IBEF: May 19, 2021
According to S&P Global Market Intelligence data, India is the second largest insurance-technology market in Asia-Pacific, accounting for 35% of the US$ 3.66 billion in insurtech-focused venture investments made in the country.
In Asia-Pacific, at least 335 private insurtechs are operative, with 122 of them reporting a total of US$ 3.66 billion in capital raised through private placement transactions.
According to a survey by S&P Global Market Intelligence, China and India present nearly half of all private insurtech companies in the APAC region, attracting > 78% of all investments.
Due to their massive and rapidly rising insurance markets, the two markets will continue to attract the largest share of investor interest, according to the report.
India accounted for 35% of the US$ 3.66 billion in insurtech-focused venture capital invested in the APAC region. The country has at least 66 insurtech companies.
S&P Global Market Intelligence fintech analyst, Mr. Sampath Sharma Nariyanuri said, "India is attracting insurance technology investment since it is one of the world's fastest-growing insurance markets.”
He added that in FY20, Insurance premiums in India totalled US$ 107 billion for the 12 months ended March 31, 2020, up 10% from FY15.
According to the survey, tech companies including as Tencent Holdings, Ant Group Co Ltd., Amazon.com Inc, and Grab Holdings Inc will have an impact on the region's insurtech ecosystem.
Alliances with popular lifestyle and e-commerce platforms could be vital for scaling for technology businesses seeking customers online.
While huge internet companies compete to become insurance's digital intermediaries, established carriers are developing their own digital channels. Start-ups that help both incumbents and major tech companies make this transformation are likely to succeed.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.