That’s why Lemonade will be the Facebook for Insurance

The CEO of one of the most innovative insurance US tech startups, which has already raised $ 13 million before entering the market, explains what companies can learn from socials, and which his company will reach

Published on 27 Jul 2016

Affinity or growth? According to Daniel Schreiber, CEO & Co-Founder at Lemonade, the Insurance tech startups founded in New York thanks to a peer to peer model, is attracting much attention from venture capitalists (having already raised $13 million and not being still on the market), the traditional companies have always known that it is better for the consumer to create insurance products tailored on demands of groups of like-minded people, rather than create mass products. However they have sacrificed the point of view of affinity, for the sake of growth, believing that only products of this type could “grab” the target.

But it’s not so, according to Schreiber in this post, which also contains specific examples of how this “strategy” is, ultimately, even detrimental to the company.

Facebook is the proof that affinity and growth can not only coexist, but even be synergistic.

” Facebook has 1.6 billion users, but it didn’t dilute affinity (of the users) even as it grew exponentially. Our experience on Facebook is intimate, and we know the people on our network…

Transplanting DNA from Facebook to insurance could be transformative. Insurance built on the paradigm of social networks would combine true affinity with universal eligibility. It holds the promise of insurance that’s far less conflicted, costly and bureaucratic.”

The enabler of this possibility is of course, according to the CEO, the technology: in the software industry [costs] to set up and manage a community is very low.

“The bad news is that pulling this off requires rebuilding insurance from the ground up: new business models, new actuarial models, and a radically new technological framework. The good news is, that’s exactly what we’re doing “.

Lemonade will therefore be the Facebook of Insurance Companies. We finally get to find out a little more about the model of this insurance tech startup, that despite having already gathered considerable investments, had never really revealed “what is being developed”.

Valuta la qualità di questo articolo

La tua opinione è importante per noi!

Related news