Baker McKenzie has published the 2017 edition of its Asia Pacific Guide for Investing in Insurtech Start-ups, which assesses the current state of insurtech in the APAC region.
Leading provider of legal expertise Baker McKenzie recently published a report entitled Asia Pacific Guide for Investing in InsurTech Start-ups – 2017 Edition, which offers a thorough, comprehensive handbook to be used by insurance companies when considering investment in a start-up operating within in the Asia Pacific insurtech ecosystem.
Major Asia Pacific hubs like Singapore, Hong Kong, and Sydney commit a great deal of effort toward understanding and harnessing the opportunities that are inherent in fintech. This trend is equally true in other financial services sub-sectors, and insurance is rapidly becoming a prime area of focus. Emerging markets on the other hand, are playing catch-up in the insurtech race, and only just beginning to tap into the growth potential from innovation.
With the scene set, Asia Pacific insurance companies increasingly look to partner with or acquire non-insurance tech players. These firms are enthusiastic about exploring new distribution channels, product offerings, and risk assessment and management capabilities facilitated by insurtech. In particular, Baker McKenzie points to insurtech innovation hubs, incubators, and accelerator programmes as key acquisition and joint venture targets for insurance companies in the region. The report maintains an expectation for the industry to remain an exciting space for new business deals in the next few years.
As the insurtech sector continues to grow in size and intensity of competition, wide variations in regulatory approaches to insurtech investment are a guarantee. Insurance companies in the Asia Pacific region, from established players to new entrants, face a complex maze of regulations as they increase investments within the insurtech space, especially in areas such as telematics, big data, and biometrics. Furthermore, firms investing in insurtech will likely be challenged by other considerations related to data privacy, cross-border data transfers, and intellectual property protection.
To read or download a PDF copy of the Baker McKenzie Asia Pacific Guide for Investing in Insurtech Start-ups – 2017 Edition, click here.