Hello! The next release of Insurtech Australia’s ‘Inspire Insurtech’ series has arrived! For this feature we have the award winning insurtech, INSTANDA, and Asia Pacific Distributor, Jon Moody!
First off, what is INSTANDA’s brief pitch?
INSTANDA is a management tool that empowers the insurance market to build and launch any insurance product, in any country within unprecedented timescales. We have all types of insurance products being built on the platform by our clients each week globally. INSTANDA can be configured very easily, with the skill set of using Microsoft Excel and Word. This allows our clients to respond to customer needs and optimise experiences in minutes all whilst benefiting from a commercial model completely aligned to the success of policy sales.
INSTANDA is entirely configurable from the ground up – question sets, ratings, documents, contracts and even APIs can all be built by business users. We don’t have a one-size-fits-all model. No templates. No limits. Allowing our clients to work the way they want to.
The platform is hosted in Microsoft Azure, which allows INSTANDA to benefit from global scale at a level of quality and resilience that even the largest corporate data centres cannot match. This allows us to provide customers with a genuinely elastic, web-scale insurance system.
How did INSTANDA begin?
INSTANDA was an innovation from F2X group (which is currently the parent company of INSTANDA) and founded by Tim Hardcastle (INSTANDA CEO), and COO Derek Hill (COO) when they were founders at F2X group.
Both Tim and Derek had personal experience of the technology challenges facing insurance companies through their experience at a FTSE250 Insurance company, Addressing the challenges of deploying product innovation to the market at speed whilst also remaining cost effective became the cornerstone for the initial INSTANDA platform. In addition to this, due to Tim and Derek’s significant experience outside of the insurance sector, the platform has also benefited by leveraging operating models outside of insurance in the initial design of the Azure hosting model.
INSTANDA Asia Pacific arose due to the ongoing global growth in the use of the INSTANDA platform. (Jon [INSTANDA Asia Pacific distributor] moved back to Australia after 15 years in the UK working alongside large insurance companies, investment banks and other financial services firms.
We’re glad to have you here in Australia!
How has INSTANDA evolved since inception?
INSTANDA has seen a 500% increase in the number of live clients on the INSTANDA platform, from four to twenty eight (UK and international). Even more dramatic is the number of products being transacted by those clients, up 7500% from eight to sixty: a rise driven both by new client wins and by in-account growth. The most prolific INSTANDA client (in the UK) currently has fifteen distinct products hosted on the platform. Operational cost reductions offered by the platform lead to savings of 25% – 50% and are allowing the world’s best-known carriers to move from product concept, to binding online, in a matter of weeks. Also, FTE has tripled since inception with offices in UK, Australia, Canada & US.
What is the team currently working on / what has been accomplished recently?
The INSTANDA pipeline globally remains strong, despite limited investment in marketing. As an example, INSTANDA has five of the world’s top twenty insurers either on the books or at proposal stage.
We have been recognised in the industry for winning the Insurtech Honours of the year 2017 (Insider Honours) / Excellence in Insurtech 2017 (2017 FINNIE Awards).
Also, INSTANDA recently delivered a new digital broker platform with ease of trading as its key point of focus, within an unprecedented timeframe for Zurich Insurance UK. This project led them to win the E-trading Initiative of the Year (Insurance Times) & Product innovation award in 2017.
Looks like there’s a lot to look forward to!
How does INSTANDA ‘give back’?
Being based up in sunny QLD (after all those years in the UK weather!), we recognised that whilst the market in Australia would appear to be centred around Sydney and Melbourne, QLD has a thriving insurtech / start-up community. Given the great success that has been experienced by Insurtech Australia, INSTANDA Asia Pacific are actively participating in establishing and fostering the QLD based insurtech community. This will help to ensure that the great teams working and innovating up here in the sunshine state are able to share some of our sunshine with our poor southern cousins.
We’re excited to work with you in building QLD’s insurtech community!
What is INSTANDA’s biggest challenge in today’s markets?
As a newcomer to the Australian market (whilst backed by significant UK experience) with a significant claim around speed and cost to market, it remains challenging to navigate the procurement process for larger organisations. We are often pitching to organisations who find it hard to accept our claim of brand new products deployed in days / weeks, especially when they have previously invested so heavily, both in terms of time and cost to bring new products to the market. This then leads to the dreaded slow no whereby significant energy is expended with an organisation who may not yet be ready for the change INSTANDA can support. The flexibility of INSTANDA allows our clients to have a fail fast mentality aligned with the dynamic nature of the market – it would be great if that approach could sometimes also be applied to the corporate purchasing process too!
Keep at it!
What are your thoughts on the topic ‘what does the future hold for intermediated distribution’?
We believe there will continue to be a place for intermediaries as either complexity of risk or customer service remain key challenges across the insurance value chain. INSTANDA is well placed in this regard whether this is by allowing insurers to rapidly deploy products to their broker network or having MGAs package up specialised / bespoke products to niche markets whilst also ensuring a great end customer experience.
Anything else you’d like to say?
The pace of change in the insurance market is only going to increase as it catches up to and leapfrogs other sectors like banking due to the significant investment being made in insurtech. Operating in an eco-system whereby you are able to innovate alongside changing customer expectations will aid in ensuring the traditional insurance company or intermediary remains relevant in the future.
A few members from the INSTANDA team