We can have academic arguments about whether the global insurtech movement is waning or still strong, what the changes in investment patterns in insurtech mean, and to what degree these companies are impacting the industry overall. However, there is one thing that is clear—insurtech innovation is alive and well in Israel. It’s astounding to think that a country the size and population of New Jersey has an insurtech ecosystem of 180 companies.
I was privileged to participate in the recent Insurtech Israel Global Summit in Tel Aviv in the accelerator program and as a panel moderator. The event, conducted by Insurtech Israel and FinTLV, had great energy and networking, and can I say it again—innovation.
Of course, tech innovation in the insurance space is nothing new for Israel. Companies such as Sapiens, Bolttech, and Earnix have already been very successful in making important contributions to the global insurance industry. The strong tech culture and the need to seek markets outside their home country have enabled many companies to expand globally. The newest wave of startups includes companies that address a variety of P&C insurance business needs. Below is a list of a few companies the U.S. P&C insurance industry should be aware of:
- Notraffic: An IoT/AI-powered solution for signaled road intersections, not installed in many cities. Notraffic initially worked with government entities to implement their solutions, but early work with insurers shows the enormous potential for insurance claims.
- Urbanico: Extensive data and insights for urban risks that carriers leverage for actuarial models, risk selection, and portfolio analysis. For example, most major cities in the U.S. are covered with precision insights on risks such as crime, theft, and vandalism, recognizing that exposure in a city can vary significantly from one block to the next.
- Planck: An underwriting toolkit for commercial lines underwriting. The platform ingests a wide variety of relevant data and leverages GenAI/Large Language Models to identify class codes with high accuracy, augment the underwriter’s assessment of risk, and provide predictive insights on emerging risks, among other capabilities.
- Five Sigma: A modern-era cloud-native claims management system for all P&C personal and commercial lines. The solution provides intelligent automation and AI-based recommendations throughout the claims lifecycle.
- Capitola: A commercial lines distribution platform enabling brokers to efficiently and effectively reach their markets for more complex risks. The platform provides capabilities such as data extraction, data enrichment, and risk appetite matching.
These are just a few of the companies in the ecosystem that represent the new ideas and solutions coming out of Israel. The 180 or so companies are at various levels of maturity, with many at earlier stages. I fully expect some of these companies to make big news in the next 12-24 months and continue the impressive contribution that Israeli tech companies make to the global insurance industry.
ReSource Pro is also proud to be a supporter of Insurtech Israel and was a sponsor of the event.