Global Insurers to invest in commercial warehouses over office space- report

Goldman Sachs Asset Management | July 17, 2020

Global insurers are looking to increase investments in commercial warehouses over office space, according to a Reuters report. Investments in office space have become riskier due to the increase in remote work during the coronavirus pandemic, Goldman Sachs Asset Management (GSAM) said. The COVID-19 outbreak is pushing insurers to exchange “undesirable” real estate investments – including both office space and retail properties – for investments in warehouses, GSAM said.

Spotlight

Insurance institutions aren’t known for chasing trends. And maybe you wouldn’t want them to be. For an industry where customers are best served by the sober assessment of risk, there’s something reaffirming about the industry’s steady bearing in FinTech’s choppy wake. But transformative forces are there at the edges, under the surface, looking for a way in. They’re in the technology that’s taking the human element out of risk. They’re showing up along the value chain, bringing price transparency and brand-new products. They’re in adjacent sectors, where pay-per-click threatens commissions and customers must insure assets they use but don’t own. And they’re in the data, where the future can be told.

Spotlight

Insurance institutions aren’t known for chasing trends. And maybe you wouldn’t want them to be. For an industry where customers are best served by the sober assessment of risk, there’s something reaffirming about the industry’s steady bearing in FinTech’s choppy wake. But transformative forces are there at the edges, under the surface, looking for a way in. They’re in the technology that’s taking the human element out of risk. They’re showing up along the value chain, bringing price transparency and brand-new products. They’re in adjacent sectors, where pay-per-click threatens commissions and customers must insure assets they use but don’t own. And they’re in the data, where the future can be told.

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INSURANCE TECHNOLOGY

Heritage Announces Strategic InsurTech Partnership with Slide

Heritage | November 29, 2021

Heritage Insurance Holdings, Inc. (NYSE: HRTG) ("Heritage" or the "Company"), a super-regional property and casualty insurance holding company, announced today that it has entered into a strategic partnership with Slide, a startup InsurTech P&C carrier led by Bruce Lucas, Heritage's former Chairman and CEO, providing it with enhanced technological capabilities and allowing it to participate in the InsurTech sector's upside. Partnership provides Heritage with the opportunity to: Leverage Slide's InsurTech capabilities to improve underwriting and rating decisions. Further capitalize on strong agency relationships by generating commission income on policies that don't meet Heritage's underwriting criteria (e.g., due to geographic concentration). Participate in the InsurTech sector without potentially significant capital requirements to develop similar capabilities internally. Based on current publicly traded InsurTech valuations, potential to generate a meaningful capital gain, which, if realized, could provide additional funds for share buybacks or debt retirement. Terms of the partnership Heritage will receive: Approximately 6% equity stake in Slide, an InsurTech P&C carrier with an estimated $250 million post-money valuation, and warrants allowing it to purchase an additional equity interest at Slide's pre-money valuation. Perpetual, royalty free license to certain aspects of Slide's software. Heritage will: Transfer ownership of Pawtucket, a dormant P&C carrier licensed in Rhode Island. Transfer ownership of First Access Insurance Group, a Florida-licensed MGA with minimal earnings. Provide access to historical claims and underwriting data. Ernie Garateix, Heritage's CEO, said, "We're excited to partner with Slide and our former colleague on this win-win opportunity. We believe this partnership will significantly accelerate development of our InsurTech capabilities, while providing us with an equity stake in an impressive startup that is developing cutting edge technology." Financial information, including material announcements about Heritage, is routinely posted on investors.heritagepci.com. About Heritage Heritage Insurance Holdings, Inc. is a super-regional property and casualty insurance holding company. Through its insurance subsidiaries and a large network of experienced agents, the Company writes approximately $1.2 billion of gross personal and commercial residential premiums across its multi-state footprint.

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A-CAP and AmeriLife announced the launch of the Accumulation Protector Plus (APP)

Business Wire | August 31, 2020

A-CAP and AmeriLife today announced the launch of the Accumulation Protector Plus℠ (“APP”) Annuity, a 10-year fixed indexed annuity. The APP Annuity is the latest addition to the industry-leading product lines of A-CAP’s two insurance subsidiaries, Sentinel Security Life Insurance Company and Atlantic Coast Life Insurance Company. The APP Annuity is distinct in the industry, and gives contract holders exclusive access to the Credit Suisse Momentum Index (Bloomberg: CSEAMTM5 <Index>), as well as a unique 10-year guarantee of participation rates through the index. Principal protection and growth potential over a wide range of possible future financial conditions are fundamental features of the APP annuity. Contract holders can choose from eight flexible crediting strategies, including four strategies paired with the Credit Suisse Momentum Index, to create a custom growth plan that aligns with their retirement goals and protects their principal from market downturns.

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FastTrack, Insuretech leader announced its migration to a cloud computing platform.

Cision PR Newswire | September 04, 2020

FastTrack, a leading provider of insurtech solutions for the Life & Disability insurance industry, announced today the completion of their migration to a cloud-computing platform. The project resulted in a transition to Microsoft Azure for their entire suite of solutions and was completed without any service disruption to its customers. Leveraging the hosting platform's ability to handle the multiple coding languages employed by FastTrack demonstrates their continued dedication to using all resources at their disposal to create a flexible, easy-to-use platform for their client base without compromising on security. The new model also allows for a system that will seamlessly scale computing needs to match the growth of FastTrack, who has seen a 60% increase in insurance claims under management over the last 12 months.

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