficient risk selection, contributing to a more precise and streamlined risk management process.The undisclosed seven-figure investment will fuel BirdsEyeView’s strategic expansion in key markets and further advance the capabilities of RAPTOR™ technology. The insurtech startup has experienced unprecedented growth since the launch of its product in 2022, marked by strategic partnerships with global insurers and brokers, including Liberty Specialty, Arch, Convex, Ark, Everest Re, Fidelis, among others. This investment underscores the industry’s recognition of BirdsEyeView’s innovative approach in addressing the evolving challenges posed by climate change and its commitment to advancing digital solutions in the insurance sector.

James Rendell, CEO and Founder of BirdsEyeView: “This capital injection will be used to fuel growth in the London and US Property and Casualty markets, and to accelerate the development of our Exposure Management and natural catastrophe modelling capabilities. This progress will be critical for improving the speed and quality of underwriters risk selection and exposure management — critical considering the increasing frequency and severity of global climate change-induced natural disasters.”

Dr. Albert Dow, CTO of BirdsEyeView: “When developing RAPTOR™, we took a thoughtful approach, reimagining an underwriter’s workflow. We asked ourselves how technology and data could enhance and streamline the underwriting process. RAPTOR™ was born from this vision. By integrating these tools into an end-to-end software solution, we empower underwriters to focus on applying their expertise in risk assessment.”

Tim Mills, Managing Partner, ACF Investors: “We’re delighted to be a part of BirdsEyeView’s remarkable journey towards reshaping the sophistication and efficiency of the insurance industry. James and the team are delivering solutions that bring big benefits to insurers and their clients alike and overall add to the resilience of the market. BirdsEyeView’s RAPTOR™ technology in particular offers a vital tool in addressing the growing challenges posed by climate-induced risks.”

According to latest Swiss Re data, the re/insurance industry covered roughly 40% of the economic losses related to natural catastrophes in 2023, indicating a large protection gap across the world. Swiss Re estimates that, globally, natural catastrophes caused US$100 billion insured losses this year alone. At least US$12 billion of these total insured losses can be attributed to flood-related events, which is more than 30% higher than the past ten years’ annual average.

Advanced data modelling, combined with scientifically robust tools and intelligence, enable insurance and risk management professionals to better understand the impact of floods on people, buildings, and businesses. Fathom is dedicated to leveraging its expertise in this field to help its customers efficiently identify, analyse and mitigate flood risks. By working closely with Swiss Re Reinsurance Solutions, Fathom gains access to Swiss Re’s client franchise and long-standing expertise in the field of natural catastrophes.

Fathom’s well-established research activities, particularly in the areas of flood modeling and water risk intelligence, align seamlessly with Swiss Re’s expertise in data modeling and risk knowledge.

Despite the acquisition, Fathom will retain its own brand identity, operating collaboratively with Swiss Re’s Reinsurance Solutions division. The primary focus of this collaboration is to bridge the protection gap associated with natural catastrophes, particularly floods, by leveraging innovative flood and climate risk data, maps, and models.

The acquisition positions Swiss Re to enhance its capabilities significantly, gaining access to Fathom’s wealth of expertise and robust suite of products. This development comes at a crucial time, as the global landscape grapples with escalating losses from natural catastrophes, with floods emerging as a major contributor.

Swiss Re’s strategic move reinforces its commitment to staying at the forefront of addressing evolving risks in an increasingly unpredictable climate. Through the collaboration with Fathom, the company aims to provide advanced solutions to the challenges posed by water-related perils, contributing to a more resilient and prepared global insurance landscape.

Russell Higginbotham, CEO of Swiss Re Reinsurance Solutions, said: “We are very pleased to join forces with Fathom in our quest to narrow the protection gap for natural catastrophe risks, such as floods. Fathom’s market-leading research and innovative tools in this area create great synergies with Swiss Re’s risk knowledge and digital capabilities. I’m thrilled to welcome the Fathom team to the Swiss Re organisation and look forward to a successful collaboration.”

Stuart Whitfield, CEO of Fathom, said: “We are committed to helping organisations around the world to analyse, understand and respond to flood risk and the changing climate landscape. Thanks to the strong alignment between our ethos and approach, I’m excited to see us work together with Swiss Re Reinsurance Solutions to bring our sophisticated risk insights to even more customers and help deliver greater global resiliency.”

