Insurtech roundup: Talanx; Zesty.ai; Munich Re; Sapiens; Bank of England

16 October 2019

Talanx partners with WorkFusion to digitalise claims processing

Who’s involved: German re/insurer Talanx and US-headquartered automation software provider, WorkFusion.

What’s happening: Talanx and WorkFusion have agreed a strategic partnership. In an initial step, the software from WorkFusion is being used for automated checking and processing in the claims division at Talanx’s subsidiary HDI. The software will initially be used for invoices dealing with glass breakage and motor insurance.

Significance of development: Talanx has described the new software asautomation 4.0” because the artificial intelligence platform can take end-to-end decisions, known as Intelligent Process Automation. The re/insurer added that documents in the test scenario could be processed three times faster than before.

 

MetLife partners with Zesty.ai to predict wildfire risk

Who’s involved: US-based risk analytics provider Zesty.ai and insurer MetLife.

What’s happening: MetLife has teamed up with Zesty.ai to predict wildfire risk.

Significance of development: Zesty.ai predicts risk based on building information, aerial imagery, and patterns gleaned from wildfires and data from fire scientists. MetLife will use this type of data for property-level scoring. The US insurer has also been reported as saying it hopes its new scoring system will bring in new customers and retain old ones.

 

Munich Re Automation Solutions targets mid-tier insurers

Who’s involved: Munich Re Automation Solutions, an insurtech subsidiary of Munich Re group.

What’s happening: Munich Re Automation Solutions is bringing its automation expertise to the global mid-tier insurance market with ALLFINANZ SPARK, its software as a service (SaaS) automated solution.

Significance of development: The service enables firms to input their own sources of data and analytics including predictive modelling and machine-learning algorithms. According to Declan O’Neill, executive vice president for product and data at Munich Re Automation Solutions, this removes many of the upfront costs and implementation barriers to entry mid-tier firms face.

 

Sapiens acquires Spain-based Cálculo

Who’s involved: Sapiens, an Israel-headquartered insurance software provider and Spanish IT solutions provider, Cálculo.

What’s happening: Sapiens has agreed to acquire Cálculo for an undisclosed sum.

Significance of development: Sapiens’ president and chief executive Roni Al-Dor said the deal is expected to accelerate its global footprint by helping the provider “enter the sizeable Iberian market”.

 

Machine learning increasingly being used in UK financial services

Who’s involved: The Bank of England (BoE) and the UK’s Financial Conduct Authority (FCA).

What’s happening:  The BoE and FCA conducted a joint survey in 2019 to better understand the current use of machine learning in UK financial services. The survey was sent to almost 300 firms including insurers and investment managers.

Significance of development: Two thirds of respondents reported they already use machine learning in some form.

The survey said machine learning is most commonly used in anti-money laundering, and fraud detection as well as in customer-facing applications. 

Some firms also use machine learning in areas such as credit risk management, trade pricing and execution, as well as general insurance pricing and underwriting, according to the BoE and FCA.