Guy Carpenter has launched a new advisory arm, GC Genesis, designed to guide (re)insurers through the 2000+ InsurTech start-ups and linking them to those best suited to their business needs.
Claude Yoder, chief innovation and product development oficer at Guy Carpenter, told Re-Insurance that the initiative will enable clients to understand the rich potential of many start-ups and even to enable them to become trialists and possible investors in these nascent tech businesses.
“In an ideal world, insurers and reinsurers ought to be looking at this space constantly to see the fast-evolving ideas and companies that can best help them but with thousands of start-ups that is not feasible for most organisations. This is where GC Genesis comes in”.
GC Genesis comes in two stages. The first, “fitting” stage is designed to understand a carrier’s business needs and priorities, creating the firm’s own “roadmap to InsurTech”.
The second, however, is the InsurTech Alliance, a collaboration with New York-based Numerati Partners LLC, which enables firms to assess its needs with data scientists and engineers.
“This is where we can do a lot more technical ‘tyre kicking’”, explained Yoder, “and really examine in more detail our clients’ needs in association with Numerati Partners’ ecosystem of scientists and engineers”.
Vicky Carter, Vice Chairman of Global Strategic Advisory at Guy Carpenter, added: “Arguably, there are three big themes impacting (re)insurers. Reducing costs, how to grow profitably and InsurTech”.
“In many senses, they are entwined because technology deployed well can assist on the first two. However, there is a natural fear of getting it wrong and for many clients, InsurTech’s potential is exciting but also daunting. This is where GC Genesis steps in.
Yoder added that it was even possible that GC Genesis could ultimately lead to some carriers investing in potential start-ups. “The introduction will be operational. Can this InsurTech start-up really assist the client? Of course, if the carrier then really values the start-up then it’s decidedly possible this could lead to an investment. Many carriers are investing first and piloting second. Arguably, it is better to get the operational and strategic fit first.”