Munich Re and its subsidiaries have been more active than rival Swiss Re on the startup investment and partnership front over the last year.
In Swiss Re’s recent annual letter, Chairman Walter Kielholz wrote,
“Today more than ever, some of these intermediaries run the risk of getting disintermediated sooner rather than later because they are unable to adapt their business model, disruptors are penetrating their markets or technology is changing the entire industry.”
While insurers ranging from AXA and Allianz to MassMutual and Liberty Mutual have gotten busy in tech startup investing, leading reinsurers Swiss Re and Munich Re and their subsidiaries have also explored a number of strategic moves across the startup landscape in their own right. Earlier this month, Swiss Re launched the InsurTech Accelerator in India focused on “Internet of things (IoT), systems of engagement, and smart analytics.” Conversely, Munich Re has sponsored accelerator Plug and Play’s insurance and IoT programs and also partnered with Alma Mundi Ventures in Spain to launch its own accelerator MundiLab. Munich Re has also invested in several IoT startups including Helium, Waygum, and Augury through its corporate venture arm, Munich Re/HSB Ventures, and backed soon-to-launch P2P P&C insurance startup Lemonade with reinsurance capital. Munich Re, through its Digital Partners program, has also struck a number of underwriting partnerships with startups including Trov, Simplesurance and Slice.
The graphic below highlights the startup and accelerator moves by Munich Re and Swiss Re since the start of 2015. As chatter surrounding risk to the reinsurance value-chain disruption continues, will we see larger forays into the insurance tech ecosystem by the reinsurance giants? Updated (10/12/2016): We’ve added new minority investments by Swiss Re as well as underwriting partnerships, M&A and more by Munich Re and its subsidiaries. Want more insurance tech data and analysis? Sign up for the CB Insights Insurance Tech Insights newsletter.