Cyber and real estate partnerships. This week in insurance tech.
Over the course of the last year, a growing number of automakers including
—Volvo, Ford, Cadillac, Porsche, BMW and Mercedes-Benz — have either launched or announced plans to launch car subscription models. Billed as the hottest announcement out of last year’s Los Angeles Auto Show, car subscriptions largely aim to provide a car with an all-inclusive package that bundles together payments, maintenance, and insurance.
Because most car subscription programs come with insurance coverage included, consumers that sign up do not need to go out and obtain car insurance on their own.
As the screenshot below from Ford’s Canvas highlights, some automakers have tried to emphasize such convenience.
Ultimately, car subscriptions are still incredibly early in their development. Ford Canvas, for example, reports just 600 customers in San Francisco and Los Angeles.
Over the past few months, SoftBank has been linked to a number of recent (closed or rumored) insurance-related deals including:
September 2017: Cornerstone $550M investment in Zhong An Online’s IPO October 2017: $400M investment in Ping An Good Doctor December 2017: Led $120M investment in Lemonade January 2018: Rumored investment talks with PolicyBazaar February 2018: Major investor in $1.15B round to Ping An Healthcare Technology
This week, reports surfaced of “very early stage” investment talks between SoftBank and Swiss Re for a stake in the reinsurer that could be as large as $10B. Per The Wall Street Journal:
“SoftBank aims to take Swiss Re’s insurance products directly to consumers, according to people familiar with the matter. The plan would be to use technology…and tap the network of companies in which SoftBank itself is a major investor, the people said.”
Future joint ventures with its broader investment portfolio (which include ride-sharing giants Uber, Grab, Ola, Didi, and Didi-acquired 99) are clearly on SoftBank’s mind if its most recent investor briefing is any indication:
But for now, take this for what it is: speculation. Keep up to date with SoftBank’s different investment moves using our tracker here.