Global reinsurance giant Swiss Re has entered into a strategic partnership with Daimler Insurance Services to launch a new company called Movinx, an insurance intermediary and service provider designed to transform and innovate automotive and mobility insurance.
Both Swiss Re and Daimler are 50/50 shareholders of the new joint venture, which is located in Berlin, Germany, and led by Sebastiaan Bongers, Head Mobility Ventures at Swiss Re, and Andreas Roth, Head Digital Insurance Model at Daimler.
With offices opened in Berlin in October, the first insurance solutions and services are planned to launch in France next year, with further market entries planned across Europe, Asia, and the Americas in the future.
Swiss Re and Daimler are set to leverage their complimentary expertise to establish a new business model, targeting the establishment of fully digital automotive and mobility insurance products that fulfil changing customer needs and provide best-in-class service quality.
Pravina Ladva, Swiss Re’s Digital Transformation Officer, commented: “We believe that partnering with Daimler Insurance Services and establishing Movinx will take us to the next level in innovating mobility insurance. Our joint long-term ambition is to unlock an ecosystem interplay where insurance supports the introduction of new technologies such as advanced driving assistance systems and autonomous cars as well as new business models in the mobility area.”
Ingo Telschow, Chief Executive Officer (CEO) of Daimler Insurance Services, added: “By joining forces with Swiss Re we can lead transformation in an evolving market environment and advance insurance business. We will establish a new business model as well as co-create and co-own an insurance platform. This platform enables easy and efficient insurance purchase and customer-centric services by using real time data. Furthermore, we as Daimler Insurance Services are going deeper into the value chain of insurance business, having more influence on product development and pricing.”
As highlighted by the pair, the automotive industry and the motor insurance space are going through a period of great change, underpinned by rapid developments on the technology side, which subsequently is driving a shift from ownership to usage as business models evolve alongside the rise in automated driving and e-mobility growth.
In light of this ongoing transformation, Swiss Re and Daimler highlight the need for insurance to evolve to manage these developments and the challenges they create for both pricing and claims handling.
The new company, Movinx, which has received all necessary competition clearances, will act as a Managing General Agent (MGA).
According to the pair, the company enables an embedded mobility and insurance customer journey, making insurance an integrated part of the vehicle purchase. The focus, they say, is on a joint development journey to offer flexible and fully digital products. Adding that Movinx enables the introduction of new insurance propositions efficiently across a range of markets.
At the same time, the new company will be open for cooperations with other stakeholders such as car manufacturers and also mobility service providers. Partners stand to benefit from the co-owned insurance MGA and be able to provide white-labelled solutions globally. As opposed to having to deal with numerous insurers, the manufacturer has one partner, Movinx, across countries.
The new company will then partner with locally licensed carriers to deliver its products to the end-consumer and cover insurance risk. Swiss Re and Daimler note that insurers and other partners can connect to the IT platform and profit form centralised operations and automated processes that are supported by a combination of machine and deep learning tech.
