Insurance is typically not the sexiest market, but like many aspects of the real estate industry, there’s a large opportunity for technology to make this more modern. Built on largely manual processes with arguably unnecessary parties involved (just think of all the time and effort needed for a single policy or claims process), innovation in property insurance has the potential to make the industry much more transparent and efficient, significantly saving time and money.
Companies such as Lemonade and Hippo are leading transformations in home insurance. Applicants can purchase a policy in minutes with minimal effort as much of their data (e.g. details about the property) is already stored on the system. The process is powered by bots and machine learning instead of brokers, using complex algorithms to quickly calculate an applicant’s risk profile based on vast datasets. Other startups are leveraging the ability to use cloud and mobile in new ways. For example, insurers are adopting the use of mobile photo estimating in the claims process at a rapid rate, enabling claims to be paid at a much faster.