Global wind – should talent be wary of joining insurtech?

Because of the problems that exist, Insurance Business asked insurtech stakeholders and experts to share their thoughts on whether it would be better to enter the traditional insurance industry than insurtech right now.

Steven Mendel, co-founder of ManyPets and CEO of the group (pictured above): As the leader of a fast-growing insurance company, I think we offer a more fulfilling and progressive work environment than most in the workplace. If you want to join an exciting game-changing insurance company, look carefully at the sustainability of the business. Does it have a good reputation with investors? When was his last income? Is it transparent how they are spending the money? Is building a business that is financially sustainable in the long term the basis of its strategy? What proof can he give of this? If these fundamentals look solid, not only will shareholders and investors continue to trust the business, it is possible that its teams will be protected from market shocks.

Laura Drabik, chief evangelist of Guidewire Software (pictured above): What is happening in the world of insurtech is to be expected, when costs are decreasing due to mergers and purchases are up 60% as the market consolidates. For those who are thinking of working in insurtech, my advice would be to research the company’s prospects in the market and its value. Insurtechs that partner with insurers and others to solve real problems in the industry are where I would look. The great thing about working at a startup is that you can work on a variety of projects, which can be beneficial as your career grows. Just because the insurtech space is going through a rockier patch doesn’t mean people should cut jobs altogether, you just have to choose carefully.

Jennifer Linton, founder and CEO of Fenris Digital (pictured above): Go where you feel passionate about the work, the people, and what you can do (your role).

All businesses face challenges, and there is no “safe haven”. I’ve lived a life of extremes – founded three startups and worked for a large insurance company. Your happiness should drive your decision, not what is happening in the market.

One caution I share is to watch yourself for exhaustion; startups move at hyper speed, and this may be the reason why you may find the right fit for the next phase of your career.

Christian Wiens, CEO of Getsafe (pictured above): We are not seeing any layoffs in German insurtech, on the contrary. Employee numbers are rising. We only see fintechs facing layoffs. What we are seeing now is that the insurtechs are taking on the big fintechs, because their business is too long. Customers from neo-insurance companies pay from the first day for access, unlike free or free models with neo-bank. So the answer to your question is ‘no’, insurtechs, especially in Germany, are managing the problem well and may come out strong in the end.

Adrian Jones, partner at HSCM Ventures (pictured above): Insurtechs are realizing the need for expertise in the insurance industry and are recruiting experienced executives. The move can be smart for managers who are eager to drive change in a small and fast-growing organization. One exchange is not very useful – the groups are small, and the financial prospects may be much less than they are in 100 years. For people new to insurance, startups often offer an initial position and an interesting job, but established companies can be a better place to learn. basics. My advice: consider both incumbents and starters, find the one that’s right for you, and don’t try to set the cycle time.

George Kesselman, chief marketing officer of ZA Tech and president of InsurtechASIA (pictured above): The decision to join or not to join an insurtech company depends on how much risk people can take at this point in their career. Leaders have a lot to offer in terms of sustainability, but they can be slow to innovate. Insurtech companies are often agile but come with a lot of risk, especially in an uncertain economic environment. Ultimately, if someone is interested in insurtech but can’t take the risk, another good option is to offer their knowledge as a consultant to insurtech startups.

Andrew Johnston, Gallagher Re global head of insurtech (pictured above): There is no easy answer. Overall, it will be difficult for insurtechs to raise capital over the next 24 months and, if their brand is lost, there will be more pressure to tighten their belts. To that end, joining one is probably a riskier idea than it was 12 months ago.

Yet this ignores the many insurtechs that make more money than they can attract and retain talent, including those who are apparently immune to layoffs.

Evolution takes action. Darwin’s modern scythe is eliminating insurtechs through survival of the fittest. So joining now is not a bad thing if the company shows courage.

Quality and suitability of candidates are also important. Operators tend to offer more services – top insurtechs don’t. They should be leaner and fitter than ever. Every person will count.

Rahul Mathur, CEO of Verak and founder (pictured above): My answer would depend on the position and seniority of the candidate. For a young person who has at least three years of work experience, which is marketing, business development, or lending – I would still say that it is better to take the risk to join insurtech; the speed of education and the growth of responsibilities make it attractive.

For the curious – who previously saw high-income insurtechs as ‘returns’ from the industry – this is no longer safe; as we all know, written premium is not ARR. Professional employees should stick to the corporate world.

Dale Smith, CEO of JAVLN and co-chairman of InsurTechNZ (pictured above): New Zealand’s insurtechs are hiring and providing skilled professionals for jobs locally and globally. It is an increasingly skilled market and the numbers of insurtechs are increasing in this country which has the world’s highest insurance penetration rates.

Janthana Kaenprakhamroy, CEO of Tapoly (pictured above): There has never been a better time to join insurtech, as the demand for new digital insurance solutions and personalized pricing has never been stronger. For those who are interested in taking limited risks, joining an insurtech company is a great option with a taste of business and a strong work environment. If you join early, you may be entitled to share options and other benefits available to the founding team. It is a great opportunity to advance the work. Many incumbents are building their technology departments to promote digital technology. If you join one of these places, while you will benefit from many things in the beginning, you will not experience the culture of entrepreneurs and the work that you can do in the beginning.

John Warburton, chairman of Insurtech UK and founder of Konsileo (pictured above): If you’re really excited to work within your existing partners, that’s a great place to be. If you are trying to drive change, the insurtech sector is a very interesting place. Some people say: a year at startup is worth five years in a traditional business in terms of your earnings. It’s a ‘regretless’ move, although the star is not doing as well as planned. I would encourage people to look at the insurtech sector and think, ‘yeah, I can achieve my development goals here’.