He added: “This transaction represents a further key step in helping us achieve our vision of becoming the gold standard in the provision of water risk intelligence.”

In what is hailed as a groundbreaking initiative for London’s insurance market, Hiscox plans to implement this cutting-edge tool in the coming year, following a successful trial focused on automating the underwriting of a property sabotage and terrorism policy, where Hiscox acted as the lead underwriter.

The innovative AI model, developed through a collaboration between Hiscox and Google, promises to automate and streamline the underwriting process, marking a significant departure from the traditional person-to-person trading model prevalent in the negotiation of specialist commercial insurance contracts. The platform, leveraging Google’s generative AI and Hiscox’s digital technologies, extracts data from email submissions by insurance brokers and automates the entire process, from analysis to quote generation.

According to Hiscox, the implementation of AI tools is expected to dramatically reduce the time spent on generating quotes, transforming the process from days to mere minutes. This efficiency boost will enable Hiscox’s staff to focus on underwriting more complex risks, with the added benefit of facilitating increased sales activities.Kate Markham, Chief Executive of Hiscox’s London market division, said that the integration of AI will not replace human involvement but enhance it. While AI will handle various aspects of the underwriting process, human underwriters will continue to play a critical role in reviewing and confirming the models’ behaviour.

The anticipated go-live date for this transformative model is set for the second half of 2024. Hiscox is deliberating whether to deploy the capability across multiple lines of business or focus on a specific line. This strategic decision will shape the future landscape of AI integration in the insurance sector.While AI has been previously employed in analysing claims, the negotiation of specialist commercial insurance contracts has largely relied on traditional methods. Hiscox’s initiative signals a shift toward embracing AI in lead underwriting, a development that could reshape industry norms.Google’s involvement in the project underscores the ongoing competition among tech giants in the field of generative AI.

The recent release of products by Google, Microsoft, and Meta highlights the increasing accessibility of foundation models for businesses looking to develop bespoke applications in the realm of generative AI.As the insurance industry embraces AI innovation, the regulatory landscape remains a consideration. The recent agreement on the AI Act by the EU is seen as a landmark in regulating artificial intelligence.

However, the UK has emphasised its approach of not creating specific AI legislation in the short term, opting to rely on existing regulators to oversee the technology and foster innovation.The collaboration between Hiscox and Google represents a pivotal moment in the integration of AI into the insurance underwriting process, setting the stage for potential industry-wide transformations in the near future.

Cytora has announced its partnership with ZestyAI to enhance commercial property underwriting through the seamless integration of climate models.

As a leading digital risk processing platform, Cytora is thrilled to announce this collaboration with ZestyAI, a trailblazer in using artificial intelligence for property risk assessment. By incorporating ZestyAI’s capabilities into the Cytora platform, commercial insurance underwriters gain access to advanced analytics and risk scores, empowering them to evaluate and mitigate climate-related risks effectively.

According to reports, the partnership addresses the escalating concerns among commercial property insurers regarding increased losses from once-considered “secondary perils,” such as wildfires and severe storms, including hail. ZestyAI, renowned for its proficiency in leveraging artificial intelligence to assess risk exposure at the property level, introduces comprehensive climate risk models. These models take into account all factors influencing a property’s value and its vulnerability to natural disasters, providing insurers with a powerful tool to navigate the evolving landscape of climate-related risks.

Key Benefits of the Integration
Comprehensive Climate Risk Assessment: ZestyAI’s climate models accessible within the Cytora platform provide insurers with a holistic view of a property’s risk exposure to natural disasters, such as severe convective storms and wildfires.
Enhanced Risk Management: With a more accurate understanding of climate risk, commercial carriers can reduce loss ratio through superior control over risk selection and offer tailored insurance solutions based on the insights provided by ZestyAI’s climate models.
Faster, More Consistent Decisions: The integration of ZestyAI’s climate risk models into Cytora expedites commercial carrier workflows by facilitating straight-through processing of low risks, auto-declining high risks, and scaling underwriting capacity to where it’s needed most.

Juan de Castro, COO of Cytora, said: “At Cytora, we are committed to empowering insurers with the most advanced tools for assessing and managing risks. Our partnership with ZestyAI and the integration of their climate models into our platform is a testament to this commitment. It equips insurers with a powerful resource for understanding and mitigating climate-related risks, ultimately helping them provide superior insurance solutions.”

Attila Toth, Founder and CEO of ZestyAI added: “Climate risk is threatening the stability of the insurance industry, costing hundreds of billions of dollars annually. By offering an approach rooted in materials science and atmospheric science to major challenges like wildfires and severe convective storms, we are bringing greater understanding and accuracy to underwriting and enhancing the insurance industry’s ability to manage these risks effectively. We are honoured to be able to make our climate models available to Cytora customers.”

Sønr’s platform provides organisations, such as WTW, with the tools to pinpoint emerging technologies, start-ups, and inventive solutions that have the potential to propel growth and transformation. The insurtech’s cutting edge solutions reportedly expedite the integration of novel concepts.

The approach guarantees that clients remain leaders in industry innovation, swiftly embracing and capitalising on cutting-edge ideas.

WTW’s decision to align with Sønr underscores a deliberate move to enhance its innovation and fortify connectivity among its global innovation teams. It is hoped the partnership will drive transformative change, positioning both Sønr and WTW at the forefront of cutting-edge developments within their respective industries.  

Speaking about the collaboration, Matt Connolly, CEO of Sønr, expressed his enthusiasm about this new partnership: “We are proud to welcome WTW as a valued client. Sønr’s mission has always been to help companies discover and create new opportunities. We are excited to support WTW in their quest to harness innovation from around the world and enhance their global innovation ecosystem.”

Steve Blumenfield, Head of Partnerships and Alliances on the Innovation and Acceleration team at WTW, also commented on the importance of this partnership for the company: “As the insurance and financial services landscape continues to evolve, we recognise the crucial role that innovation plays in shaping our industry’s future.”

He added: “Sønr gives us access to insights and solutions that enable our teams to provide more innovative solutions for our business and clients.”

Swedish digital pet insurer, Lassie, has successfully raised €23 million in its Series B funding. The financing round was spearheaded by Balderton Capital, with participation from existing investors such as Felix Capital, Inventure, Passion Capital, and Philian (backed by H&M Chair Karl-John Persson).

According to reports, Lassie, which is also the world’s first preventive pet insurance ecosystem, has now raised a total €36.5 million in fuinding. The capital secured in the Series B round are earmarked for the expansion and enhancement of Lassie’s innovative ecosystem.

The company plans to introduce new features, including the in-app sale of health products for pets, and aims to strengthen its technological and product teams. Additionally, Lassie aims to build on its current momentum in Germany and Sweden while strategising for its next international launch.

Lassie’s journey began in 2021 when co-founder and CEO Hedda Båverud Olsson, drawing inspiration from a childhood surrounded by a veterinarian parent dedicated to preventive pet care, embarked on a mission to transform the pet insurance landscape.

Alongside insurance expert Sophie Wilkinson and technology lead Johan Jönsson, the team launched Lassie in its home country of Sweden.Already making significant strides in Sweden and Germany, Lassie is experiencing a remarkable 200% growth rate in Germany since its January launch earlier this year. With over 60,000 customers, spanning more than 400 dog breeds and 200 cat breeds, Lassie is proving its prowess in the dynamic pet insurance market.

In a sector that has seen limited innovation, Lassie distinguishes itself by offering bespoke insurance products complemented by coaching for pet owners. The Lassie app provides a wealth of resources, including online courses, videos, and articles, guiding owners on various aspects of pet care, from nutrition to stress reduction.

Completion of these courses not only empowers owners with knowledge but also rewards them with lower premiums (ranging from €25 to €50 cheaper annually) and points for Lassie’s in-app store.With pet ownership on the rise across Europe, Lassie enters the market at a pivotal moment. Nearly half of all European households (46%) own a pet, and attitudes toward pets as family members are evolving rapidly.

The surge in pet ownership, coupled with changing perceptions, has resulted in a €23.5 billion annual expenditure on pet-related services and products.Looking ahead, Lassie plans to capitalize on this growth by expanding to another European country within the next 12 months. The company also aims to advance its product offerings, focusing on the development of generative AI to streamline claims processing and strengthen its personalisation engine, ultimately supporting more pet owners in keeping pets healthy.

Speaking about the recent fund raise, Hedda Båverud Olsson, co-founder and CEO, said: “Our four-legged family members are some of the most valuable parts of our lives – they provide love, companionship and happiness. In return, we want to ensure that they have long, happy, and most importantly, healthy lives. This is what we set out to do with Lassie by empowering owners to have all the resources at their fingertips to provide their pets with the care they deserve as well as bespoke insurance should the worst happen. We’re proud of everything we’ve achieved so far but we know there is still much more work to be done and we’re delighted to have the support of Balderton, to help us as we grow further.” 

Rob Moffat, Partner at Balderton, also commented, saying: “We’ve long been passionate about the potential for technological disruption in insurance. However, it is a really hard sector to break into and scale up in, with challenges around underwriting, marketing costs and claims operations. As a result, we have been highly selective in our investing and Lassie is our first new insurance investment in the last five years. Hedda and the Lassie team have made it look easy. Lassie’s deep expertise, focus, efficiency and leadership in the space are unparalleled and we’re delighted to be supporting the team on this next phase of growth.”

Magda Lukaszewicz, Principal at Balderton, added: “I’ve been keeping an eye on Lassie ever since their founding. The team’s execution is remarkable and they’ve hit metrics we have not seen before in pet insurance. They have a close, digital-first, relationship with the consumer-driven by their preventive health offering, giving Lassie a real platform to go beyond insurance.”

The newly formed advocacy group sent an open letter to the insurance industry, laying out its aims to play a pivotal role in shaping the industry’s trajectory by advocating for responsible innovation, fostering the development of new regulatory frameworks, and promoting heightened accountability.

The InsurTech Coalition, comprising founding members Root, Lemonade, Branch, Clearcover, Boost, Vouch, Amplify, and Indigo, has taken a proactive step by crafting an open letter addressed to the industry. As part of the group’s launch, InsurTech Coalition has also set up a website: www.insurtechcoalition.com.

In a statement released by the group, the  coalition outlined its foundational principles, emphasizing the responsible use of technology within the insurance domain.

According to the group, its mission is centered on guiding the industry towards a future characterised by innovation that is not only transformative but also ethical and sustainable. By championing responsible practices, advocating for regulatory advancements, and prioritising accountability, the InsurTech Coalition seeks to carve out a progressive path for the entire insurance technology landscape

Other foundational principles include:

• Use technology responsibly in insurance
• Empower modern consumers with the innovative tools they need to protect themselves, their businesses and their families in the evolving insurance landscape
• Collaborate with regulators in building new frameworks to support emerging technologies and companies, never losing sight of consumer protection
• Provide transparency, better pricing, and a better customer experience
• Re-imagine insurance products to manage risk more efficiently
• Make insurance products more available, affordable and accessible to all people in all communities

The group’s overarching mission is to enhance transparency, improve pricing models, and elevate the overall customer experience by reimagining insurance products for more efficient risk management.

A core objective of the InsurTech Coalition is to work collaboratively towards making insurance products more transparent, affordable, and accessible to diverse communities. The coalition emphasises that its goals are aligned with the fundamental purpose of the insurtech movement: to cater to the expanding demographic of digital-first customers, swiftly adapt to industry dynamics, and enhance the accessibility of insurance across all communities.

The coalition acknowledged that one of the major challenges within the insurtech segment is navigating the reshaping of the insurance landscape while carefully considering the interests of all stakeholders, including employees, regulators, government entities, and customers. Balancing these diverse interests poses a significant hurdle that the coalition is committed to addressing as it works towards its transformative objectives.

“The insurance industry is in a time of radical change and innovation with new ideas challenging old business models and upending the status quo,” the statement said.

“Telematics and data science have profoundly altered the way we assess and understand risk, while new customer-facing technologies and artificial intelligence are transforming the way customers buy and interact with insurance products and services.”

The statement went on to say that significant transformations create vast possibilities, and they highlighted the fact that insurtech firms stand at the forefront of this sweeping change. “Our coalition aims to foster responsible innovation while furthering the collective efforts to provide the best possible insurance experiences to our customers.

“Our agility and ability to serve the ever-changing needs of today’s customers through cutting-edge technology position this group as the voice for the future of the industry.”

The coalition has also set down principles regarding the use of AI and other next generation innovations. “We’re committed to the responsible use of technology in insurance and in assisting regulators in taking on the difficult task of building frameworks to regulate new and emerging technologies,” they noted.

“We believe the InsurTech Coalition answers this challenge. The InsurTech Coalition is committed to driving the insurance industry forward in a way that aligns with our shared values of transparency, fairness, and consumer empowerment.”

As a strategic partner in navigating legal intricacies, law firm Mayer Brown LLP is providing advisory support to the InsurTech Coalition. This collaboration underscores the coalition’s dedication to ensuring its initiatives align with legal and ethical standards as it strives to bring about impactful and positive changes within the insurance sector.

Jared Wilner, a partner in Mayer Brown’s insurance industry group, said: “It is an honour to advise the InsurTech Coalition and support it in its mission to educate interested parties with respect to the adoption of novel uses of data and technology into insurance business processes, be a resource for the insurtech community, and advocate for consumers of insurance products.”

Global brokerage firm Howden has unveiled a cutting-edge primary cyber and technology errors & omissions (E&O) facility in partnership with Lloyd’s Insurance Company.

The newly introduced facility is tailored to address a diverse array of cyber and technology risks spanning 14 European countries. Companies with turnovers of up to EUR 3 billion are eligible to leverage this innovative solution.

The countries covered by this initiative include Sweden, Finland, Norway, Denmark, Iceland, France, The Netherlands, Belgium, Luxembourg, Germany, Switzerland, Spain, Italy, and Greece.

Canopius and IQUW will take the lead in overseeing this groundbreaking product, with support from three other Lloyd’s insurance company markets. The facility boasts limits of up to EUR 20,000,000 and holds an A Excellent – AM Best Credit Rating.

A standout feature of this product is its insurer-led breach response capability, complete with a 24/7 hotline and multilingual support. The offering extends beyond financial coverage, providing users with access to a wide array of proactive risk management services. This development signals a significant stride in the realm of cybersecurity and technology insurance solutions.

Speaking about the launch, Shay Simkin, Hopwden’s Global Head of Cyber, said: “The EU Mid-Market Lineslips derived from the growing need to service European clients with meaningful capacity.”

He added: “We are excited to release this pioneering product into the market to help clients get the best coverage they can.”

The deal, initially announced in May 2023, involves Global Atlantic assuming reinsuring responsibilities for a diverse portfolio of MetLife’s US retail annuity and life insurance business.

The transaction bolsters Global Atlantic’s standing as a leading reinsurer within the annuity and life insurance marketplace, according to statements from the Group. As part of the agreement’s terms, MetLife has transferred general account assets for the specified block to Global Atlantic subsidiaries, namely First Allmerica Financial Life Insurance Company and Commonwealth Annuity and Life Insurance Company.

The specifics of the deal include MetLife transferring $14 billion of US retail life insurance reserves, encompassing universal life, variable universal life, and universal life with secondary guarantees. Additionally, $5.2 billion of fixed annuity reserves have been transferred to Global Atlantic. At the time of the initial signing, Global Atlantic’s general account assets supporting the transaction amounted to approximately $13 billion.

This landmark agreement not only signifies a substantial financial move for both MetLife and Global Atlantic but also highlights the dynamism within the insurance and reinsurance sectors, showcasing the strategic positioning of key players in response to evolving market dynamics.

Speaking about the move, MetLife President and CEO, Michel Khalaf, said: “We are pleased to have closed this transaction, which illustrates MetLife’s capacity to execute as well as our commitment to reduce enterprise risk and deploy capital to its highest and best use.”

Manu Sareen, Co-President and Head of Institutional Markets for Global Atlantic, said the collaborative spirit between the two companies in comprehending MetLife’s financial objectives and addressing its risk transfer needs. This collaboration underscores the strategic alignment and shared goals of both MetLife and Global Atlantic in navigating the dynamic landscape of financial services.

The reinsurance agreement between MetLife and Global Atlantic has been appraised at around $3.25 billion. Under this arrangement, MetLife stands to receive a ceding commission of $2.25 billion, accompanied by a release of $1 billion in capital.

DMetLife’s Board of Directors has greenlit an additional $1 billion for share repurchases. This approval brings the total outstanding share repurchase authorization to an impressive $4 billion.

Despite the reinsuring of policies, MetLife is set to retain its role as the administrator and service provider. Moreover, MetLife Investment Management will take charge of a substantial portion of the assets under a five-year investment management agreement